BorgWarner (NYSE:BWA) Sets New 52-Week Low Following Insider Selling

Shares of BorgWarner Inc. (NYSE:BWA) reached a new 52-week low during mid-day trading on Thursday after an insider sold shares in the company. The stock traded as low as $28.65 and last traded at $28.89, with a volume of 2924629 shares changing hands. The stock had previously closed at $29.44.

Specifically, CAO Tonit M. Calaway sold 13,500 shares of the company’s stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $30.16, for a total transaction of $407,160.00. Following the completion of the sale, the chief accounting officer now directly owns 259,310 shares of the company’s stock, valued at approximately $7,820,789.60. This represents a 4.95 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. Barclays reduced their price objective on shares of BorgWarner from $43.00 to $42.00 and set an “overweight” rating for the company in a research note on Tuesday. StockNews.com lowered shares of BorgWarner from a “buy” rating to a “hold” rating in a research note on Friday, February 7th. The Goldman Sachs Group dropped their target price on BorgWarner from $35.00 to $31.00 and set a “neutral” rating on the stock in a report on Thursday, January 16th. Wells Fargo & Company upped their target price on BorgWarner from $40.00 to $41.00 and gave the company an “overweight” rating in a report on Friday, February 7th. Finally, JPMorgan Chase & Co. dropped their target price on BorgWarner from $51.00 to $49.00 and set an “overweight” rating on the stock in a report on Monday, January 27th. Seven analysts have rated the stock with a hold rating and ten have issued a buy rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus target price of $40.20.

BorgWarner Stock Performance

The company has a debt-to-equity ratio of 0.66, a current ratio of 1.79 and a quick ratio of 1.48. The firm has a fifty day simple moving average of $32.11 and a 200 day simple moving average of $33.22. The company has a market cap of $6.32 billion, a price-to-earnings ratio of 20.20, a P/E/G ratio of 0.63 and a beta of 1.18.

BorgWarner (NYSE:BWA) last announced its quarterly earnings results on Thursday, February 6th. The auto parts company reported $1.01 EPS for the quarter, beating the consensus estimate of $0.93 by $0.08. BorgWarner had a return on equity of 15.93% and a net margin of 2.40%. On average, sell-side analysts expect that BorgWarner Inc. will post 4.54 earnings per share for the current fiscal year.

BorgWarner Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Investors of record on Monday, March 3rd will be given a $0.11 dividend. The ex-dividend date is Monday, March 3rd. This represents a $0.44 annualized dividend and a yield of 1.52%. BorgWarner’s dividend payout ratio (DPR) is currently 30.77%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Wellington Management Group LLP lifted its position in BorgWarner by 1.4% in the third quarter. Wellington Management Group LLP now owns 27,629 shares of the auto parts company’s stock worth $1,003,000 after purchasing an additional 394 shares during the period. Mirabella Financial Services LLP acquired a new position in BorgWarner during the third quarter worth $908,000. Merit Financial Group LLC raised its stake in BorgWarner by 33.2% during the fourth quarter. Merit Financial Group LLC now owns 18,198 shares of the auto parts company’s stock worth $579,000 after acquiring an additional 4,537 shares in the last quarter. Swedbank AB raised its stake in BorgWarner by 236.5% during the third quarter. Swedbank AB now owns 844,112 shares of the auto parts company’s stock worth $30,633,000 after acquiring an additional 593,265 shares in the last quarter. Finally, HITE Hedge Asset Management LLC raised its stake in BorgWarner by 28.4% during the third quarter. HITE Hedge Asset Management LLC now owns 290,317 shares of the auto parts company’s stock worth $10,536,000 after acquiring an additional 64,126 shares in the last quarter. 95.67% of the stock is owned by institutional investors.

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.