Explain this page
Arphra AIPlain-English read on BorgWarner Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +19.26% | +18.75% | +18.09% | +18.55% | +18.71% | +18.49% | +17.93% | +18.18% | +18.13% |
| Operating margin | +9.34% | +8.36% | +8.68% | +8.94% | +9.62% | +9.05% | +9.34% | +8.93% | +9.33% |
| EBITDA margin | +11.38% | +12.36% | +11.77% | +9.37% | +14.64% | +11.96% | +12.07% | +11.92% | +11.99% |
| EBIT margin | +6.17% | +7.99% | +7.67% | +4.59% | +9.62% | +7.44% | +7.27% | +7.20% | +7.37% |
| Pre-tax margin | +5.32% | +7.23% | +6.98% | +3.83% | +3.66% | +4.91% | +4.91% | +4.90% | +4.92% |
| Net margin | +3.62% | +7.47% | +4.40% | +2.40% | +1.93% | +2.90% | +2.83% | +2.85% | +2.92% |
| Cost structure | |||||||||
| Cost of revenue / sales | +80.74% | +81.25% | +81.91% | +81.45% | +81.29% | +83.68% | +83.30% | +82.37% | +83.10% |
| R&D intensity | +4.77% | +5.55% | +5.05% | +5.23% | +4.96% | +4.98% | +5.07% | +5.14% | +5.14% |
| SG&A intensity | +5.16% | +4.84% | +4.35% | +4.38% | +4.14% | +4.37% | +4.27% | +4.21% | +4.33% |
| Effective tax rate | +19.01% | +21.36% | +29.16% | +20.59% | +36.07% | +28.69% | +28.33% | +28.56% | +27.81% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +7.39% | +12.57% | +10.30% | +5.92% | +4.93% | +7.21% | +7.04% | +7.04% | +7.02% |
| Return on assets (ROA) | +3.24% | +5.55% | +4.32% | +2.42% | +2.01% | +2.91% | +2.84% | +2.83% | +3.00% |
| Return on capital (ROC) | +11.76% | +8.94% | +12.34% | +12.53% | +14.06% | +13.04% | +13.60% | +12.67% | +13.34% |
| Return on invested capital (ROIC) | +4.56% | +7.99% | +6.25% | +3.36% | +2.83% | +4.18% | +4.12% | +4.05% | +4.17% |
| Asset turnover | +89.51% | +74.35% | +98.24% | +100.64% | +103.97% | +100.21% | +100.33% | +99.20% | +102.49% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +3.62% | +7.47% | +4.40% | +2.40% | +1.93% | +2.90% | +2.83% | +2.85% | +2.92% |
| Asset turnover (× revenue / assets) | +89.51% | +74.35% | +98.24% | +100.64% | +103.97% | +100.21% | +100.33% | +99.20% | +102.49% |
| Equity multiplier (× assets / equity) | +228.24% | +226.35% | +238.26% | +245.23% | +245.26% | +247.85% | +248.21% | +248.73% | +234.42% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.90 | 0.74 | 0.98 | 1.01 | 1.04 | 1.00 | 1.00 | 0.99 | 1.02 |
| Fixed-asset turnover | 3.24 | 3.58 | 3.62 | 3.75 | 4.11 | — | — | — | — |
| Inventory turnover | 7.81 | 8.44 | 8.86 | 9.17 | 9.64 | — | — | — | — |
| Receivables turnover | 5.09 | 5.08 | 4.54 | 4.93 | 4.81 | — | — | — | — |
| Payables turnover | 5.26 | 4.78 | 4.57 | 5.65 | 5.83 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 71.71 | 71.79 | 80.39 | 74.07 | 75.90 | — | — | — | — |
| Days inventory outstanding (DIO) | 46.74 | 43.27 | 41.21 | 39.81 | 37.86 | — | — | — | — |
| Days payables outstanding (DPO) | 69.35 | 76.30 | 79.90 | 64.66 | 62.61 | — | — | — | — |
| Cash conversion cycle | 49.10 | 38.76 | 41.69 | 49.22 | 51.15 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 2.43 | 1.66 | 2.09 | 4.00 | 5.95 | 3.50 | 3.64 | 3.54 | 3.51 |
| FCF / Net income | 1.19 | 1.00 | 0.76 | 2.01 | 4.26 | 1.92 | 1.93 | 1.91 | 1.83 |
| FCF margin | +4.30% | +7.50% | +3.36% | +4.84% | +8.24% | +5.58% | +5.46% | +5.46% | +5.33% |
| OCF margin | +8.80% | +12.43% | +9.22% | +9.60% | +11.51% | +10.16% | +10.29% | +10.10% | +10.26% |
| CapEx / Revenue | +4.50% | +4.92% | +5.86% | +4.76% | +3.28% | +4.58% | +4.67% | +4.57% | +4.66% |
| CapEx / D&A | 0.87 | 1.13 | 1.43 | 1.00 | 0.65 | — | — | — | — |
| Stock-based comp / Revenue | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 2.24 | 3.99 | 2.67 | 1.50 | 1.28 | 5.20 | 5.86 | 6.48 | 7.06 |
| EPS · basic | 2.26 | 4.01 | 2.72 | 1.51 | 1.28 | 5.28 | 5.93 | 6.52 | 7.22 |
| Book value / share | 30.32 | 31.71 | 25.88 | 25.38 | 25.94 | 26.36 | 27.91 | 29.43 | 33.66 |
| Tangible BV / share | 12.08 | 16.52 | 10.62 | 12.79 | 14.63 | 26.36 | 27.91 | 29.43 | 33.66 |
| Sales / share | 61.95 | 53.36 | 60.57 | 62.65 | 66.16 | 65.47 | 69.51 | 72.62 | 80.87 |
| Operating CF / share | 5.45 | 6.63 | 5.58 | 6.01 | 7.62 | 6.65 | 7.15 | 7.34 | 8.30 |
| Free cash flow / share | 2.66 | 4.00 | 2.03 | 3.03 | 5.45 | 3.66 | 3.79 | 3.96 | 4.31 |
| Dividends / share | 0.68 | 0.68 | 0.55 | 0.44 | 0.55 | 0.55 | 0.55 | 0.58 | 0.65 |
| Payout ratio | +30.17% | +17.06% | +20.80% | +28.99% | +42.96% | +28.84% | +28.04% | +27.80% | +27.66% |
| Retention ratio | +69.83% | +82.94% | +79.20% | +71.01% | +57.04% | +71.16% | +71.96% | +72.20% | +72.34% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | -14.84% | +12.37% | -0.81% | +1.65% | -0.58% | +4.63% | +4.54% | +11.32% | +1.96% |
| Gross profit · YoY | — | -17.11% | +8.40% | +1.71% | +2.57% | -1.76% | +1.48% | +5.96% | +11.02% | +1.19% |
| Profit | ||||||||||
| Operating income · YoY | — | -23.81% | +16.76% | +2.11% | +9.37% | -6.44% | +7.92% | -0.03% | +16.39% | +1.95% |
| EBITDA · YoY | — | -7.46% | +6.98% | -21.07% | +58.91% | -18.80% | +5.60% | +3.25% | +11.97% | +2.63% |
| Net income · YoY | — | +75.79% | -33.79% | -45.92% | -18.05% | +49.13% | +1.90% | +5.51% | +14.03% | -0.73% |
| Operating | ||||||||||
| EBIT · YoY | — | +10.26% | +7.82% | -40.68% | +113.16% | -23.12% | +2.32% | +3.49% | +13.87% | +4.24% |
| R&D · YoY | — | -0.85% | +2.28% | +2.65% | -3.53% | -0.08% | +6.51% | +5.87% | +11.32% | +2.93% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +78.12% | -33.08% | -43.82% | -14.67% | +306.21% | +12.76% | +10.45% | +8.99% | +15.43% |
| EPS · basic · YoY | — | +77.43% | -32.17% | -44.49% | -15.23% | +312.71% | +12.23% | +9.98% | +10.71% | +15.62% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $4.52B | $4.31B | $3.93B | $4.34B | $4.18B | $4.15B | $4.24B | $4.66B | $4.92B |
| Net debt | $2.68B | $3.22B | $2.4B | $2.25B | $1.87B | $2.18B | $2.21B | $2.52B | $2.48B |
| Net debt / EBITDA | 1.59 | 2.06 | 1.43 | 1.71 | 0.89 | 1.28 | 1.23 | 1.36 | 1.19 |
| Debt / equity | 0.62 | 0.57 | 0.65 | 0.76 | 0.74 | 0.72 | 0.71 | 0.74 | 0.68 |
| Debt / assets | +27.28% | +25.34% | +27.18% | +31.04% | +30.35% | +29.19% | +28.59% | +29.71% | +29.08% |
| Equity / assets | +43.81% | +44.18% | +41.97% | +40.78% | +40.77% | +40.35% | +40.29% | +40.20% | +42.66% |
| Coverage | |||||||||
| EBITDA / interest expense | 20.59 | 22.00 | 22.89 | 15.70 | 17.04 | 18.42 | 18.51 | 18.67 | 18.19 |
| Operating income / interest | 16.90 | 14.87 | 16.89 | 14.99 | 11.20 | 13.94 | 14.32 | 13.98 | 14.16 |
| Interest expense | $82M | $71M | $73M | $84M | $123M | $92.4M | $97.11M | $99.41M | $114.22M |
| Liquidity | |||||||||
| Current ratio | 1.74 | 1.56 | 1.65 | 1.79 | 2.07 | — | — | — | — |
| Quick ratio | 1.25 | 0.84 | 1.24 | 1.36 | 1.61 | — | — | — | — |
| Cash ratio | 0.49 | 0.26 | 0.41 | 0.57 | 0.70 | — | — | — | — |
| Working capital | $2.8B | $2.38B | $2.45B | $2.88B | $3.51B | — | — | — | — |
| Working capital / revenue | +18.86% | +18.84% | +17.26% | +20.41% | +24.54% | — | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).