Zacks Investment Research upgraded shares of BorgWarner (NYSE:BWA) from a hold rating to a buy rating in a research note published on Thursday morning. Zacks Investment Research currently has $61.00 target price on the auto parts company’s stock.
According to Zacks, “The Zacks Consensus Estimate for BorgWarner’s annual earnings has been going up of late. The company is poised to benefit from its expansion in Asia that will positively impact its sales figure. Also, a strong balance sheet and ample cash flow helps the company to return capital to its shareholders and undertake new acquisitions. Moreover, it has provided a positive guidance for the fiscal 2017. Also, in the last three months, BorgWarner’s shares have outperformed the industry it belongs to.”
A number of other equities analysts have also recently commented on the company. Royal Bank of Canada restated a hold rating and set a $61.00 target price on shares of BorgWarner in a report on Wednesday, December 20th. Oppenheimer assumed coverage on BorgWarner in a report on Thursday, December 7th. They set an outperform rating and a $63.00 target price for the company. BMO Capital Markets raised their target price on BorgWarner from $60.00 to $65.00 and gave the company an outperform rating in a report on Monday, October 30th. Citigroup raised their target price on BorgWarner from $50.00 to $54.00 and gave the company a neutral rating in a report on Monday, October 30th. Finally, Barclays set a $50.00 target price on BorgWarner and gave the company a hold rating in a report on Friday, October 20th. Two investment analysts have rated the stock with a sell rating, eight have given a hold rating and eight have issued a buy rating to the stock. BorgWarner has a consensus rating of Hold and a consensus target price of $51.88.
BorgWarner (NYSE:BWA) last issued its quarterly earnings data on Thursday, October 26th. The auto parts company reported $0.95 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.88 by $0.07. The firm had revenue of $2.42 billion during the quarter, compared to the consensus estimate of $2.26 billion. BorgWarner had a return on equity of 21.48% and a net margin of 3.09%. The company’s quarterly revenue was up 9.1% on a year-over-year basis. During the same period last year, the company earned $0.78 EPS. sell-side analysts expect that BorgWarner will post 3.83 EPS for the current year.
In other news, VP Joel Wiegert sold 1,400 shares of BorgWarner stock in a transaction dated Monday, December 18th. The stock was sold at an average price of $52.35, for a total value of $73,290.00. Following the completion of the transaction, the vice president now owns 16,197 shares in the company, valued at approximately $847,912.95. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, EVP John J. Gasparovic sold 38,409 shares of BorgWarner stock in a transaction dated Monday, December 18th. The shares were sold at an average price of $52.60, for a total value of $2,020,313.40. Following the completion of the transaction, the executive vice president now owns 63,937 shares of the company’s stock, valued at approximately $3,363,086.20. The disclosure for this sale can be found here. Company insiders own 0.66% of the company’s stock.
Several institutional investors and hedge funds have recently made changes to their positions in the company. Vanguard Group Inc. boosted its stake in shares of BorgWarner by 1.5% in the 2nd quarter. Vanguard Group Inc. now owns 20,470,428 shares of the auto parts company’s stock valued at $867,128,000 after buying an additional 308,140 shares during the period. Boston Partners lifted its stake in BorgWarner by 7.2% during the third quarter. Boston Partners now owns 11,588,389 shares of the auto parts company’s stock worth $593,672,000 after purchasing an additional 777,782 shares during the last quarter. Victory Capital Management Inc. lifted its stake in BorgWarner by 1.3% during the third quarter. Victory Capital Management Inc. now owns 3,904,799 shares of the auto parts company’s stock worth $200,044,000 after purchasing an additional 50,161 shares during the last quarter. Black Creek Investment Management Inc. lifted its stake in BorgWarner by 32.5% during the second quarter. Black Creek Investment Management Inc. now owns 2,664,249 shares of the auto parts company’s stock worth $112,858,000 after purchasing an additional 653,574 shares during the last quarter. Finally, Goldman Sachs Group Inc. lifted its stake in BorgWarner by 108.2% during the second quarter. Goldman Sachs Group Inc. now owns 2,496,736 shares of the auto parts company’s stock worth $105,762,000 after purchasing an additional 1,297,584 shares during the last quarter. Institutional investors and hedge funds own 95.16% of the company’s stock.
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BorgWarner Company Profile
BorgWarner Inc is engaged in providing technology solutions for combustion, hybrid and electric vehicles. The Company’s segments include Engine and Drivetrain. The Engine segment’s products include turbochargers, timing devices and chains, emissions systems and thermal systems. The Engine segment develops and manufactures products for gasoline and diesel engines, and alternative powertrains.
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