BorgWarner (BWA) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

BorgWarner

NYSE•Consumer Cyclical•Auto Parts

$67.54+1.81(0.03%)Pre-market

Market Cap

$12.94B

P/E

31.2x

P/S

0.9x

P/B

2.2x

BorgWarner Inc., together with its subsidiaries, provides technology solutions for combustion, hybrid, and electric vehicles worldwide. The company operates through the Turbos & Thermal Technologies; Drivetrain & Morse Systems; PowerDrive Systems; and Battery & Charging Systems segments. It offers turbochargers, eBoosters, eTurbos, emissions systems, thermal systems, gasoline ignition technology, smart remote actuators, powertrain sensors, cabin heaters, battery heaters, and battery cooling systems. The company also provides chain systems and variable camshaft phasing products; friction and mechanical products for automatic transmissions, including dual clutch modules, friction clutch modules, electromagnetic clutches, friction and separator plates, transmission bands, torque converter clutches, one-way clutches, and torsional vibration dampers; hydraulic controls products for automatic transmissions, such as electro-hydraulic solenoids for standard and hydraulic systems, transmission solenoid modules and dual clutch hydraulic control modules; and torque management products comprising transfer cases and couplings; electronic limited slip differentials, electric torque vectoring products, and axle disconnect systems. In addition, it offers power electronics, including inverters, onboard chargers, DC/DC converters, and combination boxes; rotating electric machines comprising eMotors and generators; fully integrated drive modules consisting of inverters and gear reducers; and electronic controls, such as engine control units, transmission control units, battery management systems, propulsion controllers, and domain controllers. Further, the company provides battery and charging systems, including nickel manganese cobalt battery packs and lithium iron phosphate battery packs. BorgWarner Inc. was formerly known as Borg-Warner Automotive, Inc. The company was founded in 1928 and is headquartered in Auburn Hills, Michigan.

How this company scores

GoodMetricSide Score: 64/100

Strongest: Growth (19/25); weakest: Balance Sheet & Red Flags (14/25).

Profitability15/25

Growth19/25

Balance Sheet & Red Flags14/25

Cash & Earnings Quality16/25

Strengths

Rising earningsProfit converts from growthConsistent growthImproving margins

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 31.2x5y range 7.9x – 69.9x

Currently above its 20-quarter median.

P/S · 0.9x5y range 0.4x – 0.9x

Currently above its 20-quarter median.

P/B · 2.2x5y range 1.0x – 2.2x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Red Flag

The company posted negative operating margins in recent quarters — core operations are unprofitable.

Earnings Quality

Watch

FCF/Net Income has dropped below 0.7x in 4 quarters — monitor for earnings quality deterioration.

Price & Volume

Market Cap $12.94B

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue: $14.34B
Q. Revenue: $3.65B
TTM EBITDA: $1.40B
TTM Op. Income: $716.00M
Q. Op. Income: $370.00M
TTM Net Income: $415.00M
Q. Net Income: $277.00M
EPS: $1.36
Shares Out.: $203.00M

$14.34B in TTM revenue grew 2.2% YoY, reaching $3.65B last quarter. TTM EBITDA of $1.40B and TTM operating income of $716.00M show growth is flowing through to the bottom line. TTM net income of $415.00M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has risen for 5 consecutive quarters — an improving trend.

Margins

Gross, EBITDA, operating, and net margin trends

Gross Margin: 19.8%
EBITDA Margin: 14.2%
Op. Margin: 10.1%
Net Margin: 7.6%

Op. margin of 10.1% is up 2.2% YoY — cost efficiency is improving. Net margin at 7.6% and gross margin of 19.8% show how much of each revenue dollar survives to profit. Across the last 8 quarters, operating margin has risen for 2 consecutive quarters — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio: 31.2x
P/S Ratio: 0.9x
P/B Ratio: 2.2x

At 31.2x P/E, the stock trades above typical market levels — the market expects above-average growth. P/S of 0.9x and P/B of 2.2x provide additional context. P/E sits above typical market levels while revenue growth is below 5%. Over the past year, P/E is down 10% — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets: $13.93B
Cash: N/A
Long-Term Debt: $3.86B
Book Value: $5.80B
D/E Ratio: 0.7
Debt/EBITDA: 7.4

With $13.93B in assets and $3.86B in long-term debt, D/E is 0.7and book value is $5.80B — a conservative capital structure with a cushion to weather downturns. Across the last 8 quarters, debt/equity has fallen for 2 consecutive quarters — an improving trend.

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow: $586.00M
TTM Free Cash Flow: $1.21B
FCF Margin: 8.5%
FCF / Net Income: 2.9

TTM FCF of $1.21B on $586.00M in operating cash flow. The FCF / Net Income ratio of 2.9x means free cash flow covers net income — earnings are backed by cash. Over the past year, free cash flow is up 2% — a weakening trend.