BorgWarner (NYSE:BWA) Given New $53.00 Price Target at JPMorgan Chase & Co.

Key Points

• JPMorgan Chase & Co. has raised the price target for BorgWarner from $45.00 to $53.00, indicating a potential upside of 23.27% from the stock's recent close.
• Several brokerages have upgraded their ratings for BorgWarner, with one raising it to a "strong-buy" and another setting a target price of $52.00.
• BorgWarner has initiated a $1.00 billion stock repurchase plan, demonstrating the company's belief that its stock is undervalued.

BorgWarner (NYSE:BWA - Get Free Report) had its price objective increased by investment analysts at JPMorgan Chase & Co. from $45.00 to $53.00 in a report released on Monday,Benzinga reports. The brokerage presently has an "overweight" rating on the auto parts company's stock. JPMorgan Chase & Co.'s price objective points to a potential upside of 23.27% from the stock's previous close.

A number of other brokerages have also issued reports on BWA. Wall Street Zen raised shares of BorgWarner from a "buy" rating to a "strong-buy" rating in a research report on Saturday, July 12th. The Goldman Sachs Group boosted their target price on shares of BorgWarner from $45.00 to $52.00 and gave the stock a "buy" rating in a research report on Monday, September 29th. Morgan Stanley boosted their target price on shares of BorgWarner from $40.00 to $42.00 and gave the stock an "overweight" rating in a research report on Tuesday, August 12th. UBS Group boosted their target price on shares of BorgWarner from $43.00 to $46.00 and gave the stock a "neutral" rating in a research report on Monday, October 6th. Finally, Zacks Research lowered shares of BorgWarner from a "strong-buy" rating to a "hold" rating in a research report on Monday, October 13th. One analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, BorgWarner currently has a consensus rating of "Moderate Buy" and an average target price of $45.21.

BorgWarner Stock Performance

BWA traded up $0.41 during trading on Monday, hitting $43.00. The stock had a trading volume of 1,326,803 shares, compared to its average volume of 2,717,802. The company has a current ratio of 2.02, a quick ratio of 1.66 and a debt-to-equity ratio of 0.64. BorgWarner has a 12 month low of $24.40 and a 12 month high of $44.97. The company has a 50 day simple moving average of $42.96 and a 200-day simple moving average of $36.03. The firm has a market cap of $9.30 billion, a PE ratio of 45.74, a P/E/G ratio of 1.57 and a beta of 1.09.

BorgWarner (NYSE:BWA - Get Free Report) last released its earnings results on Thursday, July 31st. The auto parts company reported $1.21 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.06 by $0.15. The firm had revenue of $3.64 billion for the quarter, compared to analyst estimates of $3.56 billion. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%.The company's revenue was up 1.0% on a year-over-year basis. During the same quarter last year, the firm posted $1.19 EPS. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. Analysts expect that BorgWarner will post 4.28 EPS for the current year.

BorgWarner declared that its Board of Directors has initiated a stock repurchase plan on Thursday, July 31st that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the auto parts company to purchase up to 13.2% of its shares through open market purchases. Shares buyback plans are often a sign that the company's leadership believes its stock is undervalued.

Insider Activity at BorgWarner

In related news, VP Isabelle Mckenzie sold 2,500 shares of BorgWarner stock in a transaction dated Tuesday, August 12th. The shares were sold at an average price of $40.01, for a total transaction of $100,025.00. Following the completion of the transaction, the vice president directly owned 55,945 shares of the company's stock, valued at $2,238,359.45. This trade represents a 4.28% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, VP Stefan Demmerle sold 15,000 shares of the company's stock in a transaction dated Tuesday, August 12th. The stock was sold at an average price of $39.31, for a total transaction of $589,650.00. Following the transaction, the vice president owned 234,040 shares in the company, valued at approximately $9,200,112.40. This trade represents a 6.02% decrease in their position. The disclosure for this sale can be found here. Insiders sold 31,272 shares of company stock valued at $1,263,318 in the last ninety days. Insiders own 0.63% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Farther Finance Advisors LLC lifted its position in BorgWarner by 26.1% during the 1st quarter. Farther Finance Advisors LLC now owns 1,965 shares of the auto parts company's stock valued at $56,000 after purchasing an additional 407 shares during the period. Oppenheimer Asset Management Inc. lifted its position in BorgWarner by 6.9% during the 1st quarter. Oppenheimer Asset Management Inc. now owns 35,694 shares of the auto parts company's stock valued at $1,023,000 after purchasing an additional 2,311 shares during the period. Moran Wealth Management LLC lifted its position in BorgWarner by 3.1% during the 1st quarter. Moran Wealth Management LLC now owns 18,415 shares of the auto parts company's stock valued at $528,000 after purchasing an additional 546 shares during the period. Edmp Inc. lifted its position in BorgWarner by 17.9% during the 1st quarter. Edmp Inc. now owns 55,875 shares of the auto parts company's stock valued at $1,601,000 after purchasing an additional 8,470 shares during the period. Finally, Lecap Asset Management Ltd. lifted its position in BorgWarner by 381.4% during the 1st quarter. Lecap Asset Management Ltd. now owns 46,038 shares of the auto parts company's stock valued at $1,319,000 after purchasing an additional 36,475 shares during the period. Institutional investors and hedge funds 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.