BorgWarner (NYSE:BWA) Sets New 12-Month Low After Analyst Downgrade

BorgWarner Inc. (NYSE:BWA)’s share price reached a new 52-week low on Monday after Morgan Stanley lowered their price target on the stock from $45.00 to $40.00. Morgan Stanley currently has an overweight rating on the stock. BorgWarner traded as low as $28.58 and last traded at $28.61, with a volume of 1209192 shares trading hands. The stock had previously closed at $29.66.

Several other research analysts have also weighed in on BWA. Wells Fargo & Company increased their price objective on BorgWarner from $40.00 to $41.00 and gave the stock an “overweight” rating in a research report on Friday, February 7th. Deutsche Bank Aktiengesellschaft upped their price target on BorgWarner from $38.00 to $39.00 and gave the company a “hold” rating in a research note on Monday, November 4th. Evercore ISI cut their price objective on BorgWarner from $43.00 to $40.00 and set an “outperform” rating for the company in a research report on Monday, February 10th. StockNews.com lowered shares of BorgWarner from a “buy” rating to a “hold” rating in a research note on Friday, February 7th. Finally, Guggenheim reiterated a “buy” rating and set 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 given a buy rating to the company. Based on data from MarketBeat, BorgWarner currently has an average rating of “Moderate Buy” and a consensus target price of $40.53.

Insiders Place Their Bets

In related news, CAO Tonit M. Calaway sold 13,500 shares of the company’s stock in a transaction that occurred on Monday, February 10th. The shares were sold at an average price of $30.16, for a total transaction of $407,160.00. Following the sale, the chief accounting officer now directly owns 259,310 shares in the company, 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 accessible through the SEC website. 0.45% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Studio Investment Management LLC lifted its position in shares of BorgWarner by 12.4% during the 3rd quarter. Studio Investment Management LLC now owns 2,813 shares of the auto parts company’s stock worth $102,000 after purchasing an additional 310 shares during the last quarter. Avior Wealth Management LLC raised its stake in BorgWarner by 31.3% in the fourth quarter. Avior Wealth Management LLC now owns 1,435 shares of the auto parts company’s stock valued at $46,000 after buying an additional 342 shares in the last quarter. Janney Montgomery Scott LLC lifted its holdings in BorgWarner by 0.7% during the 4th quarter. Janney Montgomery Scott LLC now owns 54,432 shares of the auto parts company’s stock worth $1,730,000 after buying an additional 381 shares during the last quarter. Wealth Enhancement Advisory Services LLC boosted its position in shares of BorgWarner by 0.5% during the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 76,168 shares of the auto parts company’s stock worth $2,421,000 after acquiring an additional 393 shares in the last quarter. Finally, Wellington Management Group LLP increased its holdings in shares of BorgWarner by 1.4% in the 3rd quarter. Wellington Management Group LLP now owns 27,629 shares of the auto parts company’s stock valued at $1,003,000 after acquiring an additional 394 shares during the last quarter. Hedge funds and other institutional investors own 95.67% of the company’s stock.

BorgWarner Stock Down 3.3 %

The firm has a 50-day moving average price of $31.23 and a two-hundred day moving average price of $33.00. The firm has a market cap of $6.30 billion, a price-to-earnings ratio of 20.14, a price-to-earnings-growth ratio of 0.77 and a beta of 1.18. The company has a debt-to-equity ratio of 0.66, a quick ratio of 1.45 and a current ratio of 1.79.

BorgWarner (NYSE:BWA) last released its quarterly earnings data on Thursday, February 6th. The auto parts company reported $1.01 earnings per share for the quarter, topping analysts’ consensus estimates of $0.93 by $0.08. BorgWarner had a net margin of 2.40% and a return on equity of 15.93%. On average, sell-side analysts forecast that BorgWarner Inc. will post 4.28 earnings per share for the current year.

BorgWarner Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Stockholders of record on Monday, March 3rd will be given a dividend of $0.11 per share. This represents a $0.44 dividend on an annualized basis and a dividend yield of 1.53%. The ex-dividend date is Monday, March 3rd. BorgWarner’s dividend payout ratio (DPR) is currently 30.77%.

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.