Should I Buy BWA Stock in 2026?

Data-driven analysis and honest assessment for BorgWarner Inc

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $48.27P/E: 67.1

Decision Score

4.6/10

Weak

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)2/10

Very high P/E of 67.1 suggests overvaluation

Growth (20%)3/10

Declining -0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)10/10

Excellent FCF yield of 13.1%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$48.27

P/E Ratio

67.14

Revenue Growth

0.0%

Profit Margin

0.0%

Market Cap

$10.3B

Dividend Yield

0.01%

How BWA Compares to Competitors

Understanding how BWA stacks up against peers helps inform your investment decision.

How BWA Compares to Peers

Upcoming Events for BWA

+5 Reasons TO Buy BWA

1. High free cash flow yield of 13.1%

strong

FCF yield above 5% means substantial cash generation for dividends, buybacks, or reinvestment.

-5 Reasons NOT to Buy BWA

1. Expensive valuation at 67x earnings

high risk

P/E of 67 is significantly above averages. High expectations leave little room for disappointment.

2. Thin profit margins of 0.0%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

3. Low gross margins of 18%

medium risk

Margins below 30% indicate commodity-like pricing and input cost vulnerability.

4. Minimal revenue growth

low risk

Growth of 0.0% barely keeps pace with inflation.

Who Should Buy BWA?

Investment Profile

Risk Level

High

Recommended Holding Period

3-5 years

Best For:

  • Momentum Traders

    High-growth profile attracts momentum

Not Suitable For:

  • Growth Investors

    Limited 0% growth may disappoint

  • Value Investors

    Premium P/E of 67 doesn't fit value criteria

  • Income-Focused Retirees

    Low 0.0% yield

  • Risk-Averse Investors

    High risk may cause uncomfortable volatility

Consider These Alternatives

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Pro tip: Compare BWA directly with competitors using our comparison tool to see which stock better fits your criteria.

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for BWA

Frequently Asked Questions

What is BWA stock price today?

BWA (BorgWarner Inc) stock is trading at $48.27 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is BWA stock going up or down today?

BWA stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy BWA stock now?

The decision to buy BWA depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is BWA a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for BWA based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is BWA stock overvalued or undervalued?

BWA currently trades at a P/E ratio of 67.14, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if BWA is fairly priced.

What is BWA's P/E ratio?

BWA has a price-to-earnings (P/E) ratio of 67.14, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is BWA's market cap?

BWA (BorgWarner Inc) has a market capitalization of $10.32 billion, making it a mid-cap stock.

What is BWA's price to book ratio?

BWA trades at a price-to-book (P/B) ratio of 1.70, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

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Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.