Principal Financial Group Inc. Boosts Stake in BorgWarner Inc. (NYSE:BWA)

Principal Financial Group Inc. grew its position in BorgWarner Inc. (NYSE:BWA) by 3.0% during the 3rd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 261,840 shares of the auto parts company’s stock after purchasing an additional 7,559 shares during the period. Principal Financial Group Inc. owned approximately 0.12% of BorgWarner worth $9,502,000 as of its most recent SEC filing.

A number of other institutional investors have also modified their holdings of BWA. Franklin Resources Inc. increased its position in shares of BorgWarner by 292.9% in the third quarter. Franklin Resources Inc. now owns 253,625 shares of the auto parts company’s stock worth $8,986,000 after acquiring an additional 189,081 shares in the last quarter. Peapack Gladstone Financial Corp raised its position in BorgWarner by 2.0% in the third quarter. Peapack Gladstone Financial Corp now owns 107,336 shares of the auto parts company’s stock valued at $3,896,000 after purchasing an additional 2,067 shares during the period. Wilmington Savings Fund Society FSB acquired a new position in shares of BorgWarner during the third quarter worth about $62,000. Pine Valley Investments Ltd Liability Co boosted its position in shares of BorgWarner by 8.4% in the third quarter. Pine Valley Investments Ltd Liability Co now owns 7,100 shares of the auto parts company’s stock worth $258,000 after buying an additional 550 shares during the period. Finally, Geode Capital Management LLC grew its stake 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 valued at $231,376,000 after buying an additional 217,050 shares in the last quarter. Hedge funds and other institutional investors own 95.67% of the company’s stock.

Insider Buying and Selling

In related news, CEO Frederic Lissalde sold 154,000 shares of the company’s stock in a transaction on Monday, November 11th. The shares were sold at an average price of $34.61, for a total transaction of $5,329,940.00. Following the completion of the sale, the chief executive officer now directly owns 259,957 shares of the company’s stock, valued at approximately $8,997,111.77. This represents a 37.20 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Isabelle Mckenzie sold 5,700 shares of the business’s stock in a transaction dated Monday, November 11th. The stock was sold at an average price of $34.62, for a total value of $197,334.00. Following the transaction, the vice president now directly owns 37,640 shares of the company’s stock, valued at $1,303,096.80. This represents a 13.15 % decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 222,010 shares of company stock worth $7,678,076. Corporate insiders own 0.45% of the company’s stock.

BorgWarner Stock Performance

NYSE:BWA opened at $31.64 on Tuesday. The company has a 50-day moving average of $33.82 and a 200-day moving average of $33.47. The firm has a market cap of $6.92 billion, a price-to-earnings ratio of 8.03, a price-to-earnings-growth ratio of 0.77 and a beta of 1.19. The company has a current ratio of 1.84, a quick ratio of 1.48 and a debt-to-equity ratio of 0.66. BorgWarner Inc. has a twelve month low of $29.51 and a twelve month high of $38.22.

BorgWarner (NYSE:BWA) last announced its earnings results on Thursday, October 31st. The auto parts company reported $1.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.92 by $0.17. BorgWarner had a return on equity of 15.51% and a net margin of 6.33%. The company had revenue of $3.45 billion for the quarter, compared to analyst estimates of $3.50 billion. During the same period in the previous year, the firm earned $0.98 earnings per share. BorgWarner’s revenue for the quarter was down 4.8% compared to the same quarter last year. Analysts forecast that BorgWarner Inc. will post 4.22 earnings per share for the current fiscal year.

BorgWarner Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, December 16th. Shareholders of record on Monday, December 2nd were paid a $0.11 dividend. The ex-dividend date of this dividend was Monday, December 2nd. This represents a $0.44 annualized dividend and a yield of 1.39%. BorgWarner’s dividend payout ratio is presently 11.17%.

Wall Street Analyst Weigh In

BWA has been the subject of a number of analyst reports. Evercore ISI upgraded BorgWarner from an “in-line” rating to an “outperform” rating and upped their price target for the stock from $39.00 to $43.00 in a report on Monday, October 14th. JPMorgan Chase & Co. lowered their target price on BorgWarner from $51.00 to $50.00 and set an “overweight” rating for the company in a research note on Monday, October 21st. Wells Fargo & Company dropped their price target on shares of BorgWarner from $42.00 to $40.00 and set an “overweight” rating for the company in a research note on Monday, December 16th. The Goldman Sachs Group cut their price objective on BorgWarner from $38.00 to $36.00 and set a “neutral” rating on the stock in a research note on Tuesday, October 1st. Finally, Guggenheim restated a “buy” rating and issued a $41.00 price target on shares of BorgWarner in a research report on Thursday, December 12th. Six 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 MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $41.07.

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.