Retirement Systems of Alabama Purchases New Position in BorgWarner Inc. $BWA

Retirement Systems of Alabama purchased a new stake in BorgWarner Inc. (NYSE:BWA) during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor purchased 256,748 shares of the auto parts company’s stock, valued at approximately $11,569,000. Retirement Systems of Alabama owned about 0.12% of BorgWarner as of its most recent SEC filing.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. AQR Capital Management LLC raised its stake in BorgWarner by 119.7% during the 3rd quarter. AQR Capital Management LLC now owns 7,518,776 shares of the auto parts company’s stock worth $330,525,000 after acquiring an additional 4,095,902 shares in the last quarter. Adage Capital Partners GP L.L.C. boosted its stake in BorgWarner by 233.6% in the second quarter. Adage Capital Partners GP L.L.C. now owns 1,111,000 shares of the auto parts company’s stock valued at $37,196,000 after acquiring an additional 778,000 shares in the last quarter. Electron Capital Partners LLC purchased a new position in shares of BorgWarner during the third quarter worth about $31,820,000. Balyasny Asset Management L.P. acquired a new stake in shares of BorgWarner during the second quarter worth about $22,590,000. Finally, Vanguard Group Inc. lifted its holdings in shares of BorgWarner by 2.5% in the 3rd quarter. Vanguard Group Inc. now owns 27,578,374 shares of the auto parts company’s stock valued at $1,212,345,000 after purchasing an additional 667,788 shares during the last quarter. Institutional investors and hedge funds own 95.67% of the company’s stock.

BorgWarner Price Performance

BorgWarner stock opened at $52.80 on Friday. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.07 and a quick ratio of 1.70. The business has a 50 day simple moving average of $54.45 and a 200-day simple moving average of $47.94. BorgWarner Inc. has a 12 month low of $24.40 and a 12 month high of $70.08. The stock has a market capitalization of $10.88 billion, a PE ratio of 42.24, a price-to-earnings-growth ratio of 1.08 and a beta of 1.04.

BorgWarner (NYSE:BWA) last released its earnings results on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.16 by $0.19. The company had revenue of $3.57 billion for the quarter, compared to analysts’ expectations of $3.49 billion. BorgWarner had a return on equity of 17.89% and a net margin of 1.93%.During the same quarter in the previous year, the firm posted $1.01 EPS. The firm’s quarterly revenue was up 3.9% on a year-over-year basis. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. Equities analysts predict that BorgWarner Inc. will post 4.28 earnings per share for the current year.

BorgWarner Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Monday, March 16th. Investors of record on Monday, March 2nd were issued a dividend of $0.17 per share. The ex-dividend date of this dividend was Monday, March 2nd. This represents a $0.68 dividend on an annualized basis and a yield of 1.3%. BorgWarner’s payout ratio is currently 54.40%.

Insider Activity at BorgWarner

In other news, EVP Tania Wingfield sold 17,867 shares of the business’s stock in a transaction that occurred on Friday, February 13th. The stock was sold at an average price of $63.43, for a total transaction of $1,133,303.81. Following the sale, the executive vice president owned 45,429 shares of the company’s stock, valued at $2,881,561.47. The trade was a 28.23% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Isabelle Mckenzie sold 2,458 shares of the company’s stock in a transaction on Wednesday, February 18th. The shares were sold at an average price of $61.54, for a total value of $151,265.32. Following the completion of the sale, the vice president directly owned 66,351 shares in the company, valued at $4,083,240.54. This trade represents a 3.57% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 78,083 shares of company stock worth $4,638,585. 0.45% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

Several research analysts have commented on the company. Barclays lifted their price target on BorgWarner from $55.00 to $70.00 and gave the stock an “overweight” rating in a research report on Thursday, February 12th. Wolfe Research raised BorgWarner from a “peer perform” rating to an “outperform” rating and set a $68.00 price objective for the company in a report on Wednesday, March 25th. Morgan Stanley set a $60.00 target price on shares of BorgWarner in a report on Thursday, February 12th. Robert W. Baird set a $76.00 price target on shares of BorgWarner in a research report on Thursday, February 12th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of BorgWarner in a research report on Wednesday, January 21st. Eight analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $63.23.

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.