BorgWarner (NYSE:BWA) has been analyzed by 10 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
Summarizing their recent assessments, the table below illustrates the evolving sentiments in the past 30 days and compares them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 1 | 7 | 2 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 1 | 3 | 1 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 0 | 2 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $41.4, a high estimate of $45.00, and a low estimate of $34.00. Observing a 1.79% increase, the current average has risen from the previous average price target of $40.67.
Exploring Analyst Ratings: An In-Depth Overview
The standing of BorgWarner among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Dan Levy | Barclays | Raises | Overweight | $45.00 | $44.00 |
| Jeffrey Osborne | TD Cowen | Raises | Buy | $40.00 | $36.00 |
| Colin Langan | Wells Fargo | Raises | Overweight | $45.00 | $43.00 |
| Noah Kaye | Oppenheimer | Raises | Outperform | $40.00 | $39.00 |
| David Leiker | Baird | Raises | Neutral | $40.00 | $36.00 |
| Dan Levy | Barclays | Raises | Overweight | $44.00 | $40.00 |
| Alexander Potter | Piper Sandler | Announces | Overweight | $43.00 | - |
| Dan Levy | Barclays | Lowers | Overweight | $40.00 | $43.00 |
| Kash Rangan | Goldman Sachs | Lowers | Neutral | $34.00 | $38.00 |
| Colin Langan | Wells Fargo | Lowers | Overweight | $43.00 | $47.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to BorgWarner. This insight gives a snapshot of analysts' perspectives on the current state of the company.
- Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of BorgWarner compared to the broader market.
- Price Targets: Analysts explore the dynamics of price targets, providing estimates for the future value of BorgWarner's stock. This examination reveals shifts in analysts' expectations over time.
Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of BorgWarner's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.
Stay up to date on BorgWarner analyst ratings.
Get to Know BorgWarner Better
BorgWarner is a Tier I auto-parts supplier with three operating segments. The air management group makes turbochargers, e-boosters, e-turbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, powertrain sensors, and cabin heaters. The drivetrain and battery systems group produces automatic transmission components, torque management products, battery heaters, battery charging, and battery modules. The e-propulsion segment makes e-motors, power electronics, and software and control modules. The company's largest customers are Ford and Volkswagen at 14% and 11% of 2023 revenue, respectively. Geographically, Europe accounted for 36% of 2023 revenue, while Asia and North America were 34% and 29% apiece.
A Deep Dive into BorgWarner's Financials
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Revenue Growth: BorgWarner's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 6.27%. This indicates a substantial increase in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Consumer Discretionary sector.
Net Margin: BorgWarner's net margin is impressive, surpassing industry averages. With a net margin of 5.73%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): BorgWarner's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 3.53% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): BorgWarner's ROA excels beyond industry benchmarks, reaching 1.44%. This signifies efficient management of assets and strong financial health.
Debt Management: BorgWarner's debt-to-equity ratio is below the industry average at 0.66, reflecting a lower dependency on debt financing and a more conservative financial approach.
The Significance of Analyst Ratings Explained
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.
This article was generated by Benzinga's automated content engine and reviewed by an editor.