Across the recent three months, 8 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 | 0 | 5 | 3 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 0 | 1 | 1 | 0 | 0 |
| 2M Ago | 0 | 0 | 1 | 0 | 0 |
| 3M Ago | 0 | 3 | 1 | 0 | 0 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $43.0, a high estimate of $51.00, and a low estimate of $36.00. This current average represents a 1.31% decrease from the previous average price target of $43.57.
Understanding Analyst Ratings: A Comprehensive Breakdown
The perception of BorgWarner by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Ryan Brinkman | JP Morgan | Lowers | Overweight | $50.00 | $51.00 |
| Chris McNally | Evercore ISI Group | Raises | Outperform | $43.00 | $39.00 |
| 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 |
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: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of BorgWarner compared to the broader market.
- Price Targets: Analysts predict movements in price targets, offering estimates for BorgWarner's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.
Capture valuable insights into BorgWarner's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with 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.
Financial Milestones: BorgWarner's Journey
Market Capitalization Analysis: With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.
Negative Revenue Trend: Examining BorgWarner's financials over 3 months reveals challenges. As of 30 June, 2024, the company experienced a decline of approximately -1.85% in revenue growth, reflecting a decrease in top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Consumer Discretionary sector.
Net Margin: BorgWarner's net margin is impressive, surpassing industry averages. With a net margin of 8.41%, the company demonstrates strong profitability and effective cost management.
Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 5.08%, the company showcases effective utilization of equity capital.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 2.15%, the company showcases effective utilization of assets.
Debt Management: With a below-average debt-to-equity ratio of 0.64, BorgWarner adopts a prudent financial strategy, indicating a balanced approach to debt management.
What Are Analyst Ratings?
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.
If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.
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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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