BorgWarner (NYSE:BWA) Director Michael Hanley Sells 5,000 Shares

BorgWarner Inc. (NYSE:BWA) Director Michael Hanley sold 5,000 shares of BorgWarner stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $65.51, for a total value of $327,550.00. Following the completion of the sale, the director directly owned 34,313 shares in the company, valued at $2,247,844.63. This trade represents a 12.72% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

BorgWarner Stock Down 0.8%

Shares of BWA stock traded down $0.50 during mid-day trading on Tuesday, hitting $63.66. The stock had a trading volume of 323,967 shares, compared to its average volume of 2,769,600. The company has a debt-to-equity ratio of 0.67, a current ratio of 2.13 and a quick ratio of 1.76. The firm’s 50-day moving average is $65.43 and its two-hundred day moving average is $62.21. BorgWarner Inc. has a 12-month low of $40.50 and a 12-month high of $78.82. The firm has a market capitalization of $12.97 billion, a P/E ratio of 31.89, a price-to-earnings-growth ratio of 1.15 and a beta of 1.10.

BorgWarner (NYSE:BWA) last released its quarterly earnings data on Wednesday, August 5th. The auto parts company reported $1.42 earnings per share for the quarter, beating 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 business had revenue of $3.65 billion during the quarter, compared to analyst estimates of $3.58 billion. During the same quarter last year, the business posted $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, analysts predict that BorgWarner Inc. will post 5.2 earnings per share for the current fiscal year.

BorgWarner Dividend Announcement

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

BorgWarner announced that its board has initiated a share repurchase plan on Wednesday, August 5th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the auto parts company to reacquire up to 7.7% of its shares through open market purchases. Shares repurchase plans are often an indication that the company’s board believes its shares are undervalued.

Analyst Ratings Changes

Several research firms have recently weighed in on BWA. Wall Street Zen raised shares of BorgWarner from a “hold” rating to a “buy” rating in a research report on Saturday, June 27th. Weiss Ratings raised shares of BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a report on Monday, June 29th. Barclays increased their price objective on shares of BorgWarner from $83.00 to $85.00 and gave the stock an “overweight” rating in a research report on Monday, August 10th. Wells Fargo & Company upped their price objective on BorgWarner from $68.00 to $83.00 and gave the company an “overweight” rating in a report on Tuesday, June 2nd. Finally, Morgan Stanley boosted their price objective on BorgWarner from $67.00 to $71.00 and gave the stock an “equal weight” rating in a research report on Thursday, August 6th. Ten research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, BorgWarner presently has a consensus rating of “Moderate Buy” and an average price target of $76.67.

Institutional Trading of BorgWarner

Several institutional investors have recently bought and sold shares of the company. BlackRock Inc. bought a new position in shares of BorgWarner during the 2nd quarter valued at approximately $1,678,187,000. California State Teachers Retirement System lifted its stake in shares of BorgWarner by 6,262.3% in the 2nd quarter. California State Teachers Retirement System now owns 15,870,795 shares of the auto parts company’s stock valued at $1,053,821,000 after purchasing an additional 15,621,343 shares during the last quarter. Dimensional Fund Advisors LP boosted its stake in BorgWarner by 1.5% during the fourth quarter. Dimensional Fund Advisors LP now owns 11,961,482 shares of the auto parts company’s stock worth $538,996,000 after buying an additional 178,853 shares during the period. AQR Capital Management LLC raised its position in BorgWarner by 22.7% in the 4th quarter. AQR Capital Management LLC now owns 9,222,352 shares of the auto parts company’s stock worth $415,559,000 after purchasing an additional 1,703,576 shares during the period. Finally, State Street Corp lifted its stake in shares of BorgWarner by 5.3% during the 2nd quarter. State Street Corp now owns 7,633,760 shares of the auto parts company’s stock worth $255,578,000 after acquiring an additional 380,942 shares during the last quarter. 95.67% of the stock is owned by hedge funds and other institutional investors.

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.