Rajesh Kalathur Acquires 7,407 Shares of BorgWarner (NYSE:BWA) Stock

BorgWarner Inc. (NYSE:BWA) Director Rajesh Kalathur bought 7,407 shares of the stock in a transaction on Wednesday, August 19th. The shares were bought at an average cost of $67.59 per share, with a total value of $500,639.13. Following the purchase, the director owned 7,407 shares of the company’s stock, valued at $500,639.13. This trade represents a ? increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website.

BorgWarner Trading Down 2.4%

Shares of BWA traded down $1.57 during trading on Thursday, reaching $64.66. 2,075,724 shares of the company traded hands, compared to its average volume of 2,831,479. The stock has a 50-day simple moving average of $66.69 and a 200-day simple moving average of $61.40. The stock has a market cap of $13.17 billion, a PE ratio of 32.33, a price-to-earnings-growth ratio of 1.22 and a beta of 1.10. BorgWarner Inc. has a twelve month low of $40.50 and a twelve month high of $78.82. The company has a quick ratio of 1.76, a current ratio of 2.13 and a debt-to-equity ratio of 0.67.

BorgWarner (NYSE:BWA) last issued its quarterly earnings data on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, topping the consensus estimate of $1.28 by $0.14. The firm had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.58 billion. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The business’s revenue for the quarter was up .3% compared to the same quarter last year. During the same period in the prior year, the business posted $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. On average, analysts anticipate that BorgWarner Inc. will post 5.19 earnings per share for the current year.

BorgWarner declared that its board has approved a stock repurchase program on Wednesday, August 5th that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the auto parts company to purchase up to 7.7% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

BorgWarner Announces Dividend

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

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Acadian Asset Management LLC increased its holdings in BorgWarner by 23.7% during the 1st quarter. Acadian Asset Management LLC now owns 8,979 shares of the auto parts company’s stock worth $257,000 after purchasing an additional 1,723 shares during the period. Sivia Capital Partners LLC purchased a new position in shares of BorgWarner in the 2nd quarter valued at about $339,000. EverSource Wealth Advisors LLC grew its position in shares of BorgWarner by 400.5% during the second quarter. EverSource Wealth Advisors LLC now owns 5,531 shares of the auto parts company’s stock worth $185,000 after buying an additional 4,426 shares in the last quarter. Marshall Wace LLP purchased a new stake in shares of BorgWarner during the second quarter worth approximately $247,000. Finally, Cerity Partners LLC increased its stake in shares of BorgWarner by 30.2% during the second quarter. Cerity Partners LLC now owns 143,841 shares of the auto parts company’s stock worth $4,816,000 after buying an additional 33,362 shares during the period. 95.67% of the stock is owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

BWA has been the topic of several research analyst reports. Barclays boosted their price objective on BorgWarner from $83.00 to $85.00 and gave the company an “overweight” rating in a report on Monday, August 10th. Wells Fargo & Company lifted their target price on BorgWarner from $68.00 to $83.00 and gave the company an “overweight” rating in a research report on Tuesday, June 2nd. Robert W. Baird set a $79.00 price target on shares of BorgWarner in a research note on Thursday, August 6th. The Goldman Sachs Group reissued a “buy” rating and issued a $84.00 price objective on shares of BorgWarner in a research note on Thursday, June 11th. Finally, Morgan Stanley lifted their price objective on shares of BorgWarner from $67.00 to $71.00 and gave the company an “equal weight” rating in a report on Thursday, August 6th. Nine analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $75.93.

BorgWarner Company Profile

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.