Historical Valuation
Borgwarner Inc (BWA) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.40 is considered Undervalued compared with the five-year average of 9.44. The fair price of Borgwarner Inc (BWA) is between 50.89 to 66.01 according to relative valuation methord. Compared to the current price of 47.79 USD , Borgwarner Inc is Undervalued By 6.1%.
Relative Value
Fair Zone
50.89-66.01
Current Price:47.79
6.1%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Borgwarner Inc (BWA) has a current Price-to-Book (P/B) ratio of 1.67. Compared to its 3-year average P/B ratio of 1.36 , the current P/B ratio is approximately 22.87% higher. Relative to its 5-year average P/B ratio of 1.42, the current P/B ratio is about 17.28% higher. Borgwarner Inc (BWA) has a Forward Free Cash Flow (FCF) yield of approximately 12.43%. Compared to its 3-year average FCF yield of 9.06%, the current FCF yield is approximately 37.23% lower. Relative to its 5-year average FCF yield of 7.86% , the current FCF yield is about 58.14% lower.
P/B
Median3y
1.36
Median5y
1.42
FCF Yield
Median3y
9.06
Median5y
7.86
Competitors Valuation Multiple
AI Analysis for BWA
The average P/S ratio for BWA competitors is 0.92, providing a benchmark for relative valuation. Borgwarner Inc Corp (BWA.N) exhibits a P/S ratio of 0.69, which is -25.37% above the industry average. Given its robust revenue growth of 4.12%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for BWA
1Y
3Y
5Y
Market capitalization of BWA increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of BWA in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is BWA currently overvalued or undervalued?
Borgwarner Inc (BWA) is now in the Undervalued zone, suggesting that its current forward PE ratio of 9.40 is considered Undervalued compared with the five-year average of 9.44. The fair price of Borgwarner Inc (BWA) is between 50.89 to 66.01 according to relative valuation methord. Compared to the current price of 47.79 USD , Borgwarner Inc is Undervalued By 6.10% .
What is Borgwarner Inc (BWA) fair value?
BWA's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Borgwarner Inc (BWA) is between 50.89 to 66.01 according to relative valuation methord.
How does BWA's valuation metrics compare to the industry average?
The average P/S ratio for BWA's competitors is 0.92, providing a benchmark for relative valuation. Borgwarner Inc Corp (BWA) exhibits a P/S ratio of 0.69, which is -25.37% above the industry average. Given its robust revenue growth of 4.12%, this premium appears unsustainable.
What is the current P/B ratio for Borgwarner Inc (BWA) as of Jan 09 2026?
As of Jan 09 2026, Borgwarner Inc (BWA) has a P/B ratio of 1.67. This indicates that the market values BWA at 1.67 times its book value.
What is the current FCF Yield for Borgwarner Inc (BWA) as of Jan 09 2026?
As of Jan 09 2026, Borgwarner Inc (BWA) has a FCF Yield of 12.43%. This means that for every dollar of Borgwarner Inc’s market capitalization, the company generates 12.43 cents in free cash flow.
What is the current Forward P/E ratio for Borgwarner Inc (BWA) as of Jan 09 2026?
As of Jan 09 2026, Borgwarner Inc (BWA) has a Forward P/E ratio of 9.40. This means the market is willing to pay $9.40 for every dollar of Borgwarner Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Borgwarner Inc (BWA) as of Jan 09 2026?
As of Jan 09 2026, Borgwarner Inc (BWA) has a Forward P/S ratio of 0.69. This means the market is valuing BWA at $0.69 for every dollar of expected revenue over the next 12 months.