CCM Investment Group LLC Takes $382,000 Position in BorgWarner Inc. (NYSE:BWA)

Key Points

• CCM Investment Group LLC acquired 13,544 shares of BorgWarner Inc., valued at approximately $382,000, indicating growing institutional interest in the company.
• BorgWarner announced a quarterly dividend increase from $0.11 to $0.17, reflecting a commitment to returning value to shareholders.
• Multiple analysts upgraded BorgWarner's target price, with JPMorgan raising it to $45.00 and Barclays setting it at $45.00, signaling positive market sentiment towards the stock.

CCM Investment Group LLC bought a new stake in shares of BorgWarner Inc. (NYSE:BWA - Free Report) in the 1st quarter, according to its most recent filing with the SEC. The institutional investor bought 13,544 shares of the auto parts company's stock, valued at approximately $382,000.

Several other large investors have also recently bought and sold shares of BWA. Norinchukin Bank The grew its holdings in BorgWarner by 4.4% during the 4th quarter. Norinchukin Bank The now owns 9,501 shares of the auto parts company's stock worth $302,000 after acquiring an additional 402 shares during the last quarter. Farther Finance Advisors LLC grew its holdings 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 worth $56,000 after acquiring an additional 407 shares during the last quarter. Beverly Hills Private Wealth LLC grew its holdings in BorgWarner by 5.7% during the 1st quarter. Beverly Hills Private Wealth LLC now owns 7,852 shares of the auto parts company's stock worth $225,000 after acquiring an additional 421 shares during the last quarter. Strengthening Families & Communities LLC grew its holdings in BorgWarner by 14.6% during the 1st quarter. Strengthening Families & Communities LLC now owns 3,301 shares of the auto parts company's stock worth $95,000 after acquiring an additional 421 shares during the last quarter. Finally, Janus Henderson Group PLC grew its holdings in BorgWarner by 0.4% during the 4th quarter. Janus Henderson Group PLC now owns 112,559 shares of the auto parts company's stock worth $3,580,000 after acquiring an additional 501 shares during the last quarter. 95.67% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

A number of brokerages have commented on BWA. UBS Group increased their price objective on shares of BorgWarner from $35.00 to $38.00 and gave the stock a "neutral" rating in a report on Monday, July 14th. Morgan Stanley upped their target price on shares of BorgWarner from $40.00 to $42.00 and gave the company an "overweight" rating in a research report on Tuesday. Bank of America upped their target price on shares of BorgWarner from $35.00 to $41.00 and gave the company a "buy" rating in a research report on Monday, June 16th. Wall Street Zen upgraded shares of BorgWarner from a "buy" rating to a "strong-buy" rating in a research report on Saturday, July 12th. Finally, Guggenheim cut their target price on shares of BorgWarner from $38.00 to $33.00 and set a "buy" rating on the stock in a research report on Tuesday, April 22nd. Six equities research analysts have rated the stock with a hold rating, ten have assigned a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, BorgWarner currently has a consensus rating of "Moderate Buy" and an average price target of $39.64.

Insider Buying and Selling at BorgWarner

In other BorgWarner news, VP Isabelle Mckenzie sold 5,000 shares of BorgWarner stock in a transaction 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 completion of the transaction, the vice president directly owned 63,445 shares of the company's stock, valued at $2,109,546.25. The trade was a 7.31% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Corporate insiders own 0.45% of the company's stock.

BorgWarner Stock Down 0.3%

Shares of NYSE BWA traded down $0.12 during midday trading on Thursday, reaching $41.45. The company's stock had a trading volume of 2,440,858 shares, compared to its average volume of 2,877,040. The company has a current ratio of 2.02, a quick ratio of 1.66 and a debt-to-equity ratio of 0.64. BorgWarner Inc. has a fifty-two week low of $24.40 and a fifty-two week high of $41.67. The stock has a market capitalization of $8.97 billion, a price-to-earnings ratio of 44.09, a PEG ratio of 1.21 and a beta of 1.10. The stock has a 50 day simple moving average of $35.21 and a 200-day simple moving average of $31.59.

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

BorgWarner Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be paid a $0.17 dividend. This is a boost from BorgWarner's previous quarterly dividend of $0.11. This represents a $0.68 annualized dividend and a dividend yield of 1.6%. BorgWarner's dividend payout ratio (DPR) is currently 72.34%.

BorgWarner announced that its Board of Directors has initiated a share buyback plan on Thursday, July 31st that allows the company to repurchase $1.00 billion in shares. This repurchase authorization allows the auto parts company to reacquire up to 13.2% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company's board believes its stock is undervalued.

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.