BorgWarner Inc. $BWA Stock Position Lessened by Drum Hill Capital LLC

Key Points

• Drum Hill Capital LLC trimmed its BorgWarner stake by 16.9% in Q4, selling 20,739 shares and leaving 101,688 shares worth $4.58M (about 4.8% of the fund's holdings and its sixth-largest position).
• BorgWarner beat expectations for the quarter with EPS of $1.35 versus a $1.16 consensus and revenue of $3.57B versus $3.49B, and issued FY2026 EPS guidance of 5.00–5.20.
• Insiders have been net sellers, offloading 78,083 shares (~$4.64M) over the past 90 days, while institutional investors own 95.67% of the company's stock.

Drum Hill Capital LLC trimmed its position in BorgWarner Inc. (NYSE:BWA - Free Report) by 16.9% during the fourth quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 101,688 shares of the auto parts company's stock after selling 20,739 shares during the period. BorgWarner makes up about 4.8% of Drum Hill Capital LLC's holdings, making the stock its 6th biggest position. Drum Hill Capital LLC's holdings in BorgWarner were worth $4,582,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in BWA. CWM LLC raised its stake in BorgWarner by 218.3% in the 3rd quarter. CWM LLC now owns 235,861 shares of the auto parts company's stock valued at $10,368,000 after purchasing an additional 161,755 shares during the last quarter. Jackson Creek Investment Advisors LLC acquired a new position in shares of BorgWarner in the 3rd quarter valued at approximately $1,876,000. Ritholtz Wealth Management acquired a new stake in shares of BorgWarner during the 3rd quarter valued at approximately $1,016,000. Merit Financial Group LLC grew its stake in BorgWarner by 73.1% during the 3rd quarter. Merit Financial Group LLC now owns 44,395 shares of the auto parts company's stock worth $1,952,000 after buying an additional 18,749 shares during the last quarter. Finally, Sivia Capital Partners LLC bought a new position in BorgWarner during the 2nd quarter worth $339,000. Institutional investors and hedge funds own 95.67% of the company's stock.

BorgWarner Stock Down 2.2%

Shares of BorgWarner stock opened at $52.50 on Thursday. The stock has a 50-day moving average price of $55.29 and a 200 day moving average price of $48.53. The company has a market cap of $10.82 billion, a P/E ratio of 42.00, a P/E/G ratio of 1.09 and a beta of 1.04. The company has a current ratio of 2.07, a quick ratio of 1.70 and a debt-to-equity ratio of 0.69. BorgWarner Inc. has a 1 year low of $25.69 and a 1 year high of $70.08.

BorgWarner (NYSE:BWA - Get Free Report) last announced its quarterly earnings data on Wednesday, February 11th. The auto parts company reported $1.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.16 by $0.19. The firm had revenue of $3.57 billion during the quarter, compared to the consensus estimate of $3.49 billion. BorgWarner had a return on equity of 17.89% and a net margin of 1.93%.The business's revenue for the quarter was up 3.9% on a year-over-year basis. During the same period in the prior year, the business earned $1.01 EPS. BorgWarner has set its FY 2026 guidance at 5.000-5.200 EPS. As a group, analysts expect that BorgWarner Inc. will post 4.28 EPS for the current fiscal year.

BorgWarner Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Monday, March 16th. Shareholders of record on Monday, March 2nd were given a $0.17 dividend. This represents a $0.68 annualized dividend and a yield of 1.3%. The ex-dividend date of this dividend was Monday, March 2nd. BorgWarner's dividend payout ratio is presently 54.40%.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on BWA shares. Robert W. Baird set a $76.00 price target on BorgWarner in a research note on Thursday, February 12th. Piper Sandler reissued a "neutral" rating and issued a $51.00 price target (down from $52.00) on shares of BorgWarner in a research note on Thursday, January 8th. Evercore reissued an "outperform" rating and issued a $75.00 price target on shares of BorgWarner in a research note on Tuesday, February 17th. Wells Fargo & Company decreased their price target on BorgWarner to $68.00 and set an "overweight" rating for the company in a research note on Tuesday, March 31st. Finally, New Street Research set a $66.00 target price on BorgWarner in a research note on Thursday, February 12th. Eight analysts have rated the stock with a Buy rating and seven have given a Hold rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $63.31.

Insider Buying and Selling

In other BorgWarner news, EVP Tonit M. Calaway sold 16,000 shares of the company's stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $65.08, for a total value of $1,041,280.00. Following the transaction, the executive vice president directly owned 240,251 shares of the company's stock, valued at $15,635,535.08. This represents a 6.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, EVP Tania Wingfield sold 17,867 shares of the company's stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $63.43, for a total value of $1,133,303.81. Following the completion of the transaction, the executive vice president directly owned 45,429 shares in the company, valued at approximately $2,881,561.47. The trade was a 28.23% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 78,083 shares of company stock worth $4,638,585. Insiders own 0.76% of the company's stock.

BorgWarner Company 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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