Banque Cantonale Vaudoise Takes $381,000 Position in BorgWarner Inc. (NYSE:BWA)

Key Points

• Banque Cantonale Vaudoise acquired a new stake in BorgWarner Inc. worth approximately $381,000 by purchasing 13,282 shares during the first quarter.
• Recent analysis showed a shift in ratings for BorgWarner, with Guggenheim lowering its price target to $33, while Goldman Sachs raised it to $34 and upgraded the stock to a "buy" rating.
• BorgWarner announced a quarterly dividend increase to $0.17 per share, up from $0.11, indicative of an enhanced financial position as the company also initiated a $1 billion stock buyback plan.

Banque Cantonale Vaudoise bought a new stake in BorgWarner Inc. (NYSE:BWA - Free Report) in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 13,282 shares of the auto parts company's stock, valued at approximately $381,000.

A number of other institutional investors and hedge funds also recently made changes to their positions in the company. Norinchukin Bank The grew its stake in shares of BorgWarner by 4.4% in the 4th quarter. Norinchukin Bank The now owns 9,501 shares of the auto parts company's stock worth $302,000 after buying an additional 402 shares during the last quarter. Farther Finance Advisors LLC raised its stake 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 buying an additional 407 shares during the last quarter. Beverly Hills Private Wealth LLC increased its holdings in BorgWarner by 5.7% during the first quarter. Beverly Hills Private Wealth LLC now owns 7,852 shares of the auto parts company's stock valued at $225,000 after buying an additional 421 shares during the last quarter. Janus Henderson Group PLC increased its holdings in BorgWarner by 0.4% during the fourth quarter. Janus Henderson Group PLC now owns 112,559 shares of the auto parts company's stock valued at $3,580,000 after buying an additional 501 shares during the last quarter. Finally, Global X Japan Co. Ltd. increased its holdings in BorgWarner by 133.4% during the first quarter. Global X Japan Co. Ltd. now owns 915 shares of the auto parts company's stock valued at $26,000 after buying an additional 523 shares during the last quarter. Hedge funds and other institutional investors own 95.67% of the company's stock.

Wall Street Analysts Forecast Growth

Several equities analysts have weighed in on the stock. Guggenheim lowered their price target on shares of BorgWarner from $38.00 to $33.00 and set a "buy" rating on the stock in a report on Tuesday, April 22nd. The Goldman Sachs Group raised BorgWarner from a "neutral" rating to a "buy" rating and upped their price objective for the stock from $31.00 to $34.00 in a report on Thursday, April 10th. Wall Street Zen upgraded BorgWarner from a "buy" rating to a "strong-buy" rating in a report on Saturday, July 12th. Piper Sandler lifted their target price on BorgWarner from $37.00 to $44.00 and gave the stock an "overweight" rating in a report on Friday. Finally, Wells Fargo & Company increased their price target on BorgWarner from $45.00 to $46.00 and gave the stock an "overweight" rating in a report on Friday. Six research analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has given a strong buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $39.64.

BorgWarner Trading Up 1.9%

BorgWarner stock opened at $37.51 on Friday. The firm has a market cap of $8.24 billion, a PE ratio of 39.90, a P/E/G ratio of 1.71 and a beta of 1.09. BorgWarner Inc. has a 12 month low of $24.40 and a 12 month high of $37.57. The stock's 50 day simple moving average is $34.25 and its two-hundred day simple moving average is $31.22. The company has a current ratio of 2.02, a quick ratio of 1.60 and a debt-to-equity ratio of 0.64.

BorgWarner (NYSE:BWA - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The auto parts company reported $1.21 EPS for the quarter, beating analysts' consensus estimates of $1.06 by $0.15. The business had revenue of $3.64 billion during the quarter, compared to analysts' expectations of $3.56 billion. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%. The business's revenue was up 1.0% compared to the same quarter last year. During the same period in the previous year, the business earned $1.19 earnings per share. Analysts anticipate that BorgWarner Inc. will post 4.28 earnings per share for the current year.

BorgWarner Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be issued a $0.17 dividend. This represents a $0.68 annualized dividend and a dividend yield of 1.8%. This is a boost from BorgWarner's previous quarterly dividend of $0.11. BorgWarner's dividend payout ratio (DPR) is currently 46.81%.

BorgWarner announced that its board has approved a stock 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 shares through open market purchases. Shares buyback plans are generally an indication that the company's board believes its shares are undervalued.

Insider Activity at BorgWarner

In other news, EVP Tonit M. Calaway sold 27,736 shares of BorgWarner stock in a transaction that occurred on Monday, May 12th. The shares were sold at an average price of $32.83, for a total transaction of $910,572.88. Following the sale, the executive vice president owned 214,521 shares of the company's stock, valued at approximately $7,042,724.43. The trade was a 11.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Isabelle Mckenzie sold 5,000 shares of BorgWarner stock in a transaction that occurred on Friday, May 16th. The shares were sold at an average price of $33.25, for a total transaction of $166,250.00. Following the sale, the vice president directly owned 63,445 shares in the company, valued at approximately $2,109,546.25. The trade was a 7.31% decrease in their position. The disclosure for this sale can be found here. 0.45% of the stock is currently owned by company insiders.

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.

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