BorgWarner (NYSE:BWA) Sets New 12-Month Low – What’s Next?

BorgWarner Inc. (NYSE:BWA)’s share price hit a new 52-week low on Thursday . The company traded as low as $27.51 and last traded at $27.53, with a volume of 480465 shares. The stock had previously closed at $29.12.

Wall Street Analyst Weigh In

Several research firms recently commented on BWA. The Goldman Sachs Group dropped their target price on BorgWarner from $35.00 to $31.00 and set a “neutral” rating for the company in a research note on Thursday, January 16th. TD Cowen cut shares of BorgWarner from a “buy” rating to a “hold” rating and set a $31.00 target price on the stock. in a research report on Friday, March 7th. Wells Fargo & Company boosted their price objective on shares of BorgWarner from $40.00 to $41.00 and gave the company an “overweight” rating in a research note on Friday, February 7th. JPMorgan Chase & Co. cut their target price on BorgWarner from $51.00 to $49.00 and set an “overweight” rating on the stock in a research report on Monday, January 27th. Finally, StockNews.com raised BorgWarner from a “hold” rating to a “buy” rating in a research report on Friday. Seven research analysts have rated the stock with a hold rating and twelve have given a buy rating to the stock. According to data from MarketBeat, BorgWarner presently has a consensus rating of “Moderate Buy” and a consensus price target of $39.06.

BorgWarner Stock Performance

The company has a debt-to-equity ratio of 0.66, a quick ratio of 1.45 and a current ratio of 1.79. The company has a market capitalization of $5.69 billion, a PE ratio of 18.13, a PEG ratio of 0.77 and a beta of 1.21. The company has a 50 day moving average price of $29.63 and a 200 day moving average price of $32.28.

BorgWarner (NYSE:BWA) last posted its quarterly earnings data on Thursday, February 6th. The auto parts company reported $1.01 EPS for the quarter, beating 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%. Equities analysts forecast that BorgWarner Inc. will post 4.28 EPS for the current year.

BorgWarner Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, March 17th. Investors of record on Monday, March 3rd were paid a $0.11 dividend. The ex-dividend date was Monday, March 3rd. This represents a $0.44 dividend on an annualized basis and a yield of 1.70%. BorgWarner’s dividend payout ratio (DPR) is 30.77%.

Insider Activity at BorgWarner

In related news, EVP Tania Wingfield sold 24,000 shares of the firm’s stock in a transaction on Wednesday, March 5th. The stock was sold at an average price of $28.79, for a total transaction 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 ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CAO Tonit M. Calaway sold 8,300 shares of the business’s stock in a transaction on Monday, March 10th. The shares were sold at an average price of $30.07, for a total transaction of $249,581.00. Following the sale, 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. Insiders sold a total of 45,800 shares of company stock valued at $1,347,701 over the last three months. 0.45% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the business. Versant Capital Management Inc raised its stake in BorgWarner by 448.5% during the first quarter. Versant Capital Management Inc now owns 1,810 shares of the auto parts company’s stock worth $52,000 after acquiring an additional 1,480 shares during the period. Wellington Management Group LLP grew its holdings in shares of BorgWarner by 231.1% during the fourth quarter. Wellington Management Group LLP now owns 91,466 shares of the auto parts company’s stock valued at $2,908,000 after purchasing an additional 63,837 shares during the last quarter. 111 Capital bought a new position in shares of BorgWarner during the fourth quarter valued at approximately $206,000. Universal Beteiligungs und Servicegesellschaft mbH acquired a new stake in shares of BorgWarner during the 4th quarter worth approximately $9,286,000. Finally, American Trust lifted its holdings in shares of BorgWarner by 11.7% in the 4th quarter. American Trust now owns 11,897 shares of the auto parts company’s stock worth $378,000 after purchasing an additional 1,243 shares during the last quarter. 95.67% of the stock is currently owned by institutional investors.

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.