BorgWarner Inc. (BWA) Expected to Announce Quarterly Sales of $2.56 Billion

Wall Street analysts expect BorgWarner Inc. (NYSE:BWA) to report $2.56 billion in sales for the current fiscal quarter, Zacks Investment Research reports. Seven analysts have made estimates for BorgWarner’s earnings, with estimates ranging from $2.52 billion to $2.62 billion. BorgWarner posted sales of $2.69 billion during the same quarter last year, which would indicate a negative year-over-year growth rate of 4.8%. The firm is scheduled to report its next quarterly earnings results on Thursday, July 25th.

On average, analysts expect that BorgWarner will report full-year sales of $10.30 billion for the current fiscal year, with estimates ranging from $10.14 billion to $10.40 billion. For the next year, analysts expect that the company will report sales of $10.88 billion, with estimates ranging from $10.66 billion to $11.07 billion. Zacks Investment Research’s sales averages are a mean average based on a survey of sell-side research analysts that follow BorgWarner.

BorgWarner (NYSE:BWA) last posted its quarterly earnings results on Thursday, April 25th. The auto parts company reported $1.00 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.94 by $0.06. BorgWarner had a net margin of 8.39% and a return on equity of 21.64%. The company had revenue of $2.57 billion during the quarter, compared to the consensus estimate of $2.47 billion. During the same period last year, the firm earned $1.10 EPS. The company’s revenue for the quarter was down 7.8% on a year-over-year basis.

A number of equities research analysts have recently issued reports on BWA shares. TheStreet upgraded shares of BorgWarner from a “c+” rating to a “b-” rating in a research report on Thursday, January 31st. Morgan Stanley set a $53.00 price target on shares of BorgWarner and gave the company a “buy” rating in a research report on Tuesday, January 29th. Seaport Global Securities started coverage on shares of BorgWarner in a research report on Wednesday, February 13th. They set a “neutral” rating for the company. Bank of America reiterated a “neutral” rating and set a $46.00 price target (up from $42.00) on shares of BorgWarner in a research report on Tuesday, April 23rd. Finally, Zacks Investment Research cut shares of BorgWarner from a “hold” rating to a “sell” rating in a research note on Monday, February 25th. Two analysts have rated the stock with a sell rating, six have assigned a hold rating, nine have given a buy rating and one has given a strong buy rating to the company’s stock. BorgWarner currently has an average rating of “Buy” and a consensus target price of $48.75.

In other BorgWarner news, EVP Tonit M. Calaway sold 12,000 shares of BorgWarner stock in a transaction that occurred on Monday, February 25th. The shares were sold at an average price of $41.93, for a total value of $503,160.00. Following the completion of the sale, the executive vice president now directly owns 28,066 shares of the company’s stock, valued at approximately $1,176,807.38. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Thomas J. Mcgill sold 2,400 shares of BorgWarner stock in a transaction that occurred on Tuesday, February 26th. The stock was sold at an average price of $41.97, for a total transaction of $100,728.00. Following the completion of the sale, the chief financial officer now directly owns 32,958 shares of the company’s stock, valued at $1,383,247.26. The disclosure for this sale can be found here. Over the last three months, insiders have sold 23,524 shares of company stock valued at $967,536. Corporate insiders own 0.75% of the company’s stock.

Hedge funds have recently added to or reduced their stakes in the business. Oregon Public Employees Retirement Fund grew its stake in shares of BorgWarner by 3,261.1% during the 4th quarter. Oregon Public Employees Retirement Fund now owns 3,895,153 shares of the auto parts company’s stock valued at $112,000 after buying an additional 3,779,264 shares during the period. Norges Bank purchased a new stake in shares of BorgWarner during the 4th quarter valued at $74,908,000. JPMorgan Chase & Co. grew its stake in shares of BorgWarner by 33.4% during the 3rd quarter. JPMorgan Chase & Co. now owns 6,635,725 shares of the auto parts company’s stock valued at $283,875,000 after buying an additional 1,661,618 shares during the period. Harris Associates L P grew its stake in shares of BorgWarner by 29.8% during the 4th quarter. Harris Associates L P now owns 6,663,643 shares of the auto parts company’s stock valued at $231,495,000 after buying an additional 1,530,716 shares during the period. Finally, FMR LLC grew its stake in shares of BorgWarner by 133.6% during the 4th quarter. FMR LLC now owns 2,625,297 shares of the auto parts company’s stock valued at $91,202,000 after buying an additional 1,501,562 shares during the period. 89.86% of the stock is owned by hedge funds and other institutional investors.

Shares of BWA stock traded up $0.17 during midday trading on Tuesday, reaching $35.64. 1,321,928 shares of the company traded hands, compared to its average volume of 1,563,695. BorgWarner has a 1-year low of $32.46 and a 1-year high of $52.56. The company has a current ratio of 1.62, a quick ratio of 1.27 and a debt-to-equity ratio of 0.44. The company has a market cap of $7.39 billion, a price-to-earnings ratio of 7.96, a PEG ratio of 1.12 and a beta of 1.74.

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, June 17th. Stockholders of record on Monday, June 3rd will be paid a dividend of $0.17 per share. The ex-dividend date is Friday, May 31st. This represents a $0.68 dividend on an annualized basis and a dividend yield of 1.91%. BorgWarner’s dividend payout ratio (DPR) is 15.18%.

BorgWarner Company Profile

BorgWarner Inc provides solutions for combustion, hybrid, and electric vehicles worldwide. It operates in two segments, Engine and Drivetrain. The Engine segment develops and manufactures turbochargers; eBoosters; and timing systems products, including timing chains, variable cam timing crankshaft and camshaft sprockets, tensioners, guides and snubbers, front-wheel drive transmission chains, four-wheel drive chains, and hybrid power transmission chains.

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