BWABorgWarner Inc.

$61.31+40% 1Y

Is the business good?

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Margins compressing. That is the only one of 4 checks this filer's data supports, so take it as a single data point rather than a settled answer.

1 to watch, 3 without data
Margin direction, 3 years−4.0 ptsderived

Operating margin has narrowed over the past few years, profitability per dollar of sales is eroding.

Against the whole market›

Percentile against every name Ryufin tracks. Higher is better; the tick marks the middle of the market. Context, not one of the checks above.

Leverage (Debt/EBITDA)middle of the market

Where this answer is blind. The F-score rewards improvement, so an already-elite company can score mid-pack.

How good a business is BWA?

BorgWarner Inc. earns 6.0% on the capital it employs against a 9.0% cost of capital, so growth costs more than it returns.

6.0%

Return on invested capital · cost of capital 9.0% · 3.0 points below what the capital costs: growth destroys value

Share count, year on year
−5.5%

Share count, year on year · bought back, each share owns more of the company

Operating margin by fiscal year
YearOperating margin
FY20206.1%
FY20217.7%
FY20228.0%
FY20238.2%
FY20243.9%
FY20253.7%
Details›
Net income, trailing twelve months
$415M
Return on invested capitaloperating profit after tax ÷ debt + equity − cash
6.0%

Margins, capital and share counts from the statements as filed with the SEC; cash conversion is operating cash flow over operating profit after tax.