BorgWarner (NYSE:BWA) Price Target Raised to $41.00

BorgWarner (NYSE:BWA) had its target price boosted by Citigroup from $33.00 to $41.00 in a research note released on Monday morning, Benzinga reports. The brokerage currently has a neutral rating on the auto parts company’s stock.

Other research analysts also recently issued reports about the company. TD Cowen boosted their price objective on BorgWarner from $36.00 to $40.00 and gave the company a buy rating in a research note on Friday, May 3rd. BNP Paribas lowered shares of BorgWarner from an outperform rating to a neutral rating and dropped their price target for the stock from $43.00 to $35.00 in a research report on Tuesday, February 20th. Robert W. Baird raised their price objective on shares of BorgWarner from $36.00 to $40.00 and gave the company a neutral rating in a research report on Friday, May 3rd. Wells Fargo & Company upped their price objective on BorgWarner from $43.00 to $45.00 and gave the stock an overweight rating in a research note on Friday, May 3rd. Finally, Oppenheimer lifted their target price on BorgWarner from $39.00 to $40.00 and gave the company an outperform rating in a research note on Friday, May 3rd. Seven equities research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of Moderate Buy and a consensus target price of $43.76.

BorgWarner Stock Performance

Shares of NYSE BWA opened at $37.52 on Monday. The company has a current ratio of 1.54, a quick ratio of 1.20 and a debt-to-equity ratio of 0.55. BorgWarner has a 12-month low of $29.51 and a 12-month high of $50.04. The firm has a market capitalization of $8.55 billion, a price-to-earnings ratio of 14.21, a price-to-earnings-growth ratio of 1.08 and a beta of 1.30. The firm has a 50 day moving average of $33.49 and a 200 day moving average of $33.70.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Thursday, May 2nd. The auto parts company reported $1.03 EPS for the quarter, topping the consensus estimate of $0.87 by $0.16. The firm had revenue of $3.60 billion during the quarter, compared to analyst estimates of $3.51 billion. BorgWarner had a return on equity of 15.33% and a net margin of 4.02%. BorgWarner’s revenue was up 6.3% on a year-over-year basis. During the same period in the prior year, the business posted $1.09 EPS. On average, research analysts anticipate that BorgWarner will post 3.94 earnings per share for the current year.

BorgWarner announced that its Board of Directors has initiated a stock repurchase plan on Thursday, May 2nd that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the auto parts company to repurchase up to 6% of its stock through open market purchases. Stock buyback plans are often a sign that the company’s management believes its shares are undervalued.

BorgWarner Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, June 17th. Shareholders of record on Monday, June 3rd will be given a dividend of $0.11 per share. The ex-dividend date of this dividend is Monday, June 3rd. This represents a $0.44 annualized dividend and a yield of 1.17%. BorgWarner’s dividend payout ratio (DPR) is currently 16.67%.

Insider Activity at BorgWarner

In other BorgWarner news, CAO Tonit M. Calaway sold 35,603 shares of the business’s stock in a transaction that occurred on Monday, February 12th. The stock was sold at an average price of $32.15, for a total transaction of $1,144,636.45. Following the sale, the chief accounting officer now directly owns 83,348 shares of the company’s stock, valued at $2,679,638.20. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. In other BorgWarner news, CAO Tonit M. Calaway sold 35,603 shares of BorgWarner stock in a transaction on Monday, February 12th. The shares were sold at an average price of $32.15, for a total transaction of $1,144,636.45. Following the completion of the transaction, the chief accounting officer now directly owns 83,348 shares of the company’s stock, valued at $2,679,638.20. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Stefan Demmerle sold 3,000 shares of the stock in a transaction on Wednesday, March 13th. The shares were sold at an average price of $33.00, for a total transaction of $99,000.00. Following the completion of the sale, the vice president now directly owns 249,013 shares in the company, valued at approximately $8,217,429. The disclosure for this sale can be found here. In the last quarter, insiders sold 287,503 shares of company stock valued at $9,015,478. Insiders own 0.45% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of the business. Norges Bank purchased a new stake in BorgWarner in the fourth quarter worth $75,489,000. Boston Partners boosted its holdings in shares of BorgWarner by 58.9% in the 3rd quarter. Boston Partners now owns 5,267,500 shares of the auto parts company’s stock valued at $211,762,000 after buying an additional 1,951,783 shares in the last quarter. Invesco Ltd. increased its position in shares of BorgWarner by 30.4% during the third quarter. Invesco Ltd. now owns 4,399,084 shares of the auto parts company’s stock worth $177,591,000 after purchasing an additional 1,024,361 shares in the last quarter. Victory Capital Management Inc. raised its stake in BorgWarner by 10.9% in the fourth quarter. Victory Capital Management Inc. now owns 9,668,438 shares of the auto parts company’s stock valued at $346,614,000 after buying an additional 948,659 shares during the last quarter. Finally, Ninety One UK Ltd grew its position in BorgWarner by 85.1% during the 4th quarter. Ninety One UK Ltd now owns 1,656,221 shares of the auto parts company’s stock worth $59,376,000 after purchasing an additional 761,250 shares during the last quarter. Institutional investors own 95.67% of the company’s stock.

BorgWarner Company Profile

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.