Friday, August 5, 2011

Investopedia: BorgWarner Is In A Sweet Spot

Better gas mileage and lower emissions is winning combination in the automobile industry these days, and BorgWarner (NYSE:BWA) is one of the companies that makes it happen. Moreover, as more manufacturers and customers look into the potential of turbocharged diesel passenger vehicles, this is a story that could have legs beyond today's car market. BorgWarner isn't the cheapest stock out there, but in an increasingly growth-challenged market, it stands out in many respects. 

Building Momentum in the Second Quarter  
BorgWarner reported strong results for the second quarter, as revenue rose nearly 28% on a GAAP basis and surpassed the average analyst estimate (and came very close to the top of the range). Organic growth was a still-solid 15%. Engine components are the majority of the business at BorgWarner and sales rose 28%. Sales of drivetrain products rose a very similar 29%. Those numbers are quite solid in their own right, but even more so considering that global vehicle production fell about 2% in the period. 


Continue to the full piece below:
http://stocks.investopedia.com/stock-analysis/2011/BorgWarner-In-A-Sweet-Spot-BWA-F-HON-CMI-TTM-TEN-JCI0805.aspx

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