BorgWarner Inc. (NYSE:BWA) Short Interest Update

BorgWarner Inc. (NYSE:BWA) was the target of a large increase in short interest in April. As of April 30th, there was short interest totalling 15,200,000 shares, an increase of 7.9% from the April 15th total of 14,090,000 shares. Based on an average daily volume of 3,050,000 shares, the days-to-cover ratio is presently 5.0 days. Currently, 6.7% of the company’s stock are short sold.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on the stock. Oppenheimer lifted their price target on shares of BorgWarner from $39.00 to $40.00 and gave the stock an “outperform” rating in a research note on Friday, May 3rd. StockNews.com raised shares of BorgWarner from a “hold” rating to a “buy” rating in a report on Monday, May 6th. Piper Sandler initiated coverage on shares of BorgWarner in a report on Friday, March 15th. They issued an “overweight” rating and a $43.00 target price on the stock. BNP Paribas downgraded shares of BorgWarner from an “outperform” rating to a “neutral” rating and lowered their target price for the stock from $43.00 to $35.00 in a report on Tuesday, February 20th. Finally, TD Cowen boosted their target price on shares of BorgWarner from $36.00 to $40.00 and gave the stock a “buy” rating in a report on Friday, May 3rd. Seven equities research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $43.76.

BorgWarner Stock Up 0.3 %

NYSE:BWA opened at $37.63 on Friday. BorgWarner has a 1-year low of $29.51 and a 1-year high of $50.04. The company has a 50-day moving average of $34.23 and a 200 day moving average of $33.71. The firm has a market cap of $8.57 billion, a PE ratio of 14.25, a price-to-earnings-growth ratio of 0.91 and a beta of 1.30. The company has a debt-to-equity ratio of 0.55, a current ratio of 1.54 and a quick ratio of 1.20.

BorgWarner (NYSE:BWA) last released its quarterly earnings results on Thursday, May 2nd. The auto parts company reported $1.03 EPS for the quarter, beating the consensus estimate of $0.87 by $0.16. The business had revenue of $3.60 billion during the quarter, compared to analyst estimates of $3.51 billion. BorgWarner had a net margin of 4.02% and a return on equity of 15.33%. The company’s quarterly revenue was up 6.3% on a year-over-year basis. During the same period in the prior year, the firm posted $1.09 earnings per share. As a group, research analysts anticipate that BorgWarner will post 4.04 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, June 17th. Shareholders of record on Monday, June 3rd will be given a dividend of $0.11 per share. This represents a $0.44 annualized dividend and a dividend yield of 1.17%. The ex-dividend date is Monday, June 3rd. BorgWarner’s payout ratio is 16.67%.

BorgWarner announced that its board has approved a stock buyback plan on Thursday, May 2nd that permits the company to buyback $500.00 million in shares. This buyback authorization permits the auto parts company to purchase up to 6% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s board believes its stock is undervalued.

Insider Buying and Selling at BorgWarner

In other BorgWarner news, VP Volker Weng sold 20,000 shares of the firm’s stock in a transaction dated Thursday, March 7th. The shares were sold at an average price of $32.85, for a total transaction of $657,000.00. Following the completion of the sale, the vice president now directly owns 111,964 shares in the company, valued at approximately $3,678,017.40. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. In other news, VP Stefan Demmerle sold 3,000 shares of BorgWarner stock in a transaction that occurred on Wednesday, March 13th. The shares were sold at an average price of $33.00, for a total value of $99,000.00. Following the completion of the sale, the vice president now directly owns 249,013 shares in the company, valued at $8,217,429. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Volker Weng sold 20,000 shares of BorgWarner stock in a transaction that occurred on Thursday, March 7th. The stock was sold at an average price of $32.85, for a total transaction of $657,000.00. Following the completion of the sale, the vice president now owns 111,964 shares of the company’s stock, valued at $3,678,017.40. The disclosure for this sale can be found here. In the last ninety days, insiders sold 26,000 shares of company stock worth $849,870. 0.63% of the stock is owned by corporate insiders.

Institutional Trading of BorgWarner

Several hedge funds have recently modified their holdings of BWA. Norges Bank purchased a new stake in shares of BorgWarner during the fourth quarter valued at about $75,489,000. Boston Partners increased its holdings in shares of BorgWarner by 58.9% during the third quarter. Boston Partners now owns 5,267,500 shares of the auto parts company’s stock valued at $211,762,000 after acquiring an additional 1,951,783 shares in the last quarter. Invesco Ltd. increased its holdings in shares of BorgWarner by 30.4% during the third quarter. Invesco Ltd. now owns 4,399,084 shares of the auto parts company’s stock valued at $177,591,000 after acquiring an additional 1,024,361 shares in the last quarter. Victory Capital Management Inc. increased its holdings in shares of BorgWarner by 10.9% during the fourth quarter. Victory Capital Management Inc. now owns 9,668,438 shares of the auto parts company’s stock valued at $346,614,000 after acquiring an additional 948,659 shares in the last quarter. Finally, Ninety One UK Ltd increased its holdings in shares of BorgWarner by 85.1% during the fourth quarter. Ninety One UK Ltd now owns 1,656,221 shares of the auto parts company’s stock valued at $59,376,000 after acquiring an additional 761,250 shares in the last quarter. 95.67% of the stock is owned by hedge funds and other 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.