Hill City Capital LP Invests $53.26 Million in BorgWarner Inc. $BWA

Hill City Capital LP acquired a new stake in shares of BorgWarner Inc. (NYSE:BWA) during the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm acquired 802,170 shares of the auto parts company’s stock, valued at approximately $53,264,088. BorgWarner makes up about 0.0% of Hill City Capital LP’s portfolio, making the stock its 17th biggest position. Hill City Capital LP owned approximately 0.39% of BorgWarner at the end of the most recent reporting period.

Several other institutional investors also recently modified their holdings of BWA. Clearstead Trust LLC acquired a new position in shares of BorgWarner during the 2nd quarter worth $28,000. Ceredex Value Advisors LLC bought a new stake in BorgWarner during the 2nd quarter worth approximately $40,000. Fiduciary Financial Advisors purchased a new stake in shares of BorgWarner in the second quarter worth approximately $49,000. Prosperity Bancshares Inc purchased a new stake in shares of BorgWarner during the fourth quarter valued at $37,000. Finally, Jones Financial Companies Lllp purchased a new position in shares of BorgWarner in the second quarter worth about $57,000. 95.67% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the company. UBS Group upgraded BorgWarner from a “neutral” rating to a “buy” rating and increased their target price for the stock from $61.00 to $95.00 in a research report on Wednesday, June 10th. The Goldman Sachs Group restated a “buy” rating and set a $84.00 price objective on shares of BorgWarner in a research report on Thursday, June 11th. Morgan Stanley boosted their target price on shares of BorgWarner from $67.00 to $71.00 and gave the company an “equal weight” rating in a research note on Thursday, August 6th. Sanford C. Bernstein upgraded BorgWarner to a “buy” rating in a research note on Wednesday, June 10th. Finally, Deutsche Bank Aktiengesellschaft set a $80.00 target price on BorgWarner in a research note on Thursday, August 6th. Nine analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $75.93.

Trending Headlines about BorgWarner

Here are the key news stories impacting BorgWarner this week:

• Positive Sentiment: Improved long-term earnings outlook: Zacks lifted its FY2026 EPS forecast to $5.19 from $5.15, FY2027 to $5.82 from $5.68, and FY2028 to $6.35 from $6.00. Estimates for multiple 2027 and 2028 quarters were also increased, signaling improving expectations for BorgWarner’s longer-term growth and profitability. MarketBeat analyst estimate revisions
• Positive Sentiment: Growth-stock positioning: A Zacks article identified BWA as a potentially attractive long-term growth stock based on the firm’s Style Scores, which could support investor interest in the auto-parts supplier. Why BorgWarner is a Top Growth Stock for the Long-Term
• Neutral Sentiment: Recent operating performance provides support: BorgWarner’s latest reported quarter exceeded analyst expectations, with EPS of $1.42 versus a $1.28 consensus and revenue of $3.65 billion versus $3.58 billion. However, year-over-year revenue growth was limited, and the company’s net margin remained relatively low at 2.89%.
• Negative Sentiment: Near-term earnings reductions: Zacks cut its Q3 2026 EPS forecast to $1.22 from $1.27 and its Q4 2026 forecast to $1.31 from $1.39. The downward revisions suggest some near-term pressure despite the improved full-year and longer-term outlook, creating a mixed earnings signal for investors. BorgWarner earnings estimate revisions

Insider Buying and Selling at BorgWarner

In related news, CAO Amy B. Kulikowski sold 2,900 shares of the business’s stock in a transaction on Tuesday, August 18th. The shares were sold at an average price of $68.60, for a total value of $198,940.00. Following the completion of the sale, the chief accounting officer directly owned 9,725 shares of the company’s stock, valued at $667,135. The trade was a 22.97% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Rajesh Kalathur bought 7,407 shares of the company’s stock in a transaction that occurred on Wednesday, August 19th. The shares were acquired at an average cost of $67.59 per share, with a total value of $500,639.13. Following the transaction, the director owned 7,407 shares in the company, valued at approximately $500,639.13. This represents a ? increase in their position. The SEC filing for this purchase provides additional information. 0.76% of the stock is owned by company insiders.

BorgWarner Stock Performance

BorgWarner stock traded down $0.55 during trading hours on Friday, hitting $64.25. The stock had a trading volume of 1,352,000 shares, compared to its average volume of 2,792,840. BorgWarner Inc. has a fifty-two week low of $40.50 and a fifty-two week high of $78.82. The company has a 50-day moving average of $65.75 and a two-hundred day moving average of $62.06. The company has a quick ratio of 1.76, a current ratio of 2.13 and a debt-to-equity ratio of 0.67. The company has a market cap of $13.09 billion, a PE ratio of 32.12, a price-to-earnings-growth ratio of 1.16 and a beta of 1.10.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, topping analysts’ consensus estimates of $1.28 by $0.14. BorgWarner had a return on equity of 19.10% and a net margin of 2.89%.The firm had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.58 billion. During the same quarter last year, the company earned $1.21 EPS. The company’s revenue was up .3% on a year-over-year basis. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. On average, equities research analysts anticipate that BorgWarner Inc. will post 5.2 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be paid a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Tuesday, September 1st. BorgWarner’s payout ratio is currently 34.00%.

BorgWarner announced that its Board of Directors has approved a share repurchase program on Wednesday, August 5th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the auto parts company to buy up to 7.7% of its stock through open market purchases. Stock repurchase programs are usually an indication that the company’s leadership believes its stock is undervalued.

About BorgWarner

BorgWarner Inc is a global automotive supplier specializing in propulsion and drivetrain solutions for combustion, hybrid and electric vehicles. The company’s product portfolio includes turbochargers, thermal management systems, transmission components, e-Propulsion modules and advanced fuel-efficiency technologies. BorgWarner serves original equipment manufacturers (OEMs) across passenger cars, light trucks and commercial vehicles, supporting both legacy internal-combustion engines and emerging electrification trends.

Founded in 1928 through the merger of several driveline companies, BorgWarner has grown through strategic acquisitions and continuous investment in research and development.