Morgan Stanley Raises Its Price Target On BorgWarner Inc. (BWA)

 BorgWarner Inc. (NYSE:BWA) is among the 9 Best Auto Stocks to Buy Now.

According to TheFly, on December 8, 2025, Morgan Stanley reduced BorgWarner Inc. (NYSE:BWA) to Equal Weight from Overweight and boosted its price objective to $49 from $42 due to an analyst coverage adjustment. The rating modification was a part of a larger adjustment related to the company’s 2026 outlook that affected the cars and shared mobility segment. Morgan Stanley noted that it is leaning more cautiously going into next year, citing forecasts that the electric car “winter” will last until 2026. According to the research note, this projection is partly countered by a considerably more optimistic view of internal combustion engines and hybrid powertrains.

Separately, BorgWarner Inc. (NYSE:BWA) increased its financial performance estimates for 2025 in the last quarter. The company stated that it anticipates net sales to be between $14.1 billion and $14.3 billion, as opposed to a consensus forecast of $14.31 billion and roughly $14.1 billion in 2024. The firm’s previous estimate of $14.0 billion was revised to $14.4 billion in the latest range. Higher industrial production projections and positive effects from foreign exchange movements were cited by management as the reasons for the shift. These positive effects are likely to be largely offset by consumer production delays in North America and Europe, which continue to impact volumes in certain areas.

BorgWarner Inc. (NYSE:BWA) primarily supplies automobile original equipment manufacturers with drivetrain systems, powerdrive systems, battery and charging systems, and turbo and thermal management technology.

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