BorgWarner’s (BWA) Buy Rating Reiterated at Guggenheim

BorgWarner (NYSE:BWA)‘s stock had its “buy” rating reaffirmed by research analysts at Guggenheim in a note issued to investors on Thursday,Benzinga reports. They presently have a $41.00 target price on the auto parts company’s stock. Guggenheim’s price objective suggests a potential upside of 20.41% from the company’s previous close.

A number of other equities analysts have also issued reports on the stock. Wolfe Research started coverage on shares of BorgWarner in a research report on Thursday, September 5th. They set a “peer perform” rating for the company. JPMorgan Chase & Co. decreased their target price on shares of BorgWarner from $51.00 to $50.00 and set an “overweight” rating for the company in a research report on Monday, October 21st. Evercore ISI raised BorgWarner from an “in-line” rating to an “outperform” rating and increased their price target for the stock from $39.00 to $43.00 in a research report on Monday, October 14th. Deutsche Bank Aktiengesellschaft boosted their price objective on BorgWarner from $38.00 to $39.00 and gave the company a “hold” rating in a report on Monday, November 4th. Finally, The Goldman Sachs Group dropped their target price on BorgWarner from $38.00 to $36.00 and set a “neutral” rating on the stock in a report on Tuesday, October 1st. Six equities research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $41.20.

BorgWarner Price Performance

Shares of BWA opened at $34.05 on Thursday. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.84 and a quick ratio of 1.48. The company’s fifty day moving average price is $34.38 and its 200-day moving average price is $33.68. BorgWarner has a 1-year low of $29.51 and a 1-year high of $38.22. The firm has a market capitalization of $7.45 billion, a PE ratio of 8.64, a price-to-earnings-growth ratio of 0.77 and a beta of 1.19.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Thursday, October 31st. The auto parts company reported $1.09 earnings per share for the quarter, beating the consensus estimate of $0.92 by $0.17. BorgWarner had a return on equity of 15.51% and a net margin of 6.33%. The business had revenue of $3.45 billion for the quarter, compared to the consensus estimate of $3.50 billion. During the same quarter in the previous year, the business earned $0.98 EPS. The company’s quarterly revenue was down 4.8% compared to the same quarter last year. On average, equities research analysts predict that BorgWarner will post 4.22 EPS for the current year.

Insider Buying and Selling

In related news, CEO Frederic Lissalde sold 154,000 shares of BorgWarner stock in a transaction dated Monday, November 11th. The stock was sold at an average price of $34.61, for a total value of $5,329,940.00. Following the sale, the chief executive officer now directly owns 259,957 shares in the company, valued at approximately $8,997,111.77. The trade was a 37.20 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, VP Stefan Demmerle sold 20,544 shares of the business’s stock in a transaction that occurred on Wednesday, November 27th. The stock was sold at an average price of $34.28, for a total value of $704,248.32. Following the sale, the vice president now owns 206,969 shares of the company’s stock, valued at approximately $7,094,897.32. This trade represents a 9.03 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 222,010 shares of company stock valued at $7,678,076. 0.45% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in BWA. Matrix Trust Co purchased a new stake in shares of BorgWarner during the third quarter worth $25,000. LRI Investments LLC grew its stake in BorgWarner by 2,685.3% during the 2nd quarter. LRI Investments LLC now owns 947 shares of the auto parts company’s stock valued at $31,000 after acquiring an additional 913 shares in the last quarter. Sentry Investment Management LLC acquired a new stake in BorgWarner in the 2nd quarter valued at about $32,000. Brooklyn Investment Group purchased a new position in BorgWarner in the 3rd quarter worth approximately $32,000. Finally, True Wealth Design LLC purchased a new position in BorgWarner in the 3rd quarter worth approximately $38,000. Hedge funds and other institutional investors own 95.67% of the company’s stock.

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.