BWA Stock Overview
BorgWarner Inc. provides solutions for combustion, hybrid, and electric vehicles worldwide.
Price History & Performance
|Historical stock prices|
|Current Share Price||US$31.40|
|52 Week High||US$50.09|
|52 Week Low||US$31.14|
|1 Month Change||-16.71%|
|3 Month Change||-7.84%|
|1 Year Change||-28.36%|
|3 Year Change||-10.67%|
|5 Year Change||-39.46%|
|Change since IPO||904.80%|
Recent News & Updates
BorgWarner to acquire charging business of Hubei Surpass Sun Electric for RMB410M
BorgWarner (NYSE:BWA) has agreed to acquire the Electric Vehicle Solution, Smart Grid and Smart Energy businesses of Hubei Surpass Sun Electric at an enterprise value of up to RMB410M. Approximately RMB267M would be delivered at or soon after closing and up to RMB143M in the form of contingent payments over approximately two years following the closing. The transaction is expected to close in 1Q23. The acquisition will complement company's existing capabilities in Europe and North America. SSE's 2022 revenues for the electrification business are expected to be approximately RMB180M. "This transaction makes good business sense as we continue to bolster our fast-charging capabilities globally," said Frédéric Lissalde, President and CEO of BorgWarner. "SSE will bring enhanced offerings while supporting Charging Forward, our strategy to accelerate our growth in electrification. We look forward to welcoming their talented team to BorgWarner."
BorgWarner's (NYSE:BWA) Dividend Will Be $0.17
BorgWarner Inc. ( NYSE:BWA ) has announced that it will pay a dividend of $0.17 per share on the 15th of September...
|BWA||US Auto Components||US Market|
Return vs Industry: BWA exceeded the US Auto Components industry which returned -38.5% over the past year.
Return vs Market: BWA underperformed the US Market which returned -21.5% over the past year.
|BWA Average Weekly Movement||5.3%|
|Auto Components Industry Average Movement||7.4%|
|Market Average Movement||6.9%|
|10% most volatile stocks in US Market||15.6%|
|10% least volatile stocks in US Market||2.8%|
Stable Share Price: BWA is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: BWA's weekly volatility (5%) has been stable over the past year.
About the Company
BorgWarner Inc. provides solutions for combustion, hybrid, and electric vehicles worldwide. The company operates through four segments: Air Management, E-Propulsion & Drivetrain, Fuel Injection, and Aftermarket. The Air Management segment offers turbochargers, eBoosters, eTurbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, canisters, cabin heaters, battery modules and systems, battery packs, battery heaters, and battery charging.
BorgWarner Fundamentals Summary
|BWA fundamental statistics|
Is BWA overvalued?See Fair Value and valuation analysis
Earnings & Revenue
|BWA income statement (TTM)|
|Cost of Revenue||US$11.97b|
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
Oct 27, 2022
|Earnings per share (EPS)||2.71|
|Net Profit Margin||4.36%|
How did BWA perform over the long term?See historical performance and comparison
2.2%Current Dividend Yield
Is BWA undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score 5/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Key Valuation Metric
Which metric is best to use when looking at relative valuation for BWA?
Other financial metrics that can be useful for relative valuation.
|What is BWA's n/a Ratio?|
Price to Earnings Ratio vs Peers
How does BWA's PE Ratio compare to its peers?
|BWA PE Ratio vs Peers|
|Company||PE||Estimated Growth||Market Cap|
FOXF Fox Factory Holding
Price-To-Earnings vs Peers: BWA is good value based on its Price-To-Earnings Ratio (11.6x) compared to the peer average (29.1x).
Price to Earnings Ratio vs Industry
How does BWA's PE Ratio compare vs other companies in the US Auto Components Industry?
Price-To-Earnings vs Industry: BWA is good value based on its Price-To-Earnings Ratio (11.6x) compared to the US Auto Components industry average (17.7x)
Price to Earnings Ratio vs Fair Ratio
What is BWA's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
|Current PE Ratio||11.6x|
|Fair PE Ratio||14.2x|
Price-To-Earnings vs Fair Ratio: BWA is good value based on its Price-To-Earnings Ratio (11.6x) compared to the estimated Fair Price-To-Earnings Ratio (14.2x).
Share Price vs Fair Value
What is the Fair Price of BWA when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: BWA ($31.4) is trading below our estimate of fair value ($151.15)
Significantly Below Fair Value: BWA is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Target price is more than 20% higher than the current share price, but analysts are not within a statistically confident range of agreement.
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How is BorgWarner forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
Future Growth Score3/6
Future Growth Score 3/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: BWA's forecast earnings growth (16.3% per year) is above the savings rate (1.9%).
Earnings vs Market: BWA's earnings (16.3% per year) are forecast to grow faster than the US market (14.7% per year).
High Growth Earnings: BWA's earnings are forecast to grow, but not significantly.
Revenue vs Market: BWA's revenue (8.5% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: BWA's revenue (8.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: BWA's Return on Equity is forecast to be low in 3 years time (15%).
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How has BorgWarner performed over the past 5 years?
Past Performance Score1/6
Past Performance Score 1/6
Growing Profit Margin
Earnings vs Industry
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: BWA has a large one-off loss of $310.0M impacting its June 30 2022 financial results.
Growing Profit Margin: BWA's current net profit margins (4.4%) are lower than last year (5.5%).
Past Earnings Growth Analysis
Earnings Trend: BWA's earnings have grown by 6.7% per year over the past 5 years.
Accelerating Growth: BWA's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: BWA had negative earnings growth (-17.9%) over the past year, making it difficult to compare to the Auto Components industry average (-17.5%).
Return on Equity
High ROE: BWA's Return on Equity (10.1%) is considered low.
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How is BorgWarner's financial position?
Financial Health Score6/6
Financial Health Score 6/6
Short Term Liabilities
Long Term Liabilities
Financial Position Analysis
Short Term Liabilities: BWA's short term assets ($6.5B) exceed its short term liabilities ($3.7B).
Long Term Liabilities: BWA's short term assets ($6.5B) exceed its long term liabilities ($5.3B).
Debt to Equity History and Analysis
Debt Level: BWA's net debt to equity ratio (39.4%) is considered satisfactory.
Reducing Debt: BWA's debt to equity ratio has reduced from 60.1% to 58.8% over the past 5 years.
Debt Coverage: BWA's debt is well covered by operating cash flow (24.1%).
Interest Coverage: BWA's interest payments on its debt are well covered by EBIT (27.6x coverage).
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What is BorgWarner current dividend yield, its reliability and sustainability?
Dividend Score 3/6
Cash Flow Coverage
Current Dividend Yield
Dividend Yield vs Market
|BorgWarner Dividend Yield vs Market|
|Market Bottom 25% (US)||1.7%|
|Market Top 25% (US)||4.7%|
|Industry Average (Auto Components)||2.8%|
|Analyst forecast in 3 Years (BorgWarner)||2.3%|
Notable Dividend: BWA's dividend (2.17%) is higher than the bottom 25% of dividend payers in the US market (1.66%).
High Dividend: BWA's dividend (2.17%) is low compared to the top 25% of dividend payers in the US market (4.7%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, BWA has been paying a dividend for less than 10 years.
Growing Dividend: BWA's dividend payments have increased, but the company has only paid a dividend for 9 years.
Earnings Payout to Shareholders
Earnings Coverage: With its reasonably low payout ratio (25.2%), BWA's dividend payments are well covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: With its reasonably low cash payout ratio (44.6%), BWA's dividend payments are well covered by cash flows.
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How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Fred Lissalde (55 yo)
Mr. Frederic B. Lissalde, also known as Fred, has been an Independent Director of Autoliv, Inc. since December 8, 2020. Mr. Lissalde has been President, Chief Executive Officer and Director of BorgWarner I...
CEO Compensation Analysis
|Fred Lissalde's Compensation vs BorgWarner Earnings|
|Date||Total Comp.||Salary||Company Earnings|
|Jun 30 2022||n/a||n/a|
|Mar 31 2022||n/a||n/a|
|Dec 31 2021||US$18m||US$1m|
|Sep 30 2021||n/a||n/a|
|Jun 30 2021||n/a||n/a|
|Mar 31 2021||n/a||n/a|
|Dec 31 2020||US$10m||US$1m|
|Sep 30 2020||n/a||n/a|
|Jun 30 2020||n/a||n/a|
|Mar 31 2020||n/a||n/a|
|Dec 31 2019||US$14m||US$1m|
|Sep 30 2019||n/a||n/a|
|Jun 30 2019||n/a||n/a|
|Mar 31 2019||n/a||n/a|
|Dec 31 2018||US$5m||US$946k|
|Sep 30 2018||n/a||n/a|
|Jun 30 2018||n/a||n/a|
|Mar 31 2018||n/a||n/a|
|Dec 31 2017||US$3m||US$673k|
|Sep 30 2017||n/a||n/a|
|Jun 30 2017||n/a||n/a|
|Mar 31 2017||n/a||n/a|
|Dec 31 2016||US$3m||US$607k|
|Sep 30 2016||n/a||n/a|
|Jun 30 2016||n/a||n/a|
|Mar 31 2016||n/a||n/a|
|Dec 31 2015||US$5m||US$577k|
Compensation vs Market: Fred's total compensation ($USD17.59M) is above average for companies of similar size in the US market ($USD8.64M).
Compensation vs Earnings: Fred's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: BWA's management team is considered experienced (3.7 years average tenure).
Experienced Board: BWA's board of directors are considered experienced (4.1 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
|01 Jun 22||SellUS$706,474||Tonit Calaway||Individual||17,543||US$40.27|
|17 May 22||SellUS$155,016||Tonit Calaway||Individual||4,000||US$38.75|
|09 Mar 22||SellUS$250,489||Felecia Pryor||Individual||6,590||US$38.01|
|16 Nov 21||SellUS$147,000||Stefan Demmerle||Individual||3,000||US$49.00|
|05 Nov 21||SellUS$281,717||Stefan Demmerle||Individual||6,000||US$46.95|
|Owner Type||Number of Shares||Ownership Percentage|
|State or Government||101,011||0.04%|
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
|Ownership||Name||Shares||Current Value||Change %||Portfolio %|
BorgWarner Inc.'s employee growth, exchange listings and data sources
- Name: BorgWarner Inc.
- Ticker: BWA
- Exchange: NYSE
- Founded: 1987
- Industry: Auto Parts and Equipment
- Sector: Automobiles
- Implied Market Cap: US$7.437b
- Shares outstanding: 236.83m
- Website: https://www.borgwarner.com
Number of Employees
- BorgWarner Inc.
- 3850 Hamlin Road
- Auburn Hills
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|BWA||NYSE (New York Stock Exchange)||Yes||Common Stock||US||USD||Aug 1993|
|BGW||DB (Deutsche Boerse AG)||Yes||Common Stock||DE||EUR||Aug 1993|
|0HOU||LSE (London Stock Exchange)||Yes||Common Stock||GB||USD||Aug 1993|
|BWA *||BMV (Bolsa Mexicana de Valores)||Yes||Common Stock||MX||MXN||Aug 1993|
|B1WA34||BOVESPA (Bolsa de Valores de Sao Paulo)||BDR EACH 1 REPR 1 SHS UNSPON||BR||BRL||Jan 2020|
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2022/09/30 00:00|
|End of Day Share Price||2022/09/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.