BorgWarner price target lowered to $35 from $42 at Barclays

Barclays lowered the firm’s price target on BorgWarner (BWA) to $35 from $42 and keeps an Overweight rating on the shares. The firm reduced estimates in the autos and mobility group to reflect the earnings impacts from tariffs. Barclays also downgrade its industry view on the sector to Negative. A “highly challenging environment” makes a near-term investment case for the autos sector is “increasingly difficult,” the analyst tells investors in a research note. The firm sees multiple near-term pressures, including earnings pressure, risks to consumer health, and a cloud over auto tech investment. “Auto tariffs are seemingly here to stay, and valuations are seemingly not pricing in full tariff risk,” contends Barclays.