Zacks Research Predicts BorgWarner’s Q3 Earnings (NYSE:BWA)

BorgWarner Inc. (NYSE:BWA) – Equities research analysts at Zacks Research raised their Q3 2026 earnings estimates for shares of BorgWarner in a report released on Thursday, November 20th. Zacks Research analyst Team now forecasts that the auto parts company will post earnings of $1.16 per share for the quarter, up from their previous forecast of $1.15. Zacks Research has a “Hold” rating on the stock. The consensus estimate for BorgWarner’s current full-year earnings is $4.28 per share. Zacks Research also issued estimates for BorgWarner’s FY2026 earnings at $4.66 EPS, Q1 2027 earnings at $1.19 EPS, Q3 2027 earnings at $1.26 EPS and FY2027 earnings at $4.98 EPS.

Several other research firms also recently commented on BWA. The Goldman Sachs Group increased their price objective on BorgWarner from $45.00 to $52.00 and gave the company a “buy” rating in a report on Monday, September 29th. UBS Group increased their price target on shares of BorgWarner from $43.00 to $46.00 and gave the company a “neutral” rating in a research note on Monday, October 6th. Morgan Stanley lifted their price objective on shares of BorgWarner from $40.00 to $42.00 and gave the company an “overweight” rating in a research report on Tuesday, August 12th. Barclays upped their target price on shares of BorgWarner from $45.00 to $55.00 and gave the company an “overweight” rating in a report on Friday, October 10th. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of BorgWarner in a report on Wednesday, October 8th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $46.08.

BorgWarner Stock Down 0.1%

BWA stock opened at $42.93 on Monday. The company has a market cap of $9.18 billion, a price-to-earnings ratio of 45.67, a P/E/G ratio of 1.58 and a beta of 1.06. BorgWarner has a twelve month low of $24.40 and a twelve month high of $46.39. The business has a 50 day moving average price of $43.60 and a two-hundred day moving average price of $39.11. 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 released its earnings results on Thursday, October 30th. The auto parts company reported $1.24 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.16 by $0.08. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%.The business had revenue of $3.59 billion for the quarter, compared to the consensus estimate of $3.58 billion. During the same quarter in the previous year, the business earned $1.09 earnings per share. BorgWarner’s quarterly revenue was up 4.1% on a year-over-year basis. BorgWarner has set its FY 2025 guidance at 4.600-4.750 EPS.

BorgWarner declared that its Board of Directors has approved a stock buyback program on Thursday, July 31st that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the auto parts company to purchase up to 13.2% of its shares through open market purchases. Shares buyback programs are typically a sign that the company’s management believes its shares are undervalued.

BorgWarner Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, December 15th. Stockholders of record on Monday, December 1st will be paid a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.6%. The ex-dividend date is Monday, December 1st. BorgWarner’s dividend payout ratio (DPR) is currently 107.94%.

Insider Activity at BorgWarner

In other BorgWarner news, VP Stefan Demmerle sold 15,000 shares of the stock in a transaction dated Tuesday, November 11th. The shares were sold at an average price of $45.52, for a total value of $682,800.00. Following the transaction, the vice president directly owned 209,040 shares of the company’s stock, valued at $9,515,500.80. This represents a 6.70% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, VP Isabelle Mckenzie sold 3,200 shares of the business’s stock in a transaction that occurred on Tuesday, November 4th. The stock was sold at an average price of $44.23, for a total value of $141,536.00. Following the sale, the vice president owned 43,555 shares of the company’s stock, valued at approximately $1,926,437.65. This represents a 6.84% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 31,972 shares of company stock worth $1,425,479. Insiders own 0.45% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Blackston Financial Advisory Group LLC lifted its holdings in shares of BorgWarner by 3.4% during the second quarter. Blackston Financial Advisory Group LLC now owns 7,970 shares of the auto parts company’s stock worth $267,000 after buying an additional 265 shares in the last quarter. Fifth Third Wealth Advisors LLC increased its position in BorgWarner by 4.1% during the third quarter. Fifth Third Wealth Advisors LLC now owns 6,832 shares of the auto parts company’s stock worth $300,000 after acquiring an additional 272 shares during the period. Trajan Wealth LLC raised its stake in BorgWarner by 4.6% in the 1st quarter. Trajan Wealth LLC now owns 7,978 shares of the auto parts company’s stock worth $229,000 after purchasing an additional 353 shares in the last quarter. Envestnet Portfolio Solutions Inc. boosted its holdings in BorgWarner by 3.4% in the 3rd quarter. Envestnet Portfolio Solutions Inc. now owns 10,937 shares of the auto parts company’s stock valued at $481,000 after purchasing an additional 356 shares during the period. Finally, Mirae Asset Global Investments Co. Ltd. grew its position in shares of BorgWarner by 18.4% during the 3rd quarter. Mirae Asset Global Investments Co. Ltd. now owns 2,321 shares of the auto parts company’s stock worth $102,000 after purchasing an additional 360 shares in the last quarter. 95.67% of the stock is owned by institutional investors and hedge funds.

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.