BorgWarner Inc (NYSE: BWA)’s stock price has gone decline by -3.64 in comparison to its previous close of 34.38, however, the company has experienced a -5.72% decrease in its stock price over the last five trading days. zacks.com reported 2024-11-19 that BorgWarner (BWA) made it through our ‘Fast-Paced Momentum at a Bargain’ screen and could be a great choice for investors looking for stocks that have gained strong momentum recently but are still trading at reasonable prices.
Is It Worth Investing in BorgWarner Inc (NYSE: BWA) Right Now?
BorgWarner Inc (NYSE: BWA) has a higher price-to-earnings ratio of 8.41x compared to its average ratio, The 36-month beta value for BWA is at 1.20. Analysts have varying views on the stock, with 7 analysts rating it as a “buy,” 6 rating it as “overweight,” 10 as “hold,” and 3 as “sell.”
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The public float for BWA is 217.10M, and currently, shorts hold a 3.44% of that float. The average trading volume for BWA on November 20, 2024 was 2.25M shares.
BWA’s Market Performance
BWA’s stock has seen a -5.72% decrease for the week, with a -3.52% drop in the past month and a 0.18% gain in the past quarter. The volatility ratio for the week is 2.25%, and the volatility levels for the past 30 days are at 2.81% for BorgWarner Inc The simple moving average for the last 20 days is -2.95% for BWA’s stock, with a simple moving average of -1.34% for the last 200 days.
Analysts’ Opinion of BWA
Many brokerage firms have already submitted their reports for BWA stocks, with Deutsche Bank repeating the rating for BWA by listing it as a “Hold.” The predicted price for BWA in the upcoming period, according to Deutsche Bank is $36 based on the research report published on September 10, 2024 of the current year 2024.
Piper Sandler gave a rating of “Overweight” to BWA, setting the target price at $43 in the report published on March 15th of the current year.
BWA Trading at -3.49% 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 -13.33% of loss for the given period.
Volatility was left at 2.81%, however, over the last 30 days, the volatility rate increased by 2.25%, as shares sank -3.10% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +4.97% upper at present.
During the last 5 trading sessions, BWA fell by -5.72%, which changed the moving average for the period of 200-days by -1.05% in comparison to the 20-day moving average, which settled at $34.14. In addition, BorgWarner Inc saw -7.59% 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 21,500 shares at the price of $34.79 back on Nov 14 ’24. After this action, Demmerle Stefan now owns 227,513 shares of BorgWarner Inc, valued at $748,077 using the latest closing price.
Demmerle Stefan, the Officer of BorgWarner Inc, proposed sale 21,500 shares at $34.79 during a trade that took place back on Nov 14 ’24, which means that Demmerle Stefan is holding shares at $748,078 based on the most recent closing price.
Stock Fundamentals for BWA
Current profitability levels for the company are sitting at:
- 0.09 for the present operating margin
- 0.19 for the gross margin
The net margin for BorgWarner Inc stands at 0.06. The total capital return value is set at 0.11. Equity return is now at value 15.41, with 6.29 for asset returns.
Based on BorgWarner Inc (BWA), the company’s capital structure generated 0.43 points at debt to capital in total, while cash flow to debt ratio is standing at 0.35. The debt to equity ratio resting at 0.75. The interest coverage ratio of the stock is 28.14.
Currently, EBITDA for the company is 1.83 billion with net debt to EBITDA at 1.45. When we switch over and look at the enterprise to sales, we see a ratio of 0.7. The receivables turnover for the company is 4.39for trailing twelve months and the total asset turnover is 0.94. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.84.
Conclusion
In conclusion, BorgWarner Inc (BWA) has had a bad performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others 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.
