BUZZ - Morgan Stanley upgrades BorgWarner's rating to "Overweight," leading to a sharp rise in its share price
路透社2026/10/06 13:21October 6 – Automotive parts supplier BorgWarner (BWA.N) saw its shares rise by 5.3% in premarket trading to $63.4. Morgan Stanley upgraded its rating from “neutral” to “overweight,” and raised its target price from $71 to $95, representing an approximately 58% premium over BWA’s previous closing price of $60.26. The firm cited slower-than-expected transition to electric vehicles and resilient demand for gasoline and hybrid cars as factors that could support the company’s earnings outlook. Morgan Stanley also believes the company’s emerging data center generator business could become a new growth and high-margin earnings driver. Morgan Stanley expects the engineering contracting business to accelerate growth by 2027; however, overcoming the obstacles to initial customer adoption is viewed as a risk. Of 16 brokerages, 12 have a “buy” or higher rating on the stock, while 4 rate it “hold”; the median price target is $80, according to data compiled by LSEG. As of the previous closing day, the stock has risen 33.7% year-to-date. (For the convenience of non-English speakers, Reuters automatically translates its reports into several other languages. Because automated translations may be inaccurate or fail to capture the original context, Reuters does not guarantee the accuracy of these translated texts and provides them solely for reader convenience. Reuters accepts no liability for any harm or loss resulting from the use of automated translation features.)
October 6 - ** Shares of auto parts supplier BorgWarner (BWA.N) rose 5.3% in pre-market trading to $63.4
** Morgan Stanley upgraded the stock rating from “Neutral” to “Overweight”, and raised the target price from $71 to $95, representing about a 58% premium to BWA's previous closing price of $60.26
** The institution stated that the slower-than-expected transition to electric vehicles, along with the resilience in demand for gasoline and hybrid cars, may support the company's earnings outlook
** Morgan Stanley believes that its emerging data center generator business could become a new growth point and source of high-margin income
** Morgan Stanley expects the engineering contracting business to accelerate growth in 2027; however, overcoming barriers to initial customer adoption is seen as a risk
** Out of 16 brokerages, 12 rate the stock as “Buy” or higher, while 4 rate it as “Hold”; the median target price is $80 — data compiled by LSEG
** As of the previous closing, the stock has risen 33.7% year-to-date
(For the convenience of non-English speakers, Reuters has automatically translated its reports into several other languages. As automated translation may contain errors or lack necessary context, Reuters does not guarantee the accuracy of the automated translation and provides it solely for reader convenience. Reuters assumes no liability for any damage or loss arising from the use of the automated translation function.)
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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