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BorgWarner Director Shaun McAlmont Sells 7,000 Shares for $485,520

The Motley Fool·08/31/2026 15:50:01
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Key Points

  • The transaction was valued at $485,520.

  • The insider could be selling into strength, as the stock price has climbed 51% over the last 12 months.

  • Following the sale, the director maintains direct ownership of 18,070 shares with no indirect holdings reported.

Director Shaun McAlmont reported a sale of 7,000 shares of BorgWarner Inc. (NYSE:BWA) on Aug. 17, 2026, according to a SEC Form 4 filing.

Transaction summary

Metric Value
Shares sold 7,000
Transaction value $485,520
Post-transaction shares (directly held) 18,070
Post-transaction value $1.2 million

Transaction value based on SEC Form 4 weighted average sale price ($69.36); post-transaction value based on Aug. 17, 2026, market close ($69.90).

Key questions

  • What is the scale of the equity disposition relative to McAlmont's total position?
    The sale of 7,000 shares constitutes a 28% reduction in the director's direct equity holdings. This liquidity event leaves the insider with a remaining direct position of 18,070 shares, valued at $1.2 million based on the Aug. 17, 2026, market close.
  • How does the execution price compare to recent share performance?
    The transaction was executed at $69.36 per share, during a period when the stock had appreciated significantly. As of the Aug. 17, 2026, transaction date, the company's shares had achieved a 69% return over the preceding year.
  • Are there any indirect ownership structures or derivative complexities in the filing?
    The filing indicates this was a straightforward direct sale of common stock. No indirect holdings through trusts or other entities were disclosed, and the reporting owner's total beneficial ownership comprises only of direct shares.

Company Overview

Metric Value
Share Price (as of market close 2026-08-17) $69.90
Market Capitalization $13.1 billion
Revenue (TTM) $14.3 billion
Net Income (TTM) $415 million

Company Snapshot

  • BorgWarner is a global supplier of advanced propulsion technologies and components for internal combustion engines, hybrid vehicles, and fully electric drivetrains, with primary revenue streams derived from its Air Management, E-Propulsion & Drivetrain, Fuel Injection, and Aftermarket business segments.
  • The company generates revenue through the design, manufacture, and distribution of critical automotive components and systems that enhance engine performance, thermal control, and propulsion efficiency across diverse vehicle platforms and powertrains.
  • BorgWarner serves major original equipment manufacturers (OEMs) in the global automotive industry, including leading passenger vehicle and commercial vehicle producers, as well as the aftermarket replacement parts sector.

BorgWarner is a prominent global automotive supplier with a market capitalization of $13.1 billion and TTM revenue of $14.3 billion, positioning it as a significant player in the propulsion technology sector. The company's diversified portfolio across multiple powertrain technologies includes traditional combustion, hybrid, and electric systems. Its operations offer strategic exposure to the automotive industry's ongoing transition toward electrification. With 37,500 employees and operations serving global OEM customers, BorgWarner maintains a competitive advantage through its technological expertise in thermal management, fuel injection systems, and electric propulsion solutions.

What this transaction means for investors

The sale of 7,000 shares, which reduces the insider's total holdings to 18,070, is noteworthy. There are many reasons to sell, however, and selling stock may not always indicate that an executive is worried about what's happening at the company. While the company reported net sales of $3.6 billion in the second quarter of 2026, only a slight increase from the prior-year period, this could be a transaction as simple as McAlmont locking in profits after BorgWarner's strong stock price performance. As of this writing, over the last 12 months, the BWA stock price has climbed 51.1%. In comparison, the S&P 500 is up 19.6% during the same period.

For shareholders wondering what's next for the near term, analysts are generally bullish on BorgWarner. Of the 18 who cover the company, 67% rate it a buy, while 33% rate it a hold. From that group of analysts, the median one-year price target is $81.50, representing a 26.2% gain from the price as of this writing. The highest price target in the group is $95, while the lowest is $62.

Jack Delaney has no position in any of the stocks mentioned. The Motley Fool recommends BorgWarner. The Motley Fool has a disclosure policy.