BorgWarner Inc. $BWA Shares Sold by Gamco Investors INC. ET AL

Key Points

• Gamco Investors trimmed its BorgWarner stake by 5.7% in the fourth quarter, while other institutional investors remained heavily involved; institutions and hedge funds now own 95.67% of the company.
• Several BorgWarner insiders sold shares recently, including EVP Paul Arthur Farrell and VP Stefan Demmerle, with insiders selling 108,216 shares worth about $6.55 million over the last quarter.
• BorgWarner reported stronger-than-expected quarterly results, beating EPS and revenue estimates, and analysts currently rate the stock Moderate Buy with a consensus price target of $67.64.

Gamco Investors INC. ET AL lowered its holdings in BorgWarner Inc. (NYSE:BWA - Free Report) by 5.7% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The firm owned 324,900 shares of the auto parts company's stock after selling 19,500 shares during the quarter. Gamco Investors INC. ET AL owned 0.15% of BorgWarner worth $14,640,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently made changes to their positions in BWA. AQR Capital Management LLC increased its stake in shares of BorgWarner by 119.7% in the third quarter. AQR Capital Management LLC now owns 7,518,776 shares of the auto parts company's stock worth $330,525,000 after acquiring an additional 4,095,902 shares during the period. Adage Capital Partners GP L.L.C. increased its stake in shares of BorgWarner by 233.6% in the second quarter. Adage Capital Partners GP L.L.C. now owns 1,111,000 shares of the auto parts company's stock worth $37,196,000 after acquiring an additional 778,000 shares during the period. Electron Capital Partners LLC acquired a new stake in shares of BorgWarner in the third quarter worth $31,820,000. Robeco Institutional Asset Management B.V. increased its stake in shares of BorgWarner by 64.9% in the fourth quarter. Robeco Institutional Asset Management B.V. now owns 1,835,337 shares of the auto parts company's stock worth $82,700,000 after acquiring an additional 722,356 shares during the period. Finally, Balyasny Asset Management L.P. acquired a new stake in shares of BorgWarner in the second quarter worth $22,590,000. Institutional investors and hedge funds own 95.67% of the company's stock.

Insider Activity at BorgWarner

In related news, EVP Paul Arthur Farrell sold 12,012 shares of the firm's stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $52.31, for a total transaction of $628,347.72. Following the sale, the executive vice president owned 38,238 shares in the company, valued at approximately $2,000,229.78. This trade represents a 23.90% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, VP Stefan Demmerle sold 5,000 shares of BorgWarner stock in a transaction dated Wednesday, May 13th. The shares were sold at an average price of $65.00, for a total transaction of $325,000.00. Following the completion of the sale, the vice president owned 203,746 shares in the company, valued at approximately $13,243,490. This trade represents a 2.40% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 108,216 shares of company stock valued at $6,552,706 in the last quarter. 0.76% of the stock is currently owned by insiders.

Wall Street Analyst Weigh In

BWA has been the topic of a number of research reports. Morgan Stanley set a $60.00 price objective on shares of BorgWarner in a research note on Thursday, February 12th. Wells Fargo & Company cut their price objective on shares of BorgWarner to $68.00 and set an "overweight" rating on the stock in a research note on Tuesday, March 31st. Robert W. Baird set a $76.00 price objective on shares of BorgWarner in a research note on Thursday, February 12th. The Goldman Sachs Group increased their price objective on shares of BorgWarner from $54.00 to $78.00 and gave the stock a "buy" rating in a research note on Thursday, February 12th. Finally, Wolfe Research upgraded shares of BorgWarner from a "peer perform" rating to an "outperform" rating and set a $68.00 price target on the stock in a research report on Wednesday, March 25th. Seven analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $67.64.

BorgWarner Stock Down 2.2%

BWA stock opened at $61.81 on Tuesday. The firm has a market cap of $12.68 billion, a PE ratio of 36.57, a P/E/G ratio of 1.22 and a beta of 1.00. The company has a debt-to-equity ratio of 0.69, a quick ratio of 1.75 and a current ratio of 2.13. The firm's fifty day moving average is $55.53 and its 200 day moving average is $50.85. BorgWarner Inc. has a one year low of $31.83 and a one year high of $70.31.

BorgWarner (NYSE:BWA - Get Free Report) last released its quarterly earnings results on Wednesday, May 6th. The auto parts company reported $1.24 EPS for the quarter, beating the consensus estimate of $1.16 by $0.08. The company had revenue of $3.53 billion for the quarter, compared to analyst estimates of $3.50 billion. BorgWarner had a net margin of 2.53% and a return on equity of 18.36%. The firm's revenue was up .5% on a year-over-year basis. During the same quarter last year, the business earned $1.11 earnings per share. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. On average, research analysts forecast that BorgWarner Inc. will post 5.16 EPS for the current year.

BorgWarner Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Monday, June 15th. Investors of record on Monday, June 1st will be given a dividend of $0.17 per share. This represents a $0.68 annualized dividend and a yield of 1.1%. The ex-dividend date is Monday, June 1st. BorgWarner's dividend payout ratio (DPR) is currently 40.24%.

BorgWarner Profile

BorgWarner Inc is a global automotive supplier specializing in propulsion and drivetrain solutions for combustion, hybrid and electric vehicles. The company's product portfolio includes turbochargers, thermal management systems, transmission components, e-Propulsion modules and advanced fuel-efficiency technologies. BorgWarner serves original equipment manufacturers (OEMs) across passenger cars, light trucks and commercial vehicles, supporting both legacy internal-combustion engines and emerging electrification trends.

Founded in 1928 through the merger of several driveline companies, BorgWarner has grown through strategic acquisitions and continuous investment in research and development.

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