BorgWarner Inc. (NYSE:BWA) Receives $43.71 Average Target Price from Brokerages

BorgWarner Inc. (NYSE:BWA) has earned a consensus rating of “Moderate Buy” from the seventeen brokerages that are covering the firm, MarketBeat.com reports. Seven equities research analysts have rated the stock with a hold recommendation and ten have given a buy recommendation to the company. The average 12-month price objective among analysts that have covered the stock in the last year is $43.71.

BWA has been the subject of a number of research reports. Wells Fargo & Company reduced their price target on shares of BorgWarner from $45.00 to $44.00 and set an “overweight” rating for the company in a research report on Tuesday, June 25th. Piper Sandler started coverage on BorgWarner in a research note on Friday, March 15th. They set an “overweight” rating and a $43.00 price target on the stock. Citigroup boosted their price objective on BorgWarner from $33.00 to $41.00 and gave the company a “neutral” rating in a research note on Monday, May 6th. Oppenheimer raised their target price on shares of BorgWarner from $39.00 to $40.00 and gave the stock an “outperform” rating in a research report on Friday, May 3rd. Finally, TD Cowen upped their price target on shares of BorgWarner from $36.00 to $40.00 and gave the company a “buy” rating in a research report on Friday, May 3rd.

Hedge Funds Weigh In On BorgWarner

A number of large investors have recently made changes to their positions in the stock. EdgeRock Capital LLC purchased a new position in BorgWarner in the fourth quarter valued at about $30,000. Riverview Trust Co acquired a new stake in shares of BorgWarner in the 1st quarter worth approximately $30,000. Sound Income Strategies LLC acquired a new position in BorgWarner during the fourth quarter worth $32,000. Bruce G. Allen Investments LLC acquired a new position in BorgWarner during the fourth quarter worth $33,000. Finally, LRI Investments LLC purchased a new stake in BorgWarner during the first quarter worth $35,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

BorgWarner Trading Up 0.4 %

BWA opened at $31.88 on Thursday. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.20 and a current ratio of 1.54. BorgWarner has a one year low of $29.51 and a one year high of $47.05. The company has a market cap of $7.26 billion, a P/E ratio of 12.08, a PEG ratio of 0.78 and a beta of 1.22. The business’s 50-day simple moving average is $34.71 and its 200-day simple moving average is $33.78.

BorgWarner (NYSE:BWA) last announced its quarterly earnings results on Thursday, May 2nd. The auto parts company reported $1.03 EPS for the quarter, beating the consensus estimate of $0.87 by $0.16. BorgWarner had a net margin of 4.02% and a return on equity of 15.33%. The company had revenue of $3.60 billion for the quarter, compared to analyst estimates of $3.51 billion. During the same period in the prior year, the firm posted $1.09 earnings per share. The firm’s revenue was up 6.3% on a year-over-year basis. As a group, equities research analysts expect that BorgWarner will post 4.05 EPS for the current fiscal year.

BorgWarner Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, June 17th. Shareholders of record on Monday, June 3rd were given a $0.11 dividend. This represents a $0.44 annualized dividend and a yield of 1.38%. The ex-dividend date was Monday, June 3rd. BorgWarner’s payout ratio is 16.67%.

BorgWarner declared that its board has authorized a share buyback program on Thursday, May 2nd that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the auto parts company to purchase up to 6% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s leadership believes its stock is undervalued.

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.