BorgWarner (NYSE:BWA) Hits New 12-Month High – Here’s What Happened

Shares of BorgWarner Inc. (NYSE:BWA) reached a new 52-week high during mid-day trading on Thursday . The company traded as high as $48.93 and last traded at $48.40, with a volume of 123605 shares. The stock had previously closed at $48.26.

Analyst Upgrades and Downgrades

BWA has been the subject of several research reports. Weiss Ratings reissued a “hold (c)” rating on shares of BorgWarner in a research report on Wednesday, October 8th. Robert W. Baird set a $55.00 price objective on BorgWarner in a research report on Wednesday, January 14th. Zacks Research cut shares of BorgWarner from a “strong-buy” rating to a “hold” rating in a report on Monday, October 13th. Piper Sandler reissued a “neutral” rating and set a $51.00 price target (down from $52.00) on shares of BorgWarner in a research report on Thursday, January 8th. Finally, JPMorgan Chase & Co. upped their price objective on shares of BorgWarner from $45.00 to $53.00 and gave the stock an “overweight” rating in a report on Monday, October 20th. Eight analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $47.31.

BorgWarner Stock Performance

The company has a current ratio of 2.05, a quick ratio of 1.69 and a debt-to-equity ratio of 0.63. The firm has a market capitalization of $10.35 billion, a P/E ratio of 76.78, a price-to-earnings-growth ratio of 0.91 and a beta of 1.06. The business’s 50 day simple moving average is $45.06 and its two-hundred day simple moving average is $42.64.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Thursday, October 30th. The auto parts company reported $1.24 EPS for the quarter, beating analysts’ consensus estimates of $1.16 by $0.08. The firm had revenue of $3.59 billion for the quarter, compared to analysts’ expectations of $3.58 billion. BorgWarner had a net margin of 0.94% and a return on equity of 16.72%. The business’s revenue for the quarter was up 4.1% on a year-over-year basis. During the same quarter in the prior year, the company posted $1.09 earnings per share. BorgWarner has set its FY 2025 guidance at 4.600-4.750 EPS. Sell-side analysts anticipate that BorgWarner Inc. will post 4.28 EPS for the current fiscal year.

BorgWarner Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, December 15th. Shareholders of record on Monday, December 1st were issued a $0.17 dividend. The ex-dividend date of this dividend was Monday, December 1st. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.4%. BorgWarner’s dividend payout ratio (DPR) is presently 107.94%.

Insiders Place Their Bets

In related news, VP Isabelle Mckenzie sold 3,200 shares of the stock in a transaction on Tuesday, November 4th. The stock was sold at an average price of $44.23, for a total transaction of $141,536.00. Following the sale, the vice president directly owned 43,555 shares of the company’s stock, valued at $1,926,437.65. This trade represents a 6.84% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, VP Stefan Demmerle sold 15,000 shares of the firm’s stock in a transaction dated Tuesday, November 11th. The shares were sold at an average price of $45.52, for a total transaction of $682,800.00. Following the sale, the vice president directly owned 209,040 shares in the company, valued at approximately $9,515,500.80. The trade was a 6.70% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 23,200 shares of company stock worth $1,054,336. Corporate insiders own 0.45% of the company’s stock.

Institutional Trading of BorgWarner

A number of hedge funds have recently bought and sold shares of the company. Acadian Asset Management LLC grew its stake in shares of BorgWarner by 23.7% during the 1st quarter. Acadian Asset Management LLC now owns 8,979 shares of the auto parts company’s stock valued at $257,000 after purchasing an additional 1,723 shares during the period. Parallel Advisors LLC grew its position in shares of BorgWarner by 67.4% during the 2nd quarter. Parallel Advisors LLC now owns 3,812 shares of the auto parts company’s stock valued at $128,000 after acquiring an additional 1,535 shares during the period. Sivia Capital Partners LLC bought a new position in BorgWarner in the 2nd quarter worth $339,000. Wealth Enhancement Advisory Services LLC increased its position in BorgWarner by 81.7% in the second quarter. Wealth Enhancement Advisory Services LLC now owns 89,056 shares of the auto parts company’s stock worth $3,145,000 after buying an additional 40,055 shares in the last quarter. Finally, CX Institutional grew its stake in shares of BorgWarner by 71.9% during the 2nd quarter. CX Institutional now owns 5,879 shares of the auto parts company’s stock valued at $197,000 after acquiring an additional 2,458 shares during the period. Hedge funds and other institutional investors own 95.67% of the company’s stock.

BorgWarner Company Profile

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.