BORGWARNER INC (BWA) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does BORGWARNER INC Do?
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. The E-Propulsion & Drivetrain segment provides rotating electrical components, power electronics, control modules, software, friction, and mechanical products for automatic transmissions and torque-management products. The Fuel Injection segment develops and manufactures gasoline and diesel fuel injection components and systems. The Aftermarket segment sells products and services to independent aftermarket customers and original equipment service customers. This segment provides a range of solutions, including fuel injection, electronics and engine management, maintenance, and test equipment and vehicle diagnostics. The company sells its products to original equipment manufacturers of light vehicles, which comprise passenger cars, sport-utility vehicles, vans, and light trucks; commercial vehicles, including medium-duty and heavy-duty trucks, and buses; and off-highway vehicles, such as agricultural and construction machinery, and marine applications, as well as to tier one vehicle systems suppliers and the aftermarket for light, commercial, and off-highway vehicles. The company was formerly known as Borg-Warner Automotive, Inc. BorgWarner Inc. was incorporated in 1987 and is headquartered in Auburn Hills, Michigan. BORGWARNER INC (BWA) is classified as a large-cap stock in the Consumer Discretionary sector, specifically within the Automobiles And Trucks industry. The company is led by CEO Frédéric B. Lissalde and employs approximately 52,700 people, headquartered in Wilmington, Michigan. With a market capitalization of $11.2B, BWA is one of the prominent companies in the Consumer Discretionary sector.
BORGWARNER INC (BWA) Stock Rating — Hold (April 2026)
As of April 2026, BORGWARNER INC receives a Hold rating with a composite score of 53.5/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.BWA ranks #955 out of 4,446 stocks in our coverage universe. Within the Consumer Discretionary sector, BORGWARNER INC ranks #66 of 442 stocks, placing it in the top quartile of its Consumer Discretionary peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
BWA Stock Price and 52-Week Range
BORGWARNER INC (BWA) currently trades at $54.48. The stock lost $0.49 (0.9%) in the most recent trading session. The 52-week high for BWA is $70.08, which means the stock is currently trading -22.3% from its annual peak. The 52-week low is $24.40, putting the stock 123.3% above its annual trough. Recent trading volume was 1.2M shares, reflecting moderate market activity.
Is BWA Overvalued or Undervalued? — Valuation Analysis
BORGWARNER INC (BWA) carries a value factor score of 58/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 13.09x, compared to the Consumer Discretionary sector average of 24.47x — a discount of 47%. The price-to-book ratio stands at 1.92x, versus the sector average of 1.99x. The price-to-sales ratio is 0.76x, compared to 0.27x for the average Consumer Discretionary stock. On an enterprise value basis, BWA trades at 10.34x EV/EBITDA, versus 4.91x for the sector.
Overall, BWA's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.
BORGWARNER INC Profitability — ROE, Margins, and Quality Score
BORGWARNER INC (BWA) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 14.7%, compared to the Consumer Discretionary sector average of 6.2%, which is within a healthy range. Return on assets (ROA) comes in at 6.0% versus the sector average of 2.5%.
On a margin basis, BORGWARNER INC reports gross margins of 18.2%, compared to 36.9% for the sector. The operating margin is 7.4% (sector: 3.8%). Net profit margin stands at 5.8%, versus 2.1% for the average Consumer Discretionary stock. Revenue growth is running at -0.3% on a trailing basis, compared to 3.3% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
BWA Debt, Balance Sheet, and Financial Health
BORGWARNER INC has a debt-to-equity ratio of 145.0%, compared to the Consumer Discretionary sector average of 89.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 2.07x, indicating strong short-term liquidity.
BWA has a beta of 0.66, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for BORGWARNER INC is 67/100, reflecting average volatility within the normal range for its sector.
BORGWARNER INC Revenue and Earnings History — Quarterly Trend
In TTM 2026, BORGWARNER INC reported revenue of $14.19B and earnings per share (EPS) of $1.29. Net income for the quarter was $825M. Gross margin was 18.2%. Operating income came in at $1.04B.
In FY 2025, BORGWARNER INC reported revenue of $14.32B and earnings per share (EPS) of $1.29. Net income for the quarter was $335M. Gross margin was 18.7%. Revenue grew 1.6% year-over-year compared to FY 2024. Operating income came in at $536M.
In Q3 2025, BORGWARNER INC reported revenue of $3.59B and earnings per share (EPS) of $0.74. Net income for the quarter was $173M. Gross margin was 18.5%. Revenue grew 4.1% year-over-year compared to Q3 2024. Operating income came in at $248M.
In Q2 2025, BORGWARNER INC reported revenue of $3.64B and earnings per share (EPS) of $1.04. Net income for the quarter was $232M. Gross margin was 17.6%. Revenue grew 1.0% year-over-year compared to Q2 2024. Operating income came in at $289M.
Over the past 8 quarters, BORGWARNER INC has demonstrated a growth trajectory, with revenue expanding from $3.60B to $14.19B. Investors analyzing BWA stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
BWA Dividend Yield and Income Analysis
BORGWARNER INC (BWA) does not currently pay a dividend. This is common among growth-oriented companies in the Automobiles And Trucks industry that prefer to reinvest cash flows into business expansion rather than returning capital to shareholders. Income-focused investors looking for Consumer Discretionary dividend stocks may want to explore other Consumer Discretionary stocks or use the stock screener to filter by dividend yield.
BWA Momentum and Technical Analysis Profile
BORGWARNER INC (BWA) has a momentum factor score of 67/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 34/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 30/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
BWA vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison
Within the Consumer Discretionary sector, BORGWARNER INC (BWA) ranks #66 out of 442 stocks based on the Blank Capital composite score. This places BWA in the top quartile of all Consumer Discretionary stocks in our coverage universe. Key competitors and sector peers include MONARCH CASINO & RESORT INC (MCRI) with a score of 50.5/100, CASEYS GENERAL STORES INC (CASY) with a score of 57.3/100, INGLES MARKETS INC (IMKTA) with a score of 51.0/100, FIVE BELOW, INC (FIVE) with a score of 51.6/100, and TARGET CORP (TGT) with a score of 52.6/100.
Comparing BWA against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full BWA vs S&P 500 (SPY) comparison to assess how BORGWARNER INC stacks up against the broader market across all factor dimensions.
BWA Next Earnings Date
No upcoming earnings date has been announced for BORGWARNER INC (BWA) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy BWA? — Investment Thesis Summary
BORGWARNER INC presents a balanced picture with arguments on both sides. Price momentum is positive at 67/100, suggesting the trend favors buyers. Low volatility (stability score 67/100) reduces downside risk.
In summary, BORGWARNER INC (BWA) earns a Hold rating with a composite score of 53.5/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on BWA stock.
Related Resources for BWA Investors
Explore more research and tools: BWA vs S&P 500 comparison, top Consumer Discretionary stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare BWA head-to-head with peers: BWA vs MCRI, BWA vs CASY, BWA vs IMKTA.