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BorgWarner (BorgWarner) Peter Lynch Fair Value

: N/A (As of Today)
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Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.


The historical rank and industry rank for BorgWarner's Peter Lynch Fair Value or its related term are showing as below:


During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of BorgWarner was 4.95. The lowest was 0.62. And the median was 1.16.


BWA's Price-to-Peter-Lynch-Fair-Value is not ranked *
in the Vehicles & Parts industry.
Industry Median: 0.89
* Ranked among companies with meaningful Price-to-Peter-Lynch-Fair-Value only.

Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.


BorgWarner Peter Lynch Fair Value Historical Data

The historical data trend for BorgWarner's Peter Lynch Fair Value can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

BorgWarner Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Peter Lynch Fair Value
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 32.85 6.86 - - -

BorgWarner Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Peter Lynch Fair Value Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only - - - - -

Competitive Comparison

For the Auto Parts subindustry, BorgWarner's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


BorgWarner Price-to-Peter-Lynch-Fair-Value Distribution

For the Vehicles & Parts industry and Consumer Cyclical sector, BorgWarner's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:

* The bar in red indicates where BorgWarner's Price-to-Peter-Lynch-Fair-Value falls into.



BorgWarner Peter Lynch Fair Value Calculation

BorgWarner's Peter Lynch Fair Value for today is calculated as

Peter Lynch Fair Value=PEG Ratio*5-Year TTM EBITDA Growth Rate***EPS without NRI (TTM)
=1* N/A *2.236
=N/A

BorgWarner's EPS without NRI for the trailing twelve months (TTM) ended in Dec. 2023 adds up the quarterly data reported by the company within the most recent 12 months, which was $2.24.


* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.

If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.

If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.

Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.


BorgWarner  (NYSE:BWA) Peter Lynch Fair Value Explanation

Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.

Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.

Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 0 instead of 15 in this case.

BorgWarner's Price to Peter Lynch Fair Value Ratio for today is calculated as

Price to Peter Lynch Fair Value=Share Price/Peter Lynch Fair Value
=32.11/N/A
=N/A

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


BorgWarner Peter Lynch Fair Value Related Terms

Thank you for viewing the detailed overview of BorgWarner's Peter Lynch Fair Value provided by GuruFocus.com. Please click on the following links to see related term pages.


BorgWarner (BorgWarner) Business Description

Traded in Other Exchanges
Address
3850 Hamlin Road, Auburn Hills, MI, USA, 48326
BorgWarner is a Tier I auto-parts supplier with three operating segments. The air management group makes turbochargers, e-boosters, e-turbos, timing systems, emissions systems, thermal systems, gasoline ignition technology, powertrain sensors, and cabin heaters. The drivetrain and battery systems group produces automatic transmission components, torque management products, battery heaters, battery charging, and battery modules. The e-propulsion segment makes e-motors, power electronics, and software and control modules. The company's largest customers are Ford and Volkswagen at 13% and 8% of 2022 revenue, respectively. Geographically, Europe accounted for 34% of 2022 revenue, while Asia and North America were 32% each.
Executives
Stefan Demmerle officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Joseph F. Fadool officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Alexis P Michas director 940 WINTER STREET, C/O PERKINELMER, WALTHAM MA 02451
Tonit M Calaway officer: EVP and Chief HR Officer HARLEY-DAVIDSON MOTOR COMPANY, 3700 WEST JUNEAU AVENUE, MILWAUKEE WI 53208
Isabelle Mckenzie officer: Vice President 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Tania Wingfield officer: EVP & CHRO 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Daniel Etue officer: VP & Controller 3850 W. HAMLIN RD, AUBURN HILLS MI 48326
Frederic Lissalde officer: Vice President BORGWARNER INC., 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Hau N Thai-tang director ONE AMERICAN ROAD, DEARBORN MI 48126
Sailaja Shankar director 3850 HAMLIN ROAD, AUBURN HILLS MI 48326
Felecia J. Pryor officer: EVP & CHRO 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Sara A. Greenstein director 600 GRANT STREET, PITTSBURGH PA 15219
Paul Arthur Farrell officer: VP & Chief Strategy Officer 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Volker Weng officer: Vice President 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326
Davide Girelli officer: Vice President 3850 W. HAMLIN ROAD, AUBURN HILLS MI 48326

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