Across the recent three months, 11 analysts have shared their insights on BorgWarner BWA, expressing a variety of opinions spanning from bullish to bearish.
The table below provides a snapshot of their recent ratings, showcasing how sentiments have evolved over the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 2 | 4 | 5 | 0 | 0 |
| Last 30D | 0 | 0 | 1 | 0 | 0 |
| 1M Ago | 0 | 0 | 1 | 0 | 0 |
| 2M Ago | 0 | 1 | 0 | 0 | 0 |
| 3M Ago | 2 | 3 | 3 | 0 | 0 |
Analysts' evaluations of 12-month price targets offer additional insights, showcasing an average target of $42.0, with a high estimate of $51.00 and a low estimate of $36.00. Observing a downward trend, the current average is 4.33% lower than the prior average price target of $43.90.
Deciphering Analyst Ratings: An In-Depth Analysis
A comprehensive examination of how financial experts perceive BorgWarner is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Kash Rangan | Goldman Sachs | Lowers | Neutral | $36.00 | $38.00 |
| Edison Yu | Deutsche Bank | Announces | Hold | $36.00 | - |
| Ryan Brinkman | JP Morgan | Raises | Overweight | $51.00 | $50.00 |
| Dan Levy | Barclays | Raises | Overweight | $47.00 | $45.00 |
| Colin Langan | Wells Fargo | Lowers | Overweight | $42.00 | $44.00 |
| David Leiker | Baird | Raises | Neutral | $39.00 | $38.00 |
| John Murphy | B of A Securities | Lowers | Buy | $45.00 | $50.00 |
| Ryan Brinkman | JP Morgan | Lowers | Overweight | $50.00 | $52.00 |
| Itay Michaeli | Citigroup | Lowers | Neutral | $36.00 | $41.00 |
| David Leiker | Baird | Lowers | Neutral | $38.00 | $40.00 |
| Colin Langan | UBS | Raises | Buy | $42.00 | $41.00 |
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 set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.
To gain a panoramic view of BorgWarner's market performance, explore these analyst evaluations alongside essential financial indicators. Stay informed and make judicious decisions using our Ratings Table.
Stay up to date on BorgWarner analyst ratings.
Discovering BorgWarner: A Closer Look
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.
Key Indicators: BorgWarner's Financial Health
Market Capitalization Analysis: The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.
Revenue Challenges: BorgWarner's revenue growth over 3 months faced difficulties. As of 30 June, 2024, the company experienced a decline of approximately -1.85%. This indicates a decrease in top-line earnings. When compared to others in the Consumer Discretionary sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: BorgWarner's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 8.41% net margin, the company effectively manages costs and achieves strong profitability.
Return on Equity (ROE): BorgWarner's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 5.08% ROE, the company effectively utilizes shareholder equity capital.
Return on Assets (ROA): BorgWarner's ROA excels beyond industry benchmarks, reaching 2.15%. This signifies efficient management of assets and strong financial health.
Debt Management: BorgWarner's debt-to-equity ratio is below industry norms, indicating a sound financial structure with a ratio of 0.64.
The Basics of Analyst Ratings
Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
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This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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