BorgWarner Inc (NYSE: BWA)’s stock price has soared by 0.86 in relation to previous closing price of 34.74. Nevertheless, the company has seen a gain of 5.54% in its stock price over the last five trading days. Zacks Investment Research reported 2024-03-28 that BorgWarner (BWA) reachead $34.74 at the closing of the latest trading day, reflecting a +0.12% change compared to its last close.
Is It Worth Investing in BorgWarner Inc (NYSE: BWA) Right Now?
The price-to-earnings ratio for BorgWarner Inc (NYSE: BWA) is 13.13x, which is above its average ratio. Moreover, the 36-month beta value for BWA is 1.31. Analysts have varying opinions on the stock, with 6 analysts rating it as a “buy,” 2 as “overweight,” 10 as “hold,” and 3 as “sell.”
The public float for BWA is 228.06M and currently, short sellers hold a 5.10% of that float. On April 02, 2024, BWA’s average trading volume was 2.99M shares.
BWA’s Market Performance
The stock of BorgWarner Inc (BWA) has seen a 5.54% increase in the past week, with a 12.56% rise in the past month, and a -2.64% fall in the past quarter. The volatility ratio for the week is 2.15%, and the volatility levels for the past 30 days are at 2.31% for BWA. The simple moving average for the last 20 days is 7.77% for BWA’s stock, with a simple moving average of -5.94% for the last 200 days.
Analysts’ Opinion of BWA
Many brokerage firms have already submitted their reports for BWA stocks, with Piper Sandler repeating the rating for BWA by listing it as a “Overweight.” The predicted price for BWA in the upcoming period, according to Piper Sandler is $43 based on the research report published on March 15, 2024 of the current year 2024.
Exane BNP Paribas, on the other hand, stated in their research note that they expect to see BWA reach a price target of $35, previously predicting the price at $43. The rating they have provided for BWA stocks is “Neutral” according to the report published on February 20th, 2024.
Robert W. Baird gave a rating of “Neutral” to BWA, setting the target price at $39 in the report published on January 03rd of the current year.
BWA Trading at 8.13% 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 -25.53% of loss for the given period.
Volatility was left at 2.31%, however, over the last 30 days, the volatility rate increased by 2.15%, as shares surge +12.49% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +6.99% upper at present.
During the last 5 trading sessions, BWA rose by +5.54%, which changed the moving average for the period of 200-days by -24.94% in comparison to the 20-day moving average, which settled at $32.71. In addition, BorgWarner Inc saw -2.26% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at BWA starting from Demmerle Stefan, who sale 3,000 shares at the price of $33.00 back on Mar 13 ’24. After this action, Demmerle Stefan now owns 249,013 shares of BorgWarner Inc, valued at $99,000 using the latest closing price.
Weng Volker, the Vice President of BorgWarner Inc, sale 20,000 shares at $32.85 during a trade that took place back on Mar 07 ’24, which means that Weng Volker is holding 111,964 shares at $657,000 based on the most recent closing price.
Stock Fundamentals for BWA
Current profitability levels for the company are sitting at:
- 0.08 for the present operating margin
- 0.18 for the gross margin
The net margin for BorgWarner Inc stands at 0.04. The total capital return value is set at 0.12. Equity return is now at value 10.07, with 4.18 for asset returns.
Based on BorgWarner Inc (BWA), the company’s capital structure generated 0.4 points at debt to capital in total, while cash flow to debt ratio is standing at 0.36. The debt to equity ratio resting at 0.67. The interest coverage ratio of the stock is 17.48.
Currently, EBITDA for the company is 1.9 billion with net debt to EBITDA at 1.42. When we switch over and look at the enterprise to sales, we see a ratio of 0.66. The receivables turnover for the company is 5.07for trailing twelve months and the total asset turnover is 1.1. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.65.
Conclusion
To wrap up, the performance of BorgWarner Inc (BWA) has been mixed in recent times. The stock has received a bullish of “buy” and “hold” ratings from analysts. 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.
