Equity Profile

BWA

BorgWarner Inc.

Consumer DiscretionaryAutomotive Parts & Equipment$13.1B

Jul30Thu

Pre-Earnings Brief

UpcomingQ2-2026Pre-Market9:00 AM EDT

Company Snapshot

BorgWarner Inc. (BWA) is a leading global supplier of automotive parts and equipment, focusing on propulsion systems and technologies for combustion, hybrid, and electric vehicles....

Key Metrics to Watch

Earnings Per Share (EPS)

EPS is a key indicator of the company's profitability and performance, which investors closely monitor.

N/A

Revenue Growth

Revenue growth is essential to assess the company's ability to expand its market share and adapt to changing consumer demands.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

BWA Q2-2026 Earnings Preview

Context

Company Snapshot

BorgWarner Inc. (BWA) is a leading global supplier of automotive parts and equipment, focusing on propulsion systems and technologies for combustion, hybrid, and electric vehicles. As the automotive industry shifts towards electrification and sustainability, BorgWarner plays a crucial role in providing innovative solutions that align with these major trends.

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+13.74%

Avg Stock Reaction

+5.79%

Last Quarter Recap

In Q1-2026, BorgWarner reported an EPS of $1.24, beating estimates by 6.8%. The stock reacted positively, gaining 3.75% the following day.

Management Promises & Guidance

Continued focus on expanding electric vehicle component offerings.
Commitment to improving operational efficiencies.
Plans to enhance supply chain resilience.

Expectations

Wall Street Expectations

Investors are generally optimistic about BorgWarner's upcoming earnings, especially given its strong track record of beating EPS estimates in recent quarters.

Bull Case

If BorgWarner continues to outperform expectations, particularly in EV sales, it could signal robust demand and market leadership in the transition to electric vehicles.

Bear Case

Conversely, if the company shows signs of slowing growth or challenges in its EV segment, it could raise concerns about its competitive position and future profitability.

Expectations

Two Questions That Matter

The print will turn on these two things.

What will be the specific revenue growth rate for electric vehicle components?

This figure will be crucial in determining BorgWarner's positioning in the rapidly growing EV market and could significantly impact investor sentiment.

How is the company addressing supply chain challenges?

Given the ongoing global supply chain issues, insights into BorgWarner's strategies will be critical for assessing its operational resilience and future performance.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may underestimate BorgWarner's growth potential in the EV market, as recent investments in technology and partnerships could drive stronger-than-expected sales.

Supporting Evidence

BorgWarner's consistent EPS beats indicate a stronger operational performance than anticipated.

The options market is pricing a 26.22% move, suggesting significant investor interest and potential for volatility.

Recent trends in the automotive industry show increasing demand for EV components, which BorgWarner is well-positioned to capture.

Key Risk

If EV component sales exceed expectations, it could challenge the current market consensus on BorgWarner's growth trajectory.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The core debate this quarter revolves around BorgWarner's ability to capitalize on the growing demand for electric vehicles while managing supply chain challenges.

Bull Confirmed If

A revenue growth rate of 15% or higher in EV components would confirm the bull case.

Bear Confirmed If

Any decline in overall revenue or a significant slowdown in EV component sales would confirm the bear case.

Pre-Earnings Positioning

Options Market

Implied Move

±26.22%

Historical Avg

±6.5%

Pricing rich

The options market is pricing in a significant potential movement in the stock, suggesting that investors anticipate volatility around the earnings report.

Options are pricing ±26.2% while BWA has averaged ±6.5% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.5%

30d HV

42.5%

Calls (915K)P/C Ratio: 0.14Puts (85K)

Edge

Historical Setup Match

Cross-company pattern from 30 similar setups.

Prior-quarter beat + options rich in Consumer Discretionary

n=30

Fade rate: 8 of 21 (38%)

This setup has occurred 30 times across Consumer Discretionary in the last 2 years. 13 of 21 (62%) held or extended their move within 5 days — this setup typically holds direction. The average absolute 1-day move is 4.9%, with a raw directional average of +2.2% (modestly positive historical bias).

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If BorgWarner beats expectations, history suggests a positive stock reaction of around +5.79%, confirming strong demand in the EV market.

In-Line / Cautious

If results are in line but management expresses caution, the stock may experience a muted reaction, reflecting investor uncertainty.

Miss

A miss could lead to a decline, with historical patterns indicating a potential drop of around -5.79% if expectations are not met.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Details on the growth rate of electric vehicle component sales.
2Updates on supply chain management strategies.
3Any new partnerships or contracts in the EV space.
4Insights into operational efficiencies and cost management.
5Management's outlook on future market conditions and demand.

See the full picture

AI-powered briefs, options data, and 20 quarters of history — everything you need before earnings.

No charge today · Auto-bills $8/mo after 7 days · Cancel anytime

More Earnings This Week

5 Reports

Jul27

DYNBMO

Dyne Therapeutics, Inc.

PreviewView

Jul27

ARLPBMO

Company Snapshot

BorgWarner Inc. (BWA) is a leading global supplier of automotive parts and equipment, focusing on propulsion systems and technologies for combustion, hybrid, and electric vehicles....

Key Metrics to Watch

Earnings Per Share (EPS)

EPS is a key indicator of the company's profitability and performance, which investors closely monitor.

N/A

Revenue Growth

Revenue growth is essential to assess the company's ability to expand its market share and adapt to changing consumer demands.

N/A

1 more metrics, Wall Street expectations, options signals, track record, and call prep available with Pro.

BWA Q2-2026 Earnings Preview

Context

Company Snapshot

Earnings Scorecard·Last 8Q

EPS Beat Streak

EPS Beat Rate

100%

Avg EPS Surprise

+13.74%

Avg Stock Reaction

+5.79%

Last Quarter Recap

In Q1-2026, BorgWarner reported an EPS of $1.24, beating estimates by 6.8%. The stock reacted positively, gaining 3.75% the following day.

Management Promises & Guidance

Continued focus on expanding electric vehicle component offerings.
Commitment to improving operational efficiencies.
Plans to enhance supply chain resilience.

Expectations

Wall Street Expectations

Investors are generally optimistic about BorgWarner's upcoming earnings, especially given its strong track record of beating EPS estimates in recent quarters.

Bull Case

If BorgWarner continues to outperform expectations, particularly in EV sales, it could signal robust demand and market leadership in the transition to electric vehicles.

Bear Case

Conversely, if the company shows signs of slowing growth or challenges in its EV segment, it could raise concerns about its competitive position and future profitability.

Expectations

Two Questions That Matter

The print will turn on these two things.

What will be the specific revenue growth rate for electric vehicle components?

This figure will be crucial in determining BorgWarner's positioning in the rapidly growing EV market and could significantly impact investor sentiment.

How is the company addressing supply chain challenges?

Given the ongoing global supply chain issues, insights into BorgWarner's strategies will be critical for assessing its operational resilience and future performance.

Edge

What the Street Is Missing

Why consensus could be wrong

The Street may underestimate BorgWarner's growth potential in the EV market, as recent investments in technology and partnerships could drive stronger-than-expected sales.

Supporting Evidence

BorgWarner's consistent EPS beats indicate a stronger operational performance than anticipated.

The options market is pricing a 26.22% move, suggesting significant investor interest and potential for volatility.

Recent trends in the automotive industry show increasing demand for EV components, which BorgWarner is well-positioned to capture.

Key Risk

If EV component sales exceed expectations, it could challenge the current market consensus on BorgWarner's growth trajectory.

Edge

Thesis-Break Levels

Pre-commit to what would confirm each case.

The core debate this quarter revolves around BorgWarner's ability to capitalize on the growing demand for electric vehicles while managing supply chain challenges.

Bull Confirmed If

A revenue growth rate of 15% or higher in EV components would confirm the bull case.

Bear Confirmed If

Any decline in overall revenue or a significant slowdown in EV component sales would confirm the bear case.

Pre-Earnings Positioning

Options Market

Implied Move

±26.22%

Historical Avg

±6.5%

Pricing rich

The options market is pricing in a significant potential movement in the stock, suggesting that investors anticipate volatility around the earnings report.

Options are pricing ±26.2% while BWA has averaged ±6.5% over the last 8 prints — setup is pricing rich.

Detail

ATM IV

0.5%

30d HV

42.5%

Calls (915K)P/C Ratio: 0.14Puts (85K)

Edge

Historical Setup Match

Cross-company pattern from 30 similar setups.

Prior-quarter beat + options rich in Consumer Discretionary

n=30

Fade rate: 8 of 21 (38%)

Preparation

Post-Print Playbook

Likely market behavior by outcome — not investment advice.

Beat & Raise

If BorgWarner beats expectations, history suggests a positive stock reaction of around +5.79%, confirming strong demand in the EV market.

In-Line / Cautious

If results are in line but management expresses caution, the stock may experience a muted reaction, reflecting investor uncertainty.

Miss

A miss could lead to a decline, with historical patterns indicating a potential drop of around -5.79% if expectations are not met.

Earnings Track Record

Preparation

What to Listen For

Call Prep

1Details on the growth rate of electric vehicle component sales.
2Updates on supply chain management strategies.
3Any new partnerships or contracts in the EV space.
4Insights into operational efficiencies and cost management.
5Management's outlook on future market conditions and demand.