Short Interest in BorgWarner Inc. (NYSE:BWA) Expands By 17.1%

BorgWarner Inc. (NYSE:BWA) was the recipient of a significant growth in short interest in the month of November. As of November 30th, there was short interest totalling 8,750,000 shares, a growth of 17.1% from the November 15th total of 7,470,000 shares. Based on an average trading volume of 2,270,000 shares, the short-interest ratio is presently 3.9 days. Currently, 4.0% of the company’s stock are sold short.

Wall Street Analysts Forecast Growth

Several research analysts have commented on the company. JPMorgan Chase & Co. cut their target price on BorgWarner from $51.00 to $50.00 and set an “overweight” rating for the company in a research note on Monday, October 21st. Wolfe Research began coverage on shares of BorgWarner in a report on Thursday, September 5th. They set a “peer perform” rating on the stock. Guggenheim restated a “buy” rating and set a $41.00 price target on shares of BorgWarner in a research report on Thursday. Deutsche Bank Aktiengesellschaft increased their price objective on BorgWarner from $38.00 to $39.00 and gave the stock a “hold” rating in a research report on Monday, November 4th. Finally, The Goldman Sachs Group decreased their target price on BorgWarner from $38.00 to $36.00 and set a “neutral” rating on the stock in a research note on Tuesday, October 1st. Six equities research analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. According to data from MarketBeat.com, BorgWarner presently has a consensus rating of “Moderate Buy” and an average target price of $41.07.

BorgWarner Trading Down 3.3 %

Shares of BorgWarner stock traded down $1.14 during trading on Monday, reaching $32.91. The company’s stock had a trading volume of 1,177,105 shares, compared to its average volume of 2,637,417. The company has a quick ratio of 1.48, a current ratio of 1.84 and a debt-to-equity ratio of 0.66. BorgWarner has a 52-week low of $29.51 and a 52-week high of $38.22. The firm’s 50-day moving average is $34.38 and its two-hundred day moving average is $33.65. The company has a market cap of $7.20 billion, a price-to-earnings ratio of 8.63, a PEG ratio of 0.77 and a beta of 1.19.

BorgWarner (NYSE:BWA) last released its earnings results on Thursday, October 31st. The auto parts company reported $1.09 earnings per share for the quarter, beating analysts’ consensus estimates of $0.92 by $0.17. The company had revenue of $3.45 billion during the quarter, compared to analyst estimates of $3.50 billion. BorgWarner had a return on equity of 15.51% and a net margin of 6.33%. BorgWarner’s revenue for the quarter was down 4.8% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.98 EPS. On average, sell-side analysts anticipate that BorgWarner will post 4.22 earnings per share for the current year.

BorgWarner Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 16th. Investors of record on Monday, December 2nd will be paid a $0.11 dividend. The ex-dividend date of this dividend is Monday, December 2nd. This represents a $0.44 annualized dividend and a dividend yield of 1.34%. BorgWarner’s payout ratio is presently 11.17%.

Insider Buying and Selling at BorgWarner

In other BorgWarner news, VP Isabelle Mckenzie sold 5,700 shares of the company’s stock in a transaction dated Monday, November 11th. The shares were sold at an average price of $34.62, for a total value of $197,334.00. Following the completion of the sale, the vice president now directly owns 37,640 shares of the company’s stock, valued at approximately $1,303,096.80. This represents a 13.15 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, VP Stefan Demmerle sold 21,500 shares of BorgWarner stock in a transaction on Thursday, November 14th. The stock was sold at an average price of $34.79, for a total value of $747,985.00. Following the sale, the vice president now owns 227,513 shares in the company, valued at $7,915,177.27. This trade represents a 8.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders sold 222,010 shares of company stock valued at $7,678,076. Company insiders own 0.45% of the company’s stock.

Hedge Funds Weigh In On BorgWarner

A number of institutional investors have recently bought and sold shares of the stock. Franklin Resources Inc. lifted its stake in BorgWarner by 292.9% during the 3rd quarter. Franklin Resources Inc. now owns 253,625 shares of the auto parts company’s stock valued at $8,986,000 after acquiring an additional 189,081 shares during the period. Peapack Gladstone Financial Corp increased its position in shares of BorgWarner by 2.0% during the 3rd quarter. Peapack Gladstone Financial Corp now owns 107,336 shares of the auto parts company’s stock valued at $3,896,000 after purchasing an additional 2,067 shares during the last quarter. Wilmington Savings Fund Society FSB bought a new position in shares of BorgWarner in the 3rd quarter worth approximately $62,000. Pine Valley Investments Ltd Liability Co increased its holdings in BorgWarner by 8.4% during the third quarter. Pine Valley Investments Ltd Liability Co now owns 7,100 shares of the auto parts company’s stock valued at $258,000 after buying an additional 550 shares during the last quarter. Finally, Geode Capital Management LLC boosted its stake in shares of BorgWarner by 3.5% during the 3rd quarter. Geode Capital Management LLC now owns 6,384,366 shares of the auto parts company’s stock worth $231,376,000 after acquiring an additional 217,050 shares during the last quarter. 95.67% of the stock is owned by institutional investors.

About BorgWarner

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.