BorgWarner (NYSE:BWA) Trading Down 4.7% – Here’s What Happened

BorgWarner Inc. (NYSE:BWA) shares dropped 4.7% during mid-day trading on Thursday . The stock traded as low as $28.31 and last traded at $28.82. Approximately 438,275 shares traded hands during mid-day trading, a decline of 83% from the average daily volume of 2,635,328 shares. The stock had previously closed at $30.25.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on BWA. Wells Fargo & Company increased their target price on BorgWarner from $40.00 to $41.00 and gave the stock an “overweight” rating in a report on Friday, February 7th. BNP Paribas upgraded shares of BorgWarner from a “neutral” rating to an “outperform” rating and set a $36.00 price objective for the company in a research report on Tuesday, March 18th. Morgan Stanley dropped their target price on shares of BorgWarner from $45.00 to $40.00 and set an “overweight” rating for the company in a research note on Monday, March 3rd. Barclays decreased their price target on shares of BorgWarner from $43.00 to $42.00 and set an “overweight” rating on the stock in a research note on Tuesday, February 11th. Finally, Evercore ISI dropped their price objective on shares of BorgWarner from $43.00 to $40.00 and set an “outperform” rating for the company in a research report on Monday, February 10th. Seven equities research analysts have rated the stock with a hold rating and twelve have given a buy rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $39.06.

BorgWarner Price 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 fifty day moving average price of $30.08 and a two-hundred day moving average price of $32.42. The company has a market cap of $6.19 billion, a P/E ratio of 19.70, a PEG ratio of 0.77 and a beta of 1.21.

BorgWarner (NYSE:BWA) last announced its quarterly earnings data on Thursday, February 6th. The auto parts company reported $1.01 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates 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 anticipate that BorgWarner Inc. will post 4.28 earnings per share for the current fiscal year.

BorgWarner Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 17th. Stockholders of record on Monday, March 3rd were given a $0.11 dividend. The ex-dividend date of this dividend was Monday, March 3rd. This represents a $0.44 dividend on an annualized basis and a dividend yield of 1.56%. BorgWarner’s payout ratio is 30.77%.

Insider Transactions at BorgWarner

In other news, EVP Tania Wingfield sold 24,000 shares of BorgWarner 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 completion of the sale, the executive vice president now owns 39,110 shares of the company’s stock, valued at approximately $1,125,976.90. This trade represents a 38.03 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CAO Tonit M. Calaway sold 8,300 shares of the firm’s stock in a transaction dated Monday, March 10th. The stock was sold at an average price of $30.07, for a total transaction of $249,581.00. Following the transaction, the chief accounting officer now directly owns 242,257 shares in the company, valued at approximately $7,284,667.99. This represents a 3.31 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 45,800 shares of company stock worth $1,347,701. 0.45% of the stock is owned by insiders.

Hedge Funds Weigh In On BorgWarner

A number of hedge funds have recently added to or reduced their stakes in BWA. Daiwa Securities Group Inc. increased its position in shares of BorgWarner by 14.7% in the third quarter. Daiwa Securities Group Inc. now owns 10,506 shares of the auto parts company’s stock worth $381,000 after purchasing an additional 1,345 shares during the period. Brooklyn Investment Group acquired a new stake in BorgWarner during the third quarter worth about $32,000. Bridgewater Associates LP raised its position in shares of BorgWarner by 4,509.5% in the 3rd quarter. Bridgewater Associates LP now owns 378,947 shares of the auto parts company’s stock valued at $13,752,000 after buying an additional 370,726 shares in the last quarter. Glenmede Trust Co. NA raised its position in shares of BorgWarner by 44.2% in the 3rd quarter. Glenmede Trust Co. NA now owns 304,243 shares of the auto parts company’s stock valued at $11,041,000 after buying an additional 93,220 shares in the last quarter. Finally, FORA Capital LLC bought a new stake in shares of BorgWarner during the 3rd quarter worth approximately $284,000. Institutional investors own 95.67% of the company’s stock.

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.