BorgWarner Inc. (NYSE: BWA)’s stock price has decreased by -0.37 compared to its previous closing price of 41.05. However, the company has seen a 1.82% increase in its stock price over the last five trading sessions. Barrons reported 2023-09-13 that UBS analyst Joe Spak launched coverage of serval auto parts companies. Trends toward EVs and self-driving cars matter, but so do UAW labor negotiations.
Is It Worth Investing in BorgWarner Inc. (NYSE: BWA) Right Now?
BorgWarner Inc. (NYSE: BWA) has a price-to-earnings ratio of 10.12x that is above its average ratio. Additionally, the 36-month beta value for BWA is 1.44. There are mixed opinions on the stock, with 9 analysts rating it as a “buy,” 4 rating it as “overweight,” 7 rating it as “hold,” and 0 rating it as “sell.”
The average price predicted by analysts for BWA is $51.89, which is $11.03 above the current price. The public float for BWA is 233.70M and currently, short sellers hold a 3.58% ratio of that float. The average trading volume of BWA on September 19, 2023 was 2.33M shares.
BWA’s Market Performance
BWA’s stock has seen a 1.82% increase for the week, with a 3.73% rise in the past month and a -4.33% fall in the past quarter. The volatility ratio for the week is 3.05%, and the volatility levels for the past 30 days are at 2.12% for BorgWarner Inc. The simple moving average for the last 20 days is 1.44% for BWA stock, with a simple moving average of -0.29% for the last 200 days.
Analysts’ Opinion of BWA
Many brokerage firms have already submitted their reports for BWA stocks, with UBS repeating the rating for BWA by listing it as a “Buy.” The predicted price for BWA in the upcoming period, according to UBS is $52 based on the research report published on September 13, 2023 of the current year 2023.
BWA Trading at -4.01% from the 50-Day Moving Average
After a stumble in the market that brought BWA to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -13.07% of loss for the given period.
Volatility was left at 2.12%, however, over the last 30 days, the volatility rate increased by 3.05%, as shares surge +3.18% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -9.01% lower at present.
During the last 5 trading sessions, BWA rose by +1.82%, which changed the moving average for the period of 200-days by -2.46% in comparison to the 20-day moving average, which settled at $40.38. In addition, BorgWarner Inc. saw 15.52% in overturn over a single year, with a tendency to cut further gains.
Reports are indicating that there were more than several insider trading activities at BWA starting from Demmerle Stefan, who sale 5,000 shares at the price of $47.61 back on Jun 14. After this action, Demmerle Stefan now owns 177,614 shares of BorgWarner Inc., valued at $238,050 using the latest closing price.
Fadool Joseph F., the Vice President of BorgWarner Inc., sale 210 shares at $46.70 during a trade that took place back on May 30, which means that Fadool Joseph F. is holding 0 shares at $9,818 based on the most recent closing price.
Stock Fundamentals for BWA
Current profitability levels for the company are sitting at:
- +9.30 for the present operating margin
- +19.63 for the gross margin
The net margin for BorgWarner Inc. stands at +5.97. The total capital return value is set at 12.38, while invested capital returns managed to touch 8.24. Equity return is now at value 13.10, with 5.60 for asset returns.
Based on BorgWarner Inc. (BWA), the company’s capital structure generated 61.41 points at debt to equity in total, while total debt to capital is 38.04. Total debt to assets is 26.10, with long-term debt to equity ratio resting at 59.97. Finally, the long-term debt to capital ratio is 37.15.
When we switch over and look at the enterprise to sales, we see a ratio of 0.76, with the company’s debt to enterprise value settled at 0.34. The receivables turnover for the company is 5.05 and the total asset turnover is 0.94. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.56.
In conclusion, BorgWarner Inc. (BWA) has seen better performance in recent times. Analysts have a bullish opinion on the stock, with some rating it as a “buy” and others rating it as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.