13,935 Shares in BorgWarner Inc. $BWA Purchased by Krilogy Financial LLC

Key Points

• Krilogy Financial LLC has acquired 13,935 shares of BorgWarner Inc., valued at approximately $467,000, marking a new position for the institutional investor in the auto parts company.
• BorgWarner has announced a quarterly dividend increase to $0.17 per share, up from the previous $0.11, and initiated a stock buyback program allowing for the repurchase of up to $1 billion in shares.
• Analysts have varying views on BorgWarner's stock, with Morgan Stanley upgrading its price target from $40 to $42 and Zacks Research raising its rating to strong-buy, reflecting a generally positive outlook on the company's performance.

Krilogy Financial LLC purchased a new position in shares of BorgWarner Inc. (NYSE:BWA - Free Report) during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund purchased 13,935 shares of the auto parts company's stock, valued at approximately $467,000.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the company. New York State Teachers Retirement System boosted its position in shares of BorgWarner by 3.8% in the first quarter. New York State Teachers Retirement System now owns 219,180 shares of the auto parts company's stock worth $6,280,000 after buying an additional 7,977 shares during the period. Avantax Advisory Services Inc. boosted its position in shares of BorgWarner by 13.3% during the first quarter. Avantax Advisory Services Inc. now owns 13,258 shares of the auto parts company's stock worth $380,000 after buying an additional 1,555 shares during the period. Sage Rhino Capital LLC acquired a new stake in BorgWarner during the 1st quarter valued at $235,000. Brown Advisory Inc. acquired a new position in shares of BorgWarner in the 1st quarter valued at approximately $522,000. Finally, Zurich Insurance Group Ltd FI acquired a new stake in shares of BorgWarner in the first quarter valued at about $1,223,000. 95.67% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several research analysts have recently commented on the company. UBS Group lifted their price objective on BorgWarner from $35.00 to $38.00 and gave the stock a "neutral" rating in a report on Monday, July 14th. Baird R W raised shares of BorgWarner from a "hold" rating to a "strong-buy" rating in a report on Wednesday, September 3rd. Wells Fargo & Company increased their target price on BorgWarner from $46.00 to $50.00 and gave the company an "overweight" rating in a report on Tuesday, September 9th. Morgan Stanley raised 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. Finally, Bank of America lowered BorgWarner from a "buy" rating to a "neutral" rating and increased their target price for the stock from $41.00 to $46.00 in a research report on Wednesday, September 10th. Two equities research analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating and five have given a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $41.21.

BorgWarner Stock Performance

NYSE BWA traded down $0.27 during trading on Friday, reaching $44.17. The company's stock had a trading volume of 4,858,546 shares, compared to its average volume of 2,193,949. The company has a debt-to-equity ratio of 0.64, a quick ratio of 1.66 and a current ratio of 2.02. BorgWarner Inc. has a twelve month low of $24.40 and a twelve month high of $44.70. The firm has a market cap of $9.56 billion, a price-to-earnings ratio of 46.99, a P/E/G ratio of 1.46 and a beta of 1.09. The business's fifty day moving average price is $40.24 and its 200-day moving average price is $34.00.

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

BorgWarner Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, September 15th. Investors of record on Tuesday, September 2nd were paid a $0.17 dividend. The ex-dividend date of this dividend was Tuesday, September 2nd. This represents a $0.68 annualized dividend and a yield of 1.5%. This is a positive change from BorgWarner's previous quarterly dividend of $0.11. BorgWarner's payout ratio is presently 72.34%.

BorgWarner announced that its board has approved a share buyback plan on Thursday, July 31st that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the auto parts company to reacquire up to 13.2% of its stock through open market purchases. Stock buyback plans are typically an indication that the company's leadership believes its stock is undervalued.

Insider Buying and Selling at BorgWarner

In other news, VP Isabelle Mckenzie sold 2,500 shares of the stock in a transaction on 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 sale, the vice president directly owned 55,945 shares in the company, valued at $2,238,359.45. This represents a 4.28% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Alexis P. Michas sold 8,772 shares of the business's stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $42.31, for a total transaction of $371,143.32. Following the completion of the transaction, the director owned 78,903 shares in the company, valued at approximately $3,338,385.93. The trade was a 10.01% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 31,272 shares of company stock worth $1,263,318. Insiders own 0.45% of the company's stock.

BorgWarner 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.