BorgWarner (NYSE:BWA) Cut to Hold at StockNews.com

StockNews.com cut shares of BorgWarner (NYSE:BWA) from a buy rating to a hold rating in a research note published on Saturday.

Other equities analysts have also recently issued research reports about the stock. Piper Sandler dropped their price target on shares of BorgWarner from $43.00 to $36.00 and set an “overweight” rating on the stock in a research report on Thursday, March 20th. The Goldman Sachs Group upgraded shares of BorgWarner from a “neutral” rating to a “buy” rating and increased their price target for the company from $31.00 to $34.00 in a research report on Thursday, April 10th. JPMorgan Chase & Co. decreased their target price on BorgWarner from $51.00 to $49.00 and set an “overweight” rating for the company in a research report on Monday, January 27th. Evercore ISI reduced their target price on shares of BorgWarner from $43.00 to $40.00 and set an “outperform” rating for the company in a research note on Monday, February 10th. Finally, Morgan Stanley decreased their price objective on BorgWarner from $45.00 to $40.00 and set an “overweight” rating on the stock in a research note on Monday, March 3rd. Eight analysts have rated the stock with a hold rating and eleven have given a buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $38.56.

BorgWarner Stock Performance

BWA stock opened at $26.42 on Friday. The stock has a 50-day moving average price of $28.66 and a 200-day moving average price of $31.79. BorgWarner has a 1-year low of $24.40 and a 1-year high of $38.23. The firm has a market cap of $5.80 billion, a PE ratio of 18.48, a price-to-earnings-growth ratio of 0.77 and a beta of 1.12. The company has a current ratio of 1.79, a quick ratio of 1.45 and a debt-to-equity ratio of 0.66.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Thursday, February 6th. The auto parts company reported $1.01 earnings per share for the quarter, beating the consensus estimate of $0.93 by $0.08. BorgWarner had a net margin of 2.40% and a return on equity of 15.93%. As a group, equities research analysts expect that BorgWarner will post 4.28 earnings per share for the current year.

BorgWarner Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, March 17th. Shareholders of record on Monday, March 3rd were paid a $0.11 dividend. This represents a $0.44 annualized dividend and a yield of 1.67%. The ex-dividend date of this dividend was Monday, March 3rd. BorgWarner’s dividend payout ratio is presently 30.77%.

Insider Activity

In related news, EVP Tania Wingfield sold 24,000 shares of the stock in a transaction dated Wednesday, March 5th. The shares were sold at an average price of $28.79, for a total value of $690,960.00. Following the completion of the transaction, the executive vice president now directly owns 39,110 shares of the company’s stock, valued at $1,125,976.90. This represents a 38.03 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CAO Tonit M. Calaway sold 8,300 shares of the stock in a transaction that occurred on Monday, March 10th. The stock was sold at an average price of $30.07, for a total value of $249,581.00. Following the completion of the transaction, the chief accounting officer now directly owns 242,257 shares of the company’s stock, valued at $7,284,667.99. This represents a 3.31 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 45,800 shares of company stock valued at $1,347,701. Insiders own 0.45% of the company’s stock.

Hedge Funds Weigh In On BorgWarner

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. LRI Investments LLC boosted its stake in BorgWarner by 1,515.0% in the 4th quarter. LRI Investments LLC now owns 969 shares of the auto parts company’s stock worth $31,000 after purchasing an additional 909 shares in the last quarter. Resona Asset Management Co. Ltd. bought a new stake in shares of BorgWarner during the 4th quarter valued at about $45,000. Avior Wealth Management LLC increased its holdings in BorgWarner by 31.3% during the fourth quarter. Avior Wealth Management LLC now owns 1,435 shares of the auto parts company’s stock valued at $46,000 after buying an additional 342 shares during the last quarter. Kapitalo Investimentos Ltda purchased a new stake in shares of BorgWarner in the 4th quarter worth $48,000. Finally, UMB Bank n.a. raised its stake in shares of BorgWarner by 97.2% in the first quarter. UMB Bank n.a. now owns 1,757 shares of the auto parts company’s stock worth $50,000 after buying an additional 866 shares during the period. Hedge funds and other institutional investors own 95.67% of the company’s stock.

About BorgWarner

BorgWarner Inc, together with its subsidiaries, provides solutions for combustion, hybrid, and electric vehicles worldwide. It offers turbochargers, eBoosters, eTurbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, cabin heaters, battery modules and systems, battery heaters, and battery charging.