BWA

AVOID

BorgWarner Inc.

Consumer Discretionary

1.61

PEGY ratio

Rank #315

Why This Matters

This stock appears overvalued relative to its growth and dividend yield. Strong projected growth of 240.9% annually over 5 years. Pays a 0.9% dividend yield.

BWA trades at 41.8x earnings against 25.0% capped growth (actual 240.9%) + 0.9% yield (PEGY 1.61). The valuation appears stretched relative to the available growth and income.

~ Growth estimate uses historical CAGR (forward estimates unavailable)

• Growth rate derived from historical CAGR — limited analyst coverage.
• Growth rate capped at 25% for PEGY calculation (actual: 240.9%). Per Peter Lynch methodology, growth above 25% is rarely sustainable over 5 years.

Scan date: 2026-05-29

Valuation

41.8x

P/E Ratio

Growth

240.9%

5yr EPS

Income

0.9%

Div Yield

PEGY Components

PEGY Score1.61

Denominator25.9%

EPS (TTM)$1.72

Market Data

Price$71.82

ExchangeNYSE

S&P 500

What Changed

PEGY Score

1.47→1.61(+0.14)

Zone

Hold→Avoid

Rank

#303→#315(12 positions)

vs 7 days ago

Portfolio Context

Founder does not hold this stock.

Not in your portfolio.

Sector: Consumer Discretionary

PEGY History — 90 days

I Want to Invest Not Right Now

Data: Yahoo Finance • Updated nightly 11 PM ET • For informational purposes only