BorgWarner Inc. (NYSE:BWA) Sees Significant Decline in Short Interest

BorgWarner Inc. (NYSE:BWA) saw a large drop in short interest during the month of March. As of March 15th, there was short interest totalling 10,770,000 shares, a drop of 15.2% from the February 28th total of 12,700,000 shares. Approximately 5.0% of the shares of the company are sold short. Based on an average daily volume of 3,440,000 shares, the days-to-cover ratio is currently 3.1 days.

BorgWarner Stock Up 1.6 %

Shares of NYSE:BWA opened at $28.64 on Tuesday. The company has a market capitalization of $6.29 billion, a P/E ratio of 20.03, a P/E/G ratio of 0.77 and a beta of 1.21. The stock’s fifty day simple moving average is $30.01 and its 200-day simple moving average is $32.41. BorgWarner has a 52-week low of $27.65 and a 52-week high of $38.23. The company has a quick ratio of 1.45, a current ratio of 1.79 and a debt-to-equity ratio of 0.66.

BorgWarner (NYSE:BWA) last released its quarterly earnings results on Thursday, February 6th. The auto parts company reported $1.01 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.93 by $0.08. BorgWarner had a net margin of 2.40% and a return on equity of 15.93%. As a group, equities research analysts forecast that BorgWarner will post 4.28 earnings per share for the current fiscal year.

BorgWarner Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, March 17th. Shareholders of record on Monday, March 3rd were issued a $0.11 dividend. The ex-dividend date was Monday, March 3rd. This represents a $0.44 annualized dividend and a yield of 1.54%. BorgWarner’s dividend payout ratio (DPR) is presently 30.77%.

Insider Buying and Selling at BorgWarner

In related news, EVP Tania Wingfield sold 24,000 shares of BorgWarner stock in a transaction on Wednesday, March 5th. The shares were sold at an average price of $28.79, for a total value of $690,960.00. Following the transaction, the executive vice president now directly owns 39,110 shares in the company, valued at $1,125,976.90. This trade represents a 38.03 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CAO Tonit M. Calaway sold 8,300 shares of the company’s stock in a transaction on Monday, March 10th. The stock was sold at an average price of $30.07, for a total transaction of $249,581.00. Following the transaction, the chief accounting officer now owns 242,257 shares of the company’s stock, valued at approximately $7,284,667.99. The trade was a 3.31 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 45,800 shares of company stock worth $1,347,701. 0.45% of the stock is currently owned by insiders.

Institutional Investors Weigh In On BorgWarner

Several hedge funds have recently made changes to their positions in the business. Dimensional Fund Advisors LP lifted its position in BorgWarner by 7.2% during the fourth quarter. Dimensional Fund Advisors LP now owns 11,284,040 shares of the auto parts company’s stock worth $358,720,000 after buying an additional 753,344 shares during the period. Invesco Ltd. lifted its holdings in shares of BorgWarner by 10.2% during the 4th quarter. Invesco Ltd. now owns 6,795,020 shares of the auto parts company’s stock worth $216,014,000 after acquiring an additional 628,930 shares during the period. Geode Capital Management LLC boosted its position in shares of BorgWarner by 3.5% in the third quarter. Geode Capital Management LLC now owns 6,384,366 shares of the auto parts company’s stock worth $231,376,000 after acquiring an additional 217,050 shares during the last quarter. Alliancebernstein L.P. grew its holdings in BorgWarner by 6.8% in the fourth quarter. Alliancebernstein L.P. now owns 5,981,196 shares of the auto parts company’s stock valued at $190,142,000 after purchasing an additional 381,504 shares during the period. Finally, LSV Asset Management increased its position in BorgWarner by 22.5% during the fourth quarter. LSV Asset Management now owns 4,308,145 shares of the auto parts company’s stock worth $136,956,000 after purchasing an additional 792,100 shares during the last quarter. Institutional investors and hedge funds own 95.67% of the company’s stock.

Analyst Ratings Changes

A number of equities research analysts have weighed in on BWA shares. JPMorgan Chase & Co. lowered their price objective on BorgWarner from $51.00 to $49.00 and set an “overweight” rating on the stock in a report on Monday, January 27th. StockNews.com upgraded BorgWarner from a “hold” rating to a “buy” rating in a research note on Monday, March 24th. BNP Paribas raised shares of BorgWarner from a “neutral” rating to an “outperform” rating and set a $36.00 price target on the stock in a research note on Tuesday, March 18th. Cowen downgraded shares of BorgWarner from a “buy” rating to a “hold” rating in a report on Thursday, March 6th. Finally, Guggenheim set a $38.00 price objective on shares of BorgWarner in a report on Wednesday, March 5th. Seven investment analysts have rated the stock with a hold rating and twelve have assigned a buy rating to the stock. Based on data from MarketBeat, BorgWarner currently has an average rating of “Moderate Buy” and an average price target of $39.06.

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.