BorgWarner (NYSE:BWA) Releases FY24 Earnings Guidance

BorgWarner (NYSE:BWA) updated its FY24 earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of $3.95-4.15 for the period, compared to the consensus estimate of $4.07. The company issued revenue guidance of $14.1-14.4 billion, compared to the consensus revenue estimate of $14.73 billion. BorgWarner also updated its FY 2024 guidance to 3.950-4.150 EPS.

BorgWarner Price Performance

NYSE:BWA traded down $0.99 during trading hours on Friday, reaching $33.04. 3,296,852 shares of the company traded hands, compared to its average volume of 2,862,120. The firm’s 50-day moving average is $33.34 and its 200-day moving average is $33.47. The stock has a market cap of $7.53 billion, a P/E ratio of 12.52, a P/E/G ratio of 0.78 and a beta of 1.22. The company has a debt-to-equity ratio of 0.52, a current ratio of 1.62 and a quick ratio of 1.20. BorgWarner has a 1-year low of $29.51 and a 1-year high of $42.78.

BorgWarner (NYSE:BWA) last issued its quarterly earnings results on Wednesday, July 31st. The auto parts company reported $1.19 earnings per share for the quarter, topping analysts’ consensus estimates of $1.01 by $0.18. BorgWarner had a return on equity of 15.50% and a net margin of 4.97%. The company had revenue of $3.60 billion for the quarter, compared to analyst estimates of $3.69 billion. During the same quarter in the prior year, the company posted $1.35 EPS. The business’s revenue for the quarter was down 20.3% compared to the same quarter last year. Equities research analysts expect that BorgWarner will post 4.06 earnings per share for the current fiscal year.

BorgWarner Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, September 16th. Stockholders of record on Tuesday, September 3rd will be paid a dividend of $0.11 per share. The ex-dividend date of this dividend is Tuesday, September 3rd. This represents a $0.44 annualized dividend and a dividend yield of 1.33%. BorgWarner’s dividend payout ratio is presently 16.67%.

BorgWarner declared that its board has approved a share buyback program on Thursday, May 2nd that permits the company to repurchase $500.00 million in shares. This repurchase authorization permits the auto parts company to repurchase up to 6% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

Analysts Set New Price Targets

A number of equities analysts have issued reports on BWA shares. UBS Group raised their target price on shares of BorgWarner from $41.00 to $42.00 and gave the stock a buy rating in a report on Wednesday, July 10th. JPMorgan Chase & Co. lowered their price objective on shares of BorgWarner from $52.00 to $50.00 and set an overweight rating on the stock in a research report on Monday, July 22nd. StockNews.com upgraded shares of BorgWarner from a hold rating to a buy rating in a research report on Friday. Robert W. Baird upped their price target on shares of BorgWarner from $38.00 to $39.00 and gave the stock a neutral rating in a research note on Thursday. Finally, Oppenheimer upped their price target on shares of BorgWarner from $39.00 to $40.00 and gave the stock an outperform rating in a research note on Friday, May 3rd. Seven research analysts have rated the stock with a hold rating and eleven have issued a buy rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of Moderate Buy and a consensus price target of $41.35.

BorgWarner Company Profile

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.