BorgWarner Inc. (NYSE:BWA) Receives $41.19 Consensus Price Target from Analysts

BorgWarner Inc. (NYSE:BWA) has been assigned a consensus rating of “Moderate Buy” from the seventeen analysts that are presently covering the company, Marketbeat Ratings reports. Seven analysts have rated the stock with a hold rating and ten have issued a buy rating on the company. The average 12-month price target among analysts that have issued a report on the stock in the last year is $41.29.

Several analysts recently commented on the stock. TD Cowen raised 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. StockNews.com lowered BorgWarner from a “buy” rating to a “hold” rating in a research note on Tuesday. Bank of America reduced their price target on BorgWarner from $50.00 to $45.00 and set a “buy” rating for the company in a report on Monday, July 22nd. Robert W. Baird dropped their price objective on BorgWarner from $40.00 to $38.00 and set a “neutral” rating on the stock in a report on Friday, July 12th. Finally, Barclays upped their target price on BorgWarner from $44.00 to $45.00 and gave the stock an “overweight” rating in a research note on Monday, May 6th.

BorgWarner Stock Performance

Shares of BWA stock opened at $32.82 on Monday. BorgWarner has a 52-week low of $29.51 and a 52-week high of $46.77. The company has a quick ratio of 1.20, a current ratio of 1.54 and a debt-to-equity ratio of 0.55. The stock has a market cap of $7.48 billion, a PE ratio of 12.43, a price-to-earnings-growth ratio of 0.73 and a beta of 1.22. The business has a 50-day simple moving average of $33.59 and a 200-day simple moving average of $33.47.

BorgWarner (NYSE:BWA) last announced its quarterly earnings results on Thursday, May 2nd. The auto parts company reported $1.03 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.87 by $0.16. The company had revenue of $3.60 billion during the quarter, compared to the consensus estimate of $3.51 billion. BorgWarner had a return on equity of 15.33% and a net margin of 4.02%. BorgWarner’s revenue for the quarter was up 6.3% on a year-over-year basis. During the same period in the previous year, the company posted $1.09 earnings per share. On average, equities analysts expect that BorgWarner will post 4.03 EPS for the current year.

BorgWarner Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 16th. Investors of record on Tuesday, September 3rd will be paid a dividend of $0.11 per share. The ex-dividend date of this dividend is Tuesday, September 3rd. This represents a $0.44 annualized dividend and a yield of 1.34%. BorgWarner’s dividend payout ratio is presently 16.67%.

BorgWarner declared that its Board of Directors has authorized a stock 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 stock through open market purchases. Stock buyback programs are often an indication that the company’s board of directors believes its stock is undervalued.

Institutional Investors Weigh In On BorgWarner

A number of large investors have recently made changes to their positions in the stock. EdgeRock Capital LLC acquired a new position in BorgWarner during the fourth quarter worth $30,000. Riverview Trust Co acquired a new position in shares of BorgWarner during the 1st quarter valued at about $30,000. LRI Investments LLC boosted its position in shares of BorgWarner by 2,685.3% during the 2nd quarter. LRI Investments LLC now owns 947 shares of the auto parts company’s stock valued at $31,000 after acquiring an additional 913 shares during the last quarter. Olistico Wealth LLC purchased a new stake in shares of BorgWarner in the second quarter valued at about $35,000. Finally, Whittier Trust Co. of Nevada Inc. increased its position in BorgWarner by 12,144.4% during the first quarter. Whittier Trust Co. of Nevada Inc. now owns 1,102 shares of the auto parts company’s stock worth $38,000 after purchasing an additional 1,093 shares during the last quarter. 95.67% of the stock is currently owned by hedge funds and other institutional investors.

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.