BWANEUTRAL

FCF Yield

8.1%

Higher than 76% of Consumer Cyclical sector peers

Updated 291h ago

Sector Performance

76th percentile

BWA

8.1%

Sector Median

4.2%

Sector Avg

-6.4%

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Deep Analysis

BorgWarner’s free cash flow yield of 8.1% means that for every $100 you invest in the stock, the company generates about $8.10 in free cash flow—cash left after covering operating expenses and capital spending.

This yield sits above the Consumer Cyclical sector median of 4.8%, placing BorgWarner in the 74th percentile among its sector peers, indicating a relatively high cash generation compared to similar companies. The year-over-year change is not available, but the quarter-over-quarter change shows a decline of 33.1%, from 12.1% to 8.1%, with no trend data for the last eight quarters. The current high yield suggests the stock may be undervalued or generating strong cash flows, but the sharp quarterly drop signals deteriorating cash flow momentum that could increase risk if the trend continues. This metric partially supports the overall NEUTRAL verdict—the attractive level relative to peers offers a potential cushion, but the negative quarterly change tempers enthusiasm and keeps the outlook balanced.

Frequently Asked Questions

What does the FCF Yield tell investors about BWA?

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

How is the FCF Yield calculated?

FCF Yield is calculated as: Free Cash Flow / Market Cap.

How does BWA's FCF Yield compare to its sector?

BWA's FCF Yield of 8.1% compares to a Consumer Cyclical sector median of 4.2%, placing it in the 76th percentile.

Who are BWA's closest peers by FCF Yield?

The closest Consumer Cyclical peers by FCF Yield include: SHAK (2.3%), ONON (2.1%), RCL (1.5%), TM (1.4%), CPRI (0.6%).

The Formula

Free Cash Flow / Market Cap

Why It Matters

One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.

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BWA

8.1%

Sector Median

4.2%

Sector Avg

-6.4%

How BWA's FCF Yield compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.