BorgWarner (NYSE:BWA) Issues Earnings Results

BorgWarner (NYSE:BWA) announced its quarterly earnings results on Wednesday. The auto parts company reported $1.42 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.28 by $0.14, FiscalAI reports. BorgWarner had a return on equity of 18.36% and a net margin of 2.53%.The company had revenue of $3.65 billion during the quarter, compared to the consensus estimate of $3.58 billion. During the same period in the prior year, the company earned $1.21 earnings per share. The company’s revenue for the quarter was up .3% compared to the same quarter last year. BorgWarner updated its FY 2026 guidance to 5.050-5.300 EPS.

BorgWarner Stock Performance

NYSE:BWA traded up $3.50 during mid-day trading on Wednesday, hitting $66.54. The stock had a trading volume of 2,048,093 shares, compared to its average volume of 2,865,634. BorgWarner has a twelve month low of $37.84 and a twelve month high of $78.82. The stock has a market cap of $13.65 billion, a price-to-earnings ratio of 39.36, a PEG ratio of 1.35 and a beta of 1.10. The company’s 50 day simple moving average is $67.82 and its 200 day simple moving average is $59.83. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.75 and a current ratio of 2.13.

BorgWarner Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be issued a $0.17 dividend. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date of this dividend is Tuesday, September 1st. BorgWarner’s dividend payout ratio is presently 40.24%.

Wall Street Analysts Forecast Growth

Several research firms recently commented on BWA. Wall Street Zen raised shares of BorgWarner from a “hold” rating to a “buy” rating in a research report on Saturday, June 27th. Weiss Ratings upgraded BorgWarner from a “hold (c)” rating to a “hold (c+)” rating in a research note on Monday, June 29th. Wolfe Research reaffirmed an “outperform” rating and set a $95.00 price target on shares of BorgWarner in a research report on Wednesday, June 3rd. Wells Fargo & Company lifted their price objective on shares of BorgWarner from $68.00 to $83.00 and gave the company an “overweight” rating in a report on Tuesday, June 2nd. Finally, JPMorgan Chase & Co. boosted their price objective on shares of BorgWarner from $73.00 to $75.00 and gave the stock an “overweight” rating in a research report on Thursday, May 14th. Nine analysts have rated the stock with a Buy rating and six have issued a Hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $74.57.

Insiders Place Their Bets

In other BorgWarner news, VP Isabelle Mckenzie sold 3,500 shares of the firm’s stock in a transaction on Tuesday, May 12th. The stock was sold at an average price of $63.35, for a total transaction of $221,725.00. Following the completion of the sale, the vice president owned 57,828 shares of the company’s stock, valued at $3,663,403.80. This trade represents a 5.71% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Tania Wingfield sold 5,000 shares of the company’s stock in a transaction on Monday, May 11th. The shares were sold at an average price of $63.24, for a total transaction of $316,200.00. Following the completion of the transaction, the executive vice president owned 35,365 shares in the company, valued at approximately $2,236,482.60. This represents a 12.39% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 67,500 shares of company stock worth $4,310,115 in the last three months. 0.76% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Dimensional Fund Advisors LP boosted its holdings in shares of BorgWarner by 1.5% during the fourth quarter. Dimensional Fund Advisors LP now owns 11,961,482 shares of the auto parts company’s stock worth $538,996,000 after acquiring an additional 178,853 shares during the period. AQR Capital Management LLC increased its position in BorgWarner by 22.7% during the fourth quarter. AQR Capital Management LLC now owns 9,222,352 shares of the auto parts company’s stock worth $415,559,000 after acquiring an additional 1,703,576 shares during the period. State Street Corp increased its holdings in shares of BorgWarner by 5.3% during the second quarter. State Street Corp now owns 7,633,760 shares of the auto parts company’s stock worth $255,578,000 after purchasing an additional 380,942 shares during the period. Bank of America Corp DE boosted its stake in shares of BorgWarner by 4.3% in the third quarter. Bank of America Corp DE now owns 3,727,884 shares of the auto parts company’s stock valued at $163,878,000 after buying an additional 153,637 shares during the period. Finally, Fuller & Thaler Asset Management Inc. increased its stake in BorgWarner by 14.6% during the 4th quarter. Fuller & Thaler Asset Management Inc. now owns 3,274,442 shares of the auto parts company’s stock worth $147,546,000 after acquiring an additional 417,221 shares during the period. 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.