Strengthening Families & Communities LLC Decreases Stake in BorgWarner Inc. $BWA

Strengthening Families & Communities LLC reduced its position in BorgWarner Inc. (NYSE:BWA) by 12.4% in the second quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 2,893 shares of the auto parts company’s stock after selling 408 shares during the period. Strengthening Families & Communities LLC’s holdings in BorgWarner were worth $97,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in the company. Trajan Wealth LLC boosted its position in BorgWarner by 4.6% in the 1st quarter. Trajan Wealth LLC now owns 7,978 shares of the auto parts company’s stock valued at $229,000 after buying an additional 353 shares during the last quarter. Tectonic Advisors LLC boosted its position in BorgWarner by 2.3% in the 2nd quarter. Tectonic Advisors LLC now owns 17,002 shares of the auto parts company’s stock valued at $569,000 after buying an additional 388 shares during the last quarter. Farther Finance Advisors LLC boosted its position in BorgWarner by 26.1% in the 1st quarter. Farther Finance Advisors LLC now owns 1,965 shares of the auto parts company’s stock valued at $56,000 after buying an additional 407 shares during the last quarter. Beverly Hills Private Wealth LLC boosted its position in BorgWarner by 5.7% in the 1st quarter. Beverly Hills Private Wealth LLC now owns 7,852 shares of the auto parts company’s stock valued at $225,000 after buying an additional 421 shares during the last quarter. Finally, Baron Wealth Management LLC boosted its position in BorgWarner by 2.4% in the 2nd quarter. Baron Wealth Management LLC now owns 21,753 shares of the auto parts company’s stock valued at $728,000 after buying an additional 511 shares during the last quarter. 95.67% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other BorgWarner news, VP Isabelle Mckenzie sold 2,500 shares of the firm’s stock in a transaction that occurred on Tuesday, August 12th. The shares were sold at an average price of $40.01, for a total value of $100,025.00. Following the sale, the vice president owned 55,945 shares in the company, valued at approximately $2,238,359.45. This trade represents a 4.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Alexis P. Michas sold 8,772 shares of the firm’s stock in a transaction that occurred on Tuesday, September 2nd. The shares were sold at an average price of $42.31, for a total transaction of $371,143.32. Following the completion of the sale, the director owned 78,903 shares in the company, valued at $3,338,385.93. The trade was a 10.01% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 31,272 shares of company stock worth $1,263,318 over the last quarter. 0.45% of the stock is owned by company insiders.

Wall Street Analysts Forecast Growth

BWA has been the topic of several research analyst reports. Bank of America cut shares of BorgWarner from a “buy” rating to a “neutral” rating and increased their price target for the stock from $41.00 to $46.00 in a research report on Wednesday, September 10th. UBS Group increased their price target on shares of BorgWarner from $43.00 to $46.00 and gave the stock a “neutral” rating in a research report on Monday. Weiss Ratings reaffirmed a “hold (c)” rating on shares of BorgWarner in a research report on Wednesday. The Goldman Sachs Group increased their price target on shares of BorgWarner from $45.00 to $52.00 and gave the stock a “buy” rating in a research report on Monday, September 29th. Finally, Wells Fargo & Company increased their price target on shares of BorgWarner from $50.00 to $54.00 and gave the stock an “overweight” rating in a research report on Thursday, September 25th. Two analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, BorgWarner has an average rating of “Moderate Buy” and a consensus target price of $44.07.

BorgWarner Price Performance

BWA opened at $41.18 on Friday. The firm has a market cap of $8.91 billion, a price-to-earnings ratio of 43.81, a price-to-earnings-growth ratio of 1.37 and a beta of 1.09. BorgWarner Inc. has a fifty-two week low of $24.40 and a fifty-two week high of $44.97. The company’s 50-day moving average price is $42.56 and its 200 day moving average price is $35.46. The company has a quick ratio of 1.66, a current ratio of 2.02 and a debt-to-equity ratio of 0.64.

BorgWarner (NYSE:BWA) last released its quarterly earnings data on Thursday, July 31st. The auto parts company reported $1.21 earnings per share for the quarter, topping the consensus estimate of $1.06 by $0.15. The firm had revenue of $3.64 billion for the quarter, compared to analyst estimates of $3.56 billion. BorgWarner had a net margin of 1.50% and a return on equity of 16.17%. BorgWarner’s quarterly revenue was up 1.0% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.19 earnings per share. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. As a group, sell-side analysts expect that BorgWarner Inc. will post 4.28 earnings per share for the current year.

BorgWarner announced that its Board of Directors has approved a stock repurchase plan on Thursday, July 31st that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the auto parts company to reacquire up to 13.2% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s management believes its shares are undervalued.

BorgWarner Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Tuesday, September 2nd were paid a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a yield of 1.7%. This is a positive change from BorgWarner’s previous quarterly dividend of $0.11. The ex-dividend date was Tuesday, September 2nd. BorgWarner’s dividend payout ratio (DPR) is currently 72.34%.

BorgWarner Profile

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.