Market Overview

CRT Downgrades BorgWarner To Neutral


CRT issued a company report on BorgWarner, Inc. (NYSE: BWA) after the company reported financial results that were below expectations for the fourth quarter. The firm downgraded BorgWarner from Buy to Neutral and issued a $40 price target.

Analysts Michael Ward and Ali Faghri wrote, "BorgWarner is among the best positioned global suppliers to capture growth from a move towards a cleaner, more efficient drivetrain on a global basis...The adverse impact of currency, lower volumes and program timing were cited as the main reasons for the adjustment."

CRT highlighted two reasons why they downgraded BorgWarner.

Industry demand

Analysts noted that planned new business for 2016-2017 was cut by 60 percent to a range of $640 million to $980 million, as the company is facing challenges of a weaker global economy and lessening demand for its automotive parts and supplies.


BorgWarner reported $8 billion of revenue in 2015, down 3.4 percent from the previous year. The company is highly exposed to swings in currency, which analysts believe will continue to serve as a primary challenge for the company, particularly as it works to accelerate top-line growth through acquisitions of firms such as Remy International, which was completed in November of 2015.

Latest Ratings for BWA

Nov 2020B of A SecuritiesMaintainsBuy
Nov 2020Morgan StanleyDowngradesEqual-WeightUnderweight
Nov 2020Goldman SachsReinstatesNeutral

View More Analyst Ratings for BWA
View the Latest Analyst Ratings


Related Articles (BWA)

View Comments and Join the Discussion!

Posted-In: ali faghri CRT Capital Michael WardAnalyst Color Downgrades Price Target Analyst Ratings

Latest Ratings

HYMCBMO CapitalInitiates Coverage On
DEMorgan StanleyMaintains335.0
SBNYRaymond JamesMaintains138.0
CORTHC Wainwright & Co.Maintains32.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at