BorgWarner (NYSE:BWA) Issues 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 EPS 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.

Wall Street Analyst Weigh In

BWA has been the subject of a number of recent analyst reports. The Goldman Sachs Group reissued a “buy” rating and set a $84.00 price target on shares of BorgWarner in a research report on Thursday, June 11th. Deutsche Bank Aktiengesellschaft set a $81.00 price objective on shares of BorgWarner in a research note on Tuesday, April 21st. Wolfe Research reissued an “outperform” rating and set a $95.00 price objective on shares of BorgWarner in a report on Wednesday, June 3rd. Morgan Stanley boosted their target price on shares of BorgWarner from $60.00 to $67.00 and gave the stock an “equal weight” rating in a research report on Wednesday, May 27th. Finally, Wall Street Zen upgraded shares of BorgWarner from a “hold” rating to a “buy” rating in a research note on Saturday, June 27th. Nine investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to MarketBeat.com, BorgWarner has a consensus rating of “Moderate Buy” and an average price target of $74.57.

BorgWarner Stock Performance

Shares of BWA opened at $62.80 on Wednesday. The stock has a market capitalization of $12.88 billion, a PE ratio of 37.16, a price-to-earnings-growth ratio of 1.35 and a beta of 1.10. The business’s fifty day moving average price is $67.82 and its 200 day moving average price is $59.83. The company has a debt-to-equity ratio of 0.69, a current ratio of 2.13 and a quick ratio of 1.75. BorgWarner has a 12-month low of $37.59 and a 12-month high of $78.82.

BorgWarner (NYSE:BWA) last released its earnings results on Wednesday, May 6th. The auto parts company reported $1.24 earnings per share for the quarter, beating the consensus estimate of $1.16 by $0.08. BorgWarner had a net margin of 2.53% and a return on equity of 18.36%. The firm had revenue of $3.53 billion during the quarter, compared to analyst estimates of $3.50 billion. During the same quarter in the previous year, the firm earned $1.11 earnings per share. The firm’s revenue for the quarter was up .5% compared to the same quarter last year. Equities research analysts forecast that BorgWarner will post 5.16 EPS for the current year.

BorgWarner Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be given a dividend of $0.17 per share. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend is Tuesday, September 1st. BorgWarner’s dividend payout ratio is currently 40.24%.

Insider Buying and Selling at BorgWarner

In other BorgWarner news, VP Isabelle Mckenzie sold 3,500 shares of BorgWarner stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $63.35, for a total value of $221,725.00. Following the completion of the transaction, the vice president directly owned 57,828 shares in the company, valued at $3,663,403.80. The trade was a 5.71% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Joseph F. Fadool sold 29,000 shares of the company’s stock in a transaction that occurred on Wednesday, May 13th. The shares were sold at an average price of $67.31, for a total value of $1,951,990.00. Following the transaction, the chief executive officer directly owned 405,964 shares of the company’s stock, valued at $27,325,436.84. This trade represents a 6.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 67,500 shares of company stock worth $4,310,115 in the last ninety days. Insiders own 0.76% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in BWA. Prosperity Bancshares Inc acquired a new stake in BorgWarner in the fourth quarter worth $37,000. UMB Bank n.a. boosted its holdings in shares of BorgWarner by 28.1% during the fourth quarter. UMB Bank n.a. now owns 1,709 shares of the auto parts company’s stock valued at $77,000 after acquiring an additional 375 shares during the period. Advisory Services Network LLC bought a new position in shares of BorgWarner during the third quarter worth about $131,000. CIBC Private Wealth Group LLC grew its position in shares of BorgWarner by 71.2% during the third quarter. CIBC Private Wealth Group LLC now owns 3,811 shares of the auto parts company’s stock worth $168,000 after acquiring an additional 1,585 shares during the last quarter. Finally, Mangrove Partners IM LLC acquired a new stake in shares of BorgWarner in the 4th quarter worth about $234,000. 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.