BorgWarner Inc. (NYSE:BWA) to Issue $0.11 Quarterly Dividend

BorgWarner Inc. (NYSE:BWA) declared a quarterly dividend on Thursday, November 7th, RTT News reports. Investors of record on Monday, December 2nd will be given a dividend of 0.11 per share by the auto parts company on Monday, December 16th. This represents a $0.44 dividend on an annualized basis and a yield of 1.26%.

BorgWarner has decreased its dividend payment by an average of 6.3% per year over the last three years. BorgWarner has a payout ratio of 9.5% indicating that its dividend is sufficiently covered by earnings. Research analysts expect BorgWarner to earn $4.65 per share next year, which means the company should continue to be able to cover its $0.44 annual dividend with an expected future payout ratio of 9.5%.

BorgWarner Price Performance

NYSE:BWA opened at $35.00 on Thursday. The business’s 50-day moving average price is $34.08 and its 200 day moving average price is $33.91. The firm has a market cap of $7.65 billion, a P/E ratio of 8.85, a PEG ratio of 0.70 and a beta of 1.20. BorgWarner has a 52-week low of $29.51 and a 52-week high of $38.22. The company has a quick ratio of 1.48, a current ratio of 1.84 and a debt-to-equity ratio of 0.66.

BorgWarner (NYSE:BWA) last issued its quarterly earnings results on Thursday, October 31st. The auto parts company reported $1.09 earnings per share for the quarter, topping analysts’ consensus estimates of $0.92 by $0.17. The firm had revenue of $3.45 billion for the quarter, compared to analysts’ expectations of $3.50 billion. BorgWarner had a return on equity of 15.51% and a net margin of 6.33%. BorgWarner’s revenue was down 4.8% on a year-over-year basis. During the same quarter last year, the business posted $0.98 EPS. As a group, sell-side analysts predict that BorgWarner will post 4.23 earnings per share for the current fiscal year.

Insider Activity

In related news, EVP Tania Wingfield sold 2,066 shares of the business’s stock in a transaction that occurred on Tuesday, August 13th. The stock was sold at an average price of $32.00, for a total value of $66,112.00. Following the completion of the sale, the executive vice president now directly owns 46,016 shares in the company, valued at approximately $1,472,512. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.63% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of equities analysts recently weighed in on BWA shares. UBS Group lifted their price target on BorgWarner from $41.00 to $42.00 and gave the stock a “buy” rating in a research note on Wednesday, July 10th. Wells Fargo & Company dropped their price target on BorgWarner from $44.00 to $42.00 and set an “overweight” rating on the stock in a research note on Thursday, August 1st. Evercore ISI raised BorgWarner from an “in-line” rating to an “outperform” rating and lifted their price target for the stock from $39.00 to $43.00 in a research note on Monday, October 14th. Wolfe Research initiated coverage on BorgWarner in a research note on Thursday, September 5th. They issued a “peer perform” rating on the stock. Finally, Citigroup lowered their target price on BorgWarner from $41.00 to $36.00 and set a “neutral” rating on the stock in a research note on Friday, July 12th. Six research analysts have rated the stock with a hold rating and twelve have given a buy rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average target price of $41.44.

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.