BorgWarner Rating Reiterated by Deutsche Bank (BWA)
BorgWarner (NYSE:BWA)‘s stock had its “hold” rating reaffirmed by investment analysts at Deutsche Bank in a note issued to investors on Friday. They currently have a $63.00 price target on the stock, up from their previous price target of $60.00. Deutsche Bank’s price target suggests a potential upside of 1.20% from the company’s current price.
The analysts wrote, “BWA reported Q2 EPS, ex-restructuring, of $0.89 vs. our $0.83 & cons of $0.87. We’d note that excluding a $0.02 EPS benefit from foreign currency results were in-line with consensus. Nevertheless, operating results were very strong in the quarter. While organic revenue growth of 8.4% was in-line with our estimate, operating margin of 13.5% was well ahead our 12.7% est, as was incremental margin of 31% vs. our 19.5% estimate, driven by continued strong cost performance and operational execution. We continue to be impressed by BorgWarner’s operational performance but maintain our hold rating based on valuation.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Gabelli downgraded shares of BorgWarner from a “buy” rating to a “hold” rating in a research note on Friday. Separately, analysts at JPMorgan Chase & Co. raised their price target on shares of BorgWarner from $70.00 to $73.00 in a research note on Tuesday, July 22nd. They now have an “overweight” rating on the stock. Finally, analysts at Zacks reiterated a “neutral” rating on shares of BorgWarner in a research note on Friday, July 18th. They now have a $67.00 price target on the stock. Five equities research analysts have rated the stock with a hold rating and seven have given a buy rating to the company’s stock. The stock has an average rating of “Buy” and an average price target of $75.09.
Shares of BorgWarner (NYSE:BWA) traded down 1.99% on Friday, hitting $61.01. The stock had a trading volume of 1,492,470 shares. BorgWarner has a 52-week low of $47.12 and a 52-week high of $67.49. The stock’s 50-day moving average is $65.30 and its 200-day moving average is $61.34. The company has a market cap of $13.948 billion and a price-to-earnings ratio of 22.38.
BorgWarner (NYSE:BWA) last announced its earnings results on Thursday, July 31st. The company reported $0.89 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.87 by $0.02. The company had revenue of $2.20 billion for the quarter, compared to the consensus estimate of $2.20 billion. During the same quarter in the previous year, the company posted $1.50 earnings per share. The company’s revenue for the quarter was up 16.0% on a year-over-year basis. On average, analysts predict that BorgWarner will post $3.36 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which is scheduled for Tuesday, September 16th. Stockholders of record on Tuesday, September 2nd will be paid a dividend of $0.13 per share. This represents a $0.52 annualized dividend and a dividend yield of 0.84%. The ex-dividend date is Thursday, August 28th. This is a boost from BorgWarner’s previous quarterly dividend of $0.13.
BorgWarner Inc, is a global supplier of engineered automotive systems and components primarily for powertrain applications.
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