UMB Bank n.a. Sells 590 Shares of BorgWarner Inc. $BWA

UMB Bank n.a. reduced its holdings in BorgWarner Inc. (NYSE:BWA) by 33.6% during the second quarter, Holdings Channel.com reports. The institutional investor owned 1,167 shares of the auto parts company’s stock after selling 590 shares during the quarter. UMB Bank n.a.’s holdings in BorgWarner were worth $39,000 at the end of the most recent quarter.

Other institutional investors and hedge funds also recently made changes to their positions in the company. New York State Teachers Retirement System lifted its stake in shares of BorgWarner by 3.8% in the 1st quarter. New York State Teachers Retirement System now owns 219,180 shares of the auto parts company’s stock valued at $6,280,000 after purchasing an additional 7,977 shares during the period. Avantax Advisory Services Inc. lifted its stake in shares of BorgWarner by 13.3% in the 1st quarter. Avantax Advisory Services Inc. now owns 13,258 shares of the auto parts company’s stock valued at $380,000 after purchasing an additional 1,555 shares during the period. Sage Rhino Capital LLC purchased a new position in shares of BorgWarner in the 1st quarter valued at approximately $235,000. Brown Advisory Inc. purchased a new position in shares of BorgWarner in the 1st quarter valued at approximately $522,000. Finally, Zurich Insurance Group Ltd FI purchased a new position in shares of BorgWarner in the 1st quarter valued at approximately $1,223,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

Insider Buying and Selling

In related news, Director Alexis P. Michas sold 8,772 shares of the business’s stock in a transaction dated Tuesday, September 2nd. The stock was sold at an average price of $42.31, for a total value of $371,143.32. Following the sale, the director directly owned 78,903 shares in the company, valued at approximately $3,338,385.93. The trade was a 10.01% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Stefan Demmerle sold 5,000 shares of BorgWarner stock in a transaction that occurred on Wednesday, August 13th. The stock was sold at an average price of $40.50, for a total value of $202,500.00. Following the completion of the transaction, the vice president owned 229,040 shares of the company’s stock, valued at approximately $9,276,120. This trade represents a 2.14% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 31,272 shares of company stock worth $1,263,318. Corporate insiders own 0.45% of the company’s stock.

Analyst Ratings Changes

A number of research analysts have issued reports on BWA shares. Baird R W upgraded BorgWarner from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, September 3rd. Barclays reaffirmed an “overweight” rating and issued a $45.00 price objective (up previously from $42.00) on shares of BorgWarner in a report on Wednesday, July 16th. Morgan Stanley boosted their price target on BorgWarner from $40.00 to $42.00 and gave the company an “overweight” rating in a report on Tuesday, August 12th. Evercore ISI boosted their price target on BorgWarner from $38.00 to $42.00 and gave the company an “outperform” rating in a report on Monday, August 4th. Finally, Piper Sandler boosted their price target on BorgWarner from $37.00 to $44.00 and gave the company an “overweight” rating in a report on Friday, August 1st. Two analysts have rated the stock with a Strong Buy rating, ten have issued a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average price target of $41.50.

BorgWarner Price Performance

Shares of BorgWarner stock opened at $44.10 on Friday. The stock’s 50-day simple moving average is $41.07 and its 200-day simple moving average is $34.46. BorgWarner Inc. has a 52 week low of $24.40 and a 52 week high of $44.70. The company has a market capitalization of $9.54 billion, a price-to-earnings ratio of 46.92, a PEG ratio of 1.43 and a beta of 1.09. The company has a quick ratio of 1.66, a current ratio of 2.02 and a debt-to-equity ratio of 0.64.

BorgWarner (NYSE:BWA) last announced its quarterly earnings data on Thursday, July 31st. The auto parts company reported $1.21 EPS for the quarter, beating the consensus estimate of $1.06 by $0.15. The business had revenue of $3.64 billion for the quarter, compared to the consensus estimate of $3.56 billion. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%.The business’s revenue was up 1.0% on a year-over-year basis. During the same period in the previous year, the business earned $1.19 earnings per share. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. As a group, analysts expect that BorgWarner Inc. will post 4.28 earnings per share for the current fiscal year.

BorgWarner announced that its Board of Directors has authorized a stock buyback plan on Thursday, July 31st that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the auto parts company to buy up to 13.2% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company’s management believes its stock is undervalued.

BorgWarner Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Tuesday, September 2nd were given a $0.17 dividend. This is an increase from BorgWarner’s previous quarterly dividend of $0.11. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date was Tuesday, September 2nd. BorgWarner’s dividend payout ratio (DPR) is presently 72.34%.

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.