California State Teachers Retirement System Decreases Position in BorgWarner Inc. $BWA

California State Teachers Retirement System trimmed its holdings in shares of BorgWarner Inc. (NYSE:BWA - Free Report) by 4.2% in the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The fund owned 239,018 shares of the auto parts company's stock after selling 10,434 shares during the quarter. California State Teachers Retirement System owned 0.12% of BorgWarner worth $15,870,795 at the end of the most recent reporting period.

Other institutional investors also recently made changes to their positions in the company. BlackRock Inc. acquired a new stake in shares of BorgWarner in the second quarter valued at about $1,678,187,000. William Blair Investment Management LLC bought a new position in shares of BorgWarner in the 2nd quarter valued at about $251,305,000. Bank of America Corp DE acquired a new position in BorgWarner in the 2nd quarter worth $250,618,000. Norges Bank bought a new stake in BorgWarner in the 4th quarter valued at $156,794,000. Finally, Bank of New York Mellon Corp bought a new position in BorgWarner in the 2nd quarter valued at approximately $112,292,000. 95.67% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms have issued reports on BWA. Sanford C. Bernstein upgraded shares of BorgWarner to a "buy" rating in a research report on Wednesday, June 10th. Royal Bank Of Canada started coverage on BorgWarner in a report on Monday, August 31st. They issued an "outperform" rating and a $87.00 price target for the company. Wall Street Zen cut BorgWarner from a "buy" rating to a "hold" rating in a report on Saturday. Weiss Ratings raised BorgWarner from a "hold (c)" rating to a "hold (c+)" rating in a research note on Monday, June 29th. Finally, JPMorgan Chase & Co. lifted their target price on BorgWarner from $75.00 to $85.00 and gave the stock an "overweight" rating in a research report on Monday, August 10th. Nine analysts have rated the stock with a Buy rating and six have issued a Hold rating to the stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and a consensus price target of $78.86.

BorgWarner Trading Down 1.6%

NYSE:BWA traded down $1.05 during mid-day trading on Tuesday, hitting $62.90. 610,467 shares of the company's stock were exchanged, compared to its average volume of 2,715,333. The company has a current ratio of 2.13, a quick ratio of 1.76 and a debt-to-equity ratio of 0.67. The company has a 50 day simple moving average of $65.26 and a 200-day simple moving average of $62.48. The firm has a market capitalization of $12.81 billion, a P/E ratio of 31.46, a PEG ratio of 1.20 and a beta of 1.12. BorgWarner Inc. has a fifty-two week low of $40.50 and a fifty-two week high of $78.82.

BorgWarner (NYSE:BWA - Get Free Report) last released its quarterly earnings results on Wednesday, August 5th. The auto parts company reported $1.42 EPS for the quarter, topping analysts' consensus estimates of $1.28 by $0.14. BorgWarner had a net margin of 2.89% and a return on equity of 19.10%. The business had revenue of $3.65 billion during the quarter, compared to analysts' expectations of $3.58 billion. During the same quarter in the previous year, the company earned $1.21 EPS. The business's quarterly revenue was up .3% compared to the same quarter last year. BorgWarner has set its FY 2026 guidance at 5.050-5.300 EPS. As a group, research analysts expect that BorgWarner Inc. will post 5.2 earnings per share for the current year.

BorgWarner Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Tuesday, September 1st will be given a $0.17 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $0.68 dividend on an annualized basis and a yield of 1.1%. BorgWarner's dividend payout ratio (DPR) is currently 34.00%.

BorgWarner announced that its Board of Directors has initiated a share repurchase program on Wednesday, August 5th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the auto parts company to buy up to 7.7% of its shares through open market purchases. Shares buyback programs are often a sign that the company's board believes its stock is undervalued.

Insider Buying and Selling

In related news, Director Rajesh Kalathur bought 7,407 shares of the firm's stock in a transaction on Wednesday, August 19th. The stock was bought at an average price of $67.59 per share, with a total value of $500,639.13. Following the purchase, the director directly owned 7,407 shares of the company's stock, valued at approximately $500,639.13. This represents a ∞ increase in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, Director Michael S. Hanley sold 5,000 shares of the firm's stock in a transaction on Friday, August 28th. The shares were sold at an average price of $65.51, for a total value of $327,550.00. Following the sale, the director directly owned 34,313 shares of the company's stock, valued at $2,247,844.63. This represents a 12.72% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 0.76% of the company's stock.

BorgWarner Profile

BorgWarner Inc NYSE: BWA is a global automotive technology company headquartered in Auburn Hills, Michigan. The company develops and supplies propulsion and drivetrain systems for passenger vehicles, commercial vehicles and off-highway applications, serving automakers and other transportation manufacturers worldwide.

Its product portfolio includes turbochargers, transmission systems, dual-clutch modules, four-wheel-drive systems, emissions technologies, and components for hybrid and internal-combustion vehicles.

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