Acorn Financial Advisory Services Inc. ADV Trims Holdings in BorgWarner Inc. $BWA

Acorn Financial Advisory Services Inc. ADV decreased its holdings in BorgWarner Inc. (NYSE:BWA) by 3.1% in the 2nd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 39,008 shares of the auto parts company’s stock after selling 1,251 shares during the quarter. Acorn Financial Advisory Services Inc. ADV’s holdings in BorgWarner were worth $1,306,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds have also recently bought and sold shares of the business. Trajan Wealth LLC raised 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 purchasing an additional 353 shares during the last quarter. Tectonic Advisors LLC raised 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 purchasing an additional 388 shares during the last quarter. Farther Finance Advisors LLC raised 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 purchasing an additional 407 shares during the last quarter. Beverly Hills Private Wealth LLC raised 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 purchasing an additional 421 shares during the last quarter. Finally, Strengthening Families & Communities LLC raised its position in BorgWarner by 14.6% in the 1st quarter. Strengthening Families & Communities LLC now owns 3,301 shares of the auto parts company’s stock valued at $95,000 after purchasing an additional 421 shares during the last quarter. Hedge funds and other institutional investors own 95.67% of the company’s stock.

Analyst Ratings Changes

BWA has been the topic of several recent research reports. Baird R W raised shares of BorgWarner from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, September 3rd. UBS Group boosted their price objective on shares of BorgWarner from $43.00 to $46.00 and gave the company a “neutral” rating in a research note on Monday, October 6th. Robert W. Baird raised shares of BorgWarner from a “neutral” rating to an “outperform” rating and boosted their price objective for the company from $41.00 to $52.00 in a research note on Wednesday, September 3rd. Barclays boosted their price objective on shares of BorgWarner from $45.00 to $55.00 and gave the company an “overweight” rating in a research note on Friday. Finally, JPMorgan Chase & Co. boosted their price objective on shares of BorgWarner from $43.00 to $45.00 and gave the company an “overweight” rating in a research note on Monday, August 4th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and six have given a Hold rating to the company. Based on data from MarketBeat.com, BorgWarner presently has an average rating of “Moderate Buy” and a consensus price target of $44.64.

BorgWarner Stock Performance

NYSE:BWA opened at $41.20 on Tuesday. 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 Inc. has a fifty-two week low of $24.40 and a fifty-two week high of $44.97. The stock has a market cap of $8.91 billion, a PE ratio of 43.82, a price-to-earnings-growth ratio of 1.36 and a beta of 1.09. The firm’s fifty day simple moving average is $42.62 and its 200-day simple moving average is $35.64.

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

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 $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date of this dividend was Tuesday, September 2nd. This is a positive change from BorgWarner’s previous quarterly dividend of $0.11. BorgWarner’s dividend payout ratio is currently 72.34%.

BorgWarner declared that its board has initiated a share buyback 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 purchase up to 13.2% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Activity at BorgWarner

In related news, Director Alexis P. Michas sold 8,772 shares of the stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $42.31, for a total value of $371,143.32. Following the sale, the director directly owned 78,903 shares of the company’s stock, valued at approximately $3,338,385.93. This represents a 10.01% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, VP Isabelle Mckenzie sold 2,500 shares of the stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $40.01, for a total transaction of $100,025.00. Following the completion of the sale, the vice president directly owned 55,945 shares in the company, valued at approximately $2,238,359.45. The trade was a 4.28% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 31,272 shares of company stock valued at $1,263,318. Insiders own 0.63% 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.