BorgWarner (NYSE:BWA) Releases FY 2026 Earnings Guidance

BorgWarner (NYSE:BWA) updated its FY 2026 earnings guidance on Wednesday. The company provided EPS guidance of 5.050-5.300 for the period, compared to the consensus earnings per share estimate of 5.190. The company issued revenue guidance of $14.0 billion-$14.3 billion, compared to the consensus revenue estimate of $14.2 billion.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on BWA. Barclays upped their price target on BorgWarner from $75.00 to $83.00 and gave the stock an “overweight” rating in a research report on Thursday, July 9th. UBS Group raised shares of BorgWarner from a “neutral” rating to a “buy” rating and boosted their price target for the stock from $61.00 to $95.00 in a research report on Wednesday, June 10th. Weiss Ratings upgraded shares of BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday, June 29th. Deutsche Bank Aktiengesellschaft set a $81.00 price objective on BorgWarner in a report on Tuesday, April 21st. Finally, Sanford C. Bernstein raised BorgWarner to a “buy” rating in a research report on Wednesday, June 10th. Nine equities research analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $74.57.

BorgWarner Stock Performance

BWA traded up $4.58 during trading on Wednesday, hitting $67.61. The stock had a trading volume of 1,487,949 shares, compared to its average volume of 2,861,651. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.13 and a quick ratio of 1.75. The company has a 50 day moving average price of $67.82 and a 200-day moving average price of $59.83. BorgWarner has a one year low of $37.84 and a one year high of $78.82. The firm has a market cap of $13.87 billion, a price-to-earnings ratio of 39.97, a P/E/G ratio of 1.35 and a beta of 1.10.

BorgWarner (NYSE:BWA) last announced its earnings results on Wednesday, August 5th. The auto parts company reported $1.42 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.28 by $0.14. The firm had revenue of $3.65 billion for the quarter, compared to analyst estimates of $3.58 billion. BorgWarner had a net margin of 2.53% and a return on equity of 18.36%. The business’s revenue was up .3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $1.21 EPS. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. As a group, research analysts predict that BorgWarner will post 5.16 EPS for the current year.

BorgWarner Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be given a $0.17 dividend. The ex-dividend date is Tuesday, September 1st. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.0%. BorgWarner’s dividend payout ratio (DPR) is presently 40.24%.

Insider Activity

In other BorgWarner news, VP Isabelle Mckenzie sold 3,500 shares of the firm’s stock in a transaction dated Tuesday, May 12th. The shares were sold at an average price of $63.35, for a total value of $221,725.00. Following the transaction, the vice president directly owned 57,828 shares of the company’s stock, valued at $3,663,403.80. This trade represents a 5.71% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Joseph F. Fadool sold 29,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $67.31, for a total transaction of $1,951,990.00. Following the sale, the chief executive officer directly owned 405,964 shares of the company’s stock, valued at approximately $27,325,436.84. This trade represents a 6.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 67,500 shares of company stock worth $4,310,115. 0.76% of the stock is owned by company insiders.

Institutional Investors Weigh In On BorgWarner

A number of large investors have recently modified their holdings of BWA. Sivia Capital Partners LLC bought a new position in BorgWarner in the second quarter valued at about $339,000. Deutsche Bank AG lifted its holdings in shares of BorgWarner by 12.8% in the fourth quarter. Deutsche Bank AG now owns 63,421 shares of the auto parts company’s stock worth $2,858,000 after acquiring an additional 7,183 shares during the last quarter. Caxton Associates LLP boosted its stake in shares of BorgWarner by 453.9% in the 3rd quarter. Caxton Associates LLP now owns 58,740 shares of the auto parts company’s stock valued at $2,582,000 after purchasing an additional 48,135 shares in the last quarter. GAM Holding AG boosted its stake in shares of BorgWarner by 26.4% in the 4th quarter. GAM Holding AG now owns 54,208 shares of the auto parts company’s stock valued at $2,443,000 after purchasing an additional 11,323 shares in the last quarter. Finally, Focus Partners Wealth grew its holdings in shares of BorgWarner by 22.1% during the 4th quarter. Focus Partners Wealth now owns 53,871 shares of the auto parts company’s stock valued at $2,427,000 after purchasing an additional 9,733 shares during the last quarter. Institutional investors and hedge funds own 95.67% of the company’s stock.

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.