9,113 Shares in BorgWarner Inc. $BWA Bought by Chesley Taft & Associates LLC

Key Points

• Chesley Taft & Associates LLC acquired 9,113 shares of BorgWarner Inc., valued at approximately $305,000, indicating increased institutional interest in the auto parts company.
• Insider trading activity was reported, with Director Alexis P. Michas selling 8,772 shares for over $371,000, suggesting potential changes in insider sentiment about the stock.
• BorgWarner recently announced a $1.00 billion share buyback plan and increased its quarterly dividend to $0.17 per share, demonstrating confidence in its financial health.

Chesley Taft & Associates LLC acquired a new stake in shares of BorgWarner Inc. (NYSE:BWA - Free Report) in the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor acquired 9,113 shares of the auto parts company's stock, valued at approximately $305,000.

Several other hedge funds and other institutional investors have also recently made changes to their positions in BWA. Cetera Investment Advisers lifted its holdings in shares of BorgWarner by 78.6% during the 4th quarter. Cetera Investment Advisers now owns 37,521 shares of the auto parts company's stock valued at $1,193,000 after purchasing an additional 16,518 shares during the last quarter. Focus Partners Wealth lifted its holdings in shares of BorgWarner by 40.1% during the 4th quarter. Focus Partners Wealth now owns 10,759 shares of the auto parts company's stock valued at $342,000 after purchasing an additional 3,080 shares during the last quarter. Nomura Holdings Inc. purchased a new stake in shares of BorgWarner during the 4th quarter valued at $229,000. ProShare Advisors LLC raised its stake in BorgWarner by 3.5% in the 4th quarter. ProShare Advisors LLC now owns 51,488 shares of the auto parts company's stock worth $1,637,000 after acquiring an additional 1,748 shares during the last quarter. Finally, Two Sigma Investments LP raised its stake in BorgWarner by 2.4% in the 4th quarter. Two Sigma Investments LP now owns 88,078 shares of the auto parts company's stock worth $2,800,000 after acquiring an additional 2,078 shares during the last quarter. Hedge funds and other institutional investors own 95.67% of the company's stock.

BorgWarner Trading Down 0.6%

BWA traded down $0.27 during trading hours on Friday, reaching $44.17. The company's stock had a trading volume of 4,858,546 shares, compared to its average volume of 2,193,949. The stock has a market cap of $9.56 billion, a PE ratio of 46.99, a P/E/G ratio of 1.46 and a beta of 1.09. The company has a debt-to-equity ratio of 0.64, a current ratio of 2.02 and a quick ratio of 1.66. BorgWarner Inc. has a fifty-two week low of $24.40 and a fifty-two week high of $44.70. The business's 50-day moving average is $40.24 and its 200-day moving average is $33.97.

BorgWarner (NYSE:BWA - Get Free Report) last announced its earnings results on Thursday, July 31st. The auto parts company reported $1.21 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.06 by $0.15. The company had revenue of $3.64 billion for the quarter, compared to analyst estimates of $3.56 billion. BorgWarner had a return on equity of 16.17% and a net margin of 1.50%.The firm's quarterly revenue was up 1.0% compared to the same quarter last year. During the same quarter in the previous year, the company earned $1.19 earnings per share. BorgWarner has set its FY 2025 guidance at 4.450-4.65 EPS. As a group, equities research analysts predict that BorgWarner Inc. will post 4.28 earnings per share for the current fiscal year.

BorgWarner Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, September 15th. Shareholders of record on Tuesday, September 2nd were given a $0.17 dividend. The ex-dividend date of this dividend was Tuesday, September 2nd. This is a positive change from BorgWarner's previous quarterly dividend of $0.11. This represents a $0.68 dividend on an annualized basis and a yield of 1.5%. BorgWarner's dividend payout ratio is presently 72.34%.

BorgWarner declared that its Board of Directors has approved a share repurchase program on Thursday, July 31st that permits the company to buyback $1.00 billion in shares. This buyback authorization permits the auto parts company to buy up to 13.2% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's management believes its stock is undervalued.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. Bank of America lowered BorgWarner from a "buy" rating to a "neutral" rating and raised their target price for the stock from $41.00 to $46.00 in a research note on Wednesday, September 10th. Zacks Research upgraded BorgWarner from a "hold" rating to a "strong-buy" rating in a research note on Friday, September 12th. Robert W. Baird upgraded BorgWarner from a "neutral" rating to an "outperform" rating and raised their target price for the stock from $41.00 to $52.00 in a research note on Wednesday, September 3rd. Piper Sandler raised their target price on BorgWarner from $37.00 to $44.00 and gave the stock an "overweight" rating in a research note on Friday, August 1st. Finally, Evercore ISI raised their target price on BorgWarner from $38.00 to $42.00 and gave the stock an "outperform" rating in a research note on Monday, August 4th. Two investment analysts have rated the stock with a Strong Buy rating, ten have assigned a Buy rating and five have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $41.21.

Insider Buying and Selling at BorgWarner

In other news, Director Alexis P. Michas sold 8,772 shares of the company's stock in a transaction on Tuesday, September 2nd. The stock was sold at an average price of $42.31, for a total transaction of $371,143.32. Following the sale, the director owned 78,903 shares of the company's stock, valued at approximately $3,338,385.93. This represents a 10.01% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Stefan Demmerle sold 5,000 shares of the company's stock in a transaction on Wednesday, August 13th. The stock was sold at an average price of $40.50, for a total value of $202,500.00. Following the sale, the vice president directly owned 229,040 shares in the company, valued at $9,276,120. This represents a 2.14% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 31,272 shares of company stock valued at $1,263,318 over the last quarter. 0.45% of the stock is 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.