Short Interest in BorgWarner Inc. (NYSE:BWA) Expands By 8.9%

BorgWarner Inc. (NYSE:BWA) was the recipient of a large increase in short interest in the month of September. As of September 15th, there was short interest totalling 10,010,000 shares, an increase of 8.9% from the August 31st total of 9,190,000 shares. Based on an average trading volume of 2,690,000 shares, the short-interest ratio is currently 3.7 days. Approximately 4.4% of the shares of the stock are sold short.

Analyst Upgrades and Downgrades

BWA has been the topic of several recent analyst reports. StockNews.com upgraded BorgWarner from a “hold” rating to a “buy” rating in a research note on Friday, August 2nd. Wolfe Research started coverage on BorgWarner in a research report on Thursday, September 5th. They set a “peer perform” rating on the stock. JPMorgan Chase & Co. boosted their price objective on BorgWarner from $50.00 to $51.00 and gave the stock an “overweight” rating in a research report on Monday, August 5th. The Goldman Sachs Group reduced their price objective on BorgWarner from $38.00 to $36.00 and set a “neutral” rating on the stock in a research report on Tuesday. Finally, UBS Group boosted their price objective on BorgWarner from $41.00 to $42.00 and gave the stock a “buy” rating in a research report on Wednesday, July 10th. Six equities research analysts have rated the stock with a hold rating and eleven have assigned a buy rating to the company. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $41.20.

BorgWarner Trading Down 2.2 %

BWA traded down $0.80 during midday trading on Tuesday, hitting $35.49. 2,933,045 shares of the company were exchanged, compared to its average volume of 2,839,496. The firm has a market capitalization of $8.09 billion, a P/E ratio of 13.44, a P/E/G ratio of 0.94 and a beta of 1.20. The company has a quick ratio of 1.26, a current ratio of 1.62 and a debt-to-equity ratio of 0.52. The firm’s 50 day moving average price is $33.10 and its 200-day moving average price is $33.75. BorgWarner has a 1-year low of $29.51 and a 1-year high of $40.76.

BorgWarner (NYSE:BWA) last announced its quarterly earnings data on Wednesday, July 31st. The auto parts company reported $1.19 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.01 by $0.18. The company had revenue of $3.60 billion for the quarter, compared to the consensus estimate of $3.69 billion. BorgWarner had a return on equity of 15.50% and a net margin of 4.97%. The firm’s revenue was down 20.3% compared to the same quarter last year. During the same period in the previous year, the business earned $1.35 EPS. As a group, equities analysts forecast that BorgWarner will post 4.1 EPS for the current fiscal year.

BorgWarner Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, September 16th. Stockholders of record on Tuesday, September 3rd were paid a $0.11 dividend. This represents a $0.44 dividend on an annualized basis and a dividend yield of 1.24%. The ex-dividend date of this dividend was Tuesday, September 3rd. BorgWarner’s dividend payout ratio is 16.67%.

Insiders Place Their Bets

In other BorgWarner news, EVP Tania Wingfield sold 2,066 shares of the firm’s stock in a transaction on Tuesday, August 13th. The stock was sold at an average price of $32.00, for a total transaction of $66,112.00. Following the transaction, the executive vice president now owns 46,016 shares in the company, valued at approximately $1,472,512. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. In other news, EVP Tania Wingfield sold 2,066 shares of BorgWarner stock in a transaction on Tuesday, August 13th. The stock was sold at an average price of $32.00, for a total value of $66,112.00. Following the transaction, the executive vice president now owns 46,016 shares in the company, valued at approximately $1,472,512. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, CAO Tonit M. Calaway sold 10,868 shares of BorgWarner stock in a transaction on Monday, August 5th. The shares were sold at an average price of $31.74, for a total value of $344,950.32. Following the completion of the transaction, the chief accounting officer now owns 206,083 shares in the company, valued at approximately $6,541,074.42. The disclosure for this sale can be found here. Corporate insiders own 0.45% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. lifted its stake in shares of BorgWarner by 1.2% in the 4th quarter. Vanguard Group Inc. now owns 27,147,545 shares of the auto parts company’s stock valued at $973,239,000 after purchasing an additional 331,401 shares during the period. Dimensional Fund Advisors LP raised its stake in BorgWarner by 23.5% during the 2nd quarter. Dimensional Fund Advisors LP now owns 8,628,733 shares of the auto parts company’s stock worth $278,190,000 after buying an additional 1,640,503 shares during the period. Earnest Partners LLC raised its stake in BorgWarner by 20.2% during the 2nd quarter. Earnest Partners LLC now owns 3,979,776 shares of the auto parts company’s stock worth $128,308,000 after buying an additional 669,137 shares during the period. Point72 Asset Management L.P. raised its stake in BorgWarner by 361.1% during the 2nd quarter. Point72 Asset Management L.P. now owns 2,450,696 shares of the auto parts company’s stock worth $79,010,000 after buying an additional 1,919,219 shares during the period. Finally, Sei Investments Co. raised its stake in BorgWarner by 17.1% during the 2nd quarter. Sei Investments Co. now owns 2,217,195 shares of the auto parts company’s stock worth $71,482,000 after buying an additional 324,087 shares during the period. 95.67% of the stock is owned by institutional investors and hedge funds.

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.