BorgWarner Inc. (NYSE:BWA) Short Interest Up 17.1% in November

BorgWarner Inc. (NYSE:BWA) was the recipient of a large increase in short interest during the month of November. As of November 30th, there was short interest totalling 8,750,000 shares, an increase of 17.1% from the November 15th total of 7,470,000 shares. Based on an average trading volume of 2,270,000 shares, the days-to-cover ratio is currently 3.9 days. Currently, 4.0% of the shares of the stock are sold short.

BorgWarner Stock Down 3.3 %

Shares of NYSE:BWA traded down $1.13 on Monday, reaching $32.92. The company had a trading volume of 1,605,241 shares, compared to its average volume of 2,639,027. BorgWarner has a 52-week low of $29.51 and a 52-week high of $38.22. The firm’s 50 day simple moving average is $34.38 and its 200-day simple moving average is $33.65. The company has a current ratio of 1.84, a quick ratio of 1.48 and a debt-to-equity ratio of 0.66. The firm has a market capitalization of $7.20 billion, a PE ratio of 8.63, a PEG ratio of 0.77 and a beta of 1.19.

BorgWarner (NYSE:BWA) last announced its earnings results on Thursday, October 31st. The auto parts company reported $1.09 earnings per share for the quarter, topping the consensus estimate of $0.92 by $0.17. BorgWarner had a return on equity of 15.51% and a net margin of 6.33%. The firm had revenue of $3.45 billion for the quarter, compared to the consensus estimate of $3.50 billion. During the same period in the previous year, the business earned $0.98 EPS. The firm’s revenue for the quarter was down 4.8% on a year-over-year basis. As a group, analysts expect that BorgWarner will post 4.22 earnings per share for the current fiscal year.

BorgWarner Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, December 16th. Stockholders of record on Monday, December 2nd will be issued a $0.11 dividend. The ex-dividend date of this dividend is Monday, December 2nd. This represents a $0.44 annualized dividend and a dividend yield of 1.34%. BorgWarner’s dividend payout ratio (DPR) is presently 11.17%.

Insider Activity

In other news, CEO Frederic Lissalde sold 154,000 shares of the business’s stock in a transaction that occurred on Monday, November 11th. The stock was sold at an average price of $34.61, for a total transaction of $5,329,940.00. Following the transaction, the chief executive officer now directly owns 259,957 shares of the company’s stock, valued at approximately $8,997,111.77. The trade was a 37.20 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Stefan Demmerle sold 21,500 shares of the business’s stock in a transaction that occurred on Thursday, November 14th. The shares were sold at an average price of $34.79, for a total value of $747,985.00. Following the transaction, the vice president now directly owns 227,513 shares in the company, valued at $7,915,177.27. This trade represents a 8.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 222,010 shares of company stock worth $7,678,076. 0.45% of the stock is currently owned by insiders.

Hedge Funds Weigh In On BorgWarner

A number of large investors have recently bought and sold shares of the business. Studio Investment Management LLC increased its stake in BorgWarner by 12.4% during the 3rd quarter. Studio Investment Management LLC now owns 2,813 shares of the auto parts company’s stock worth $102,000 after buying an additional 310 shares in the last quarter. Spectrum Asset Management Inc. NB CA increased its stake in BorgWarner by 0.5% during the 3rd quarter. Spectrum Asset Management Inc. NB CA now owns 59,457 shares of the auto parts company’s stock worth $2,158,000 after buying an additional 316 shares in the last quarter. First Pacific Financial grew its position in shares of BorgWarner by 3.6% in the second quarter. First Pacific Financial now owns 9,763 shares of the auto parts company’s stock valued at $315,000 after purchasing an additional 340 shares in the last quarter. Alpha Omega Wealth Management LLC grew its position in shares of BorgWarner by 2.2% in the third quarter. Alpha Omega Wealth Management LLC now owns 16,599 shares of the auto parts company’s stock valued at $602,000 after purchasing an additional 350 shares in the last quarter. Finally, Wellington Management Group LLP grew its position in shares of BorgWarner by 1.4% in the third quarter. Wellington Management Group LLP now owns 27,629 shares of the auto parts company’s stock valued at $1,003,000 after purchasing an additional 394 shares in the last quarter. Institutional investors and hedge funds own 95.67% of the company’s stock.

Analyst Upgrades and Downgrades

BWA has been the topic of a number of recent research reports. Evercore ISI raised BorgWarner from an “in-line” rating to an “outperform” rating and increased their target price for the company from $39.00 to $43.00 in a report on Monday, October 14th. Guggenheim restated a “buy” rating and issued a $41.00 price target on shares of BorgWarner in a research report on Thursday. The Goldman Sachs Group reduced their price target on BorgWarner from $38.00 to $36.00 and set a “neutral” rating for the company in a research report on Tuesday, October 1st. Wolfe Research initiated coverage on BorgWarner in a research report on Thursday, September 5th. They issued a “peer perform” rating for the company. Finally, Deutsche Bank Aktiengesellschaft upped their price target on BorgWarner from $38.00 to $39.00 and gave the stock a “hold” rating in a research report on Monday, November 4th. Six equities research analysts have rated the stock with a hold rating and eleven have given a buy rating to the company’s stock. According to data from MarketBeat.com, BorgWarner has a consensus rating of “Moderate Buy” and a consensus price target of $41.07.

About BorgWarner

BorgWarner Inc, together with its subsidiaries, provides solutions for combustion, hybrid, and electric vehicles worldwide. It offers turbochargers, eBoosters, eTurbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, cabin heaters, battery modules and systems, battery heaters, and battery charging.