WallStSmart

BorgWarner Inc (BWA)vsModine Manufacturing Company (MOD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BorgWarner Inc generates 351% more annual revenue ($14.33B vs $3.18B). MOD leads profitability with a 3.8% profit margin vs 2.5%. BWA appears more attractively valued with a PEG of 0.61. MOD earns a higher WallStSmart Score of 61/100 (C+).

BWA

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 5.0Value: 7.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.58

MOD

Buy

61

out of 100

Grade: C+

Growth: 9.3Profit: 6.0Value: 4.3Quality: 5.8
Piotroski: 2/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BWAUndervalued (+31.4%)

Margin of Safety

+31.4%

Fair Value

$104.75

Current Price

$71.31

$33.44 discount

UndervaluedFair: $104.75Overvalued

Intrinsic value data unavailable for MOD.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BWA3 strengths · Avg: 8.7/10
EPS GrowthGrowth
61.1%10/10

Earnings expanding 61.1% YoY

PEG RatioValuation
0.618/10

Growing faster than its price suggests

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

MOD2 strengths · Avg: 9.0/10
Revenue GrowthGrowth
47.5%10/10

Revenue surging 47.5% year-over-year

EPS GrowthGrowth
47.4%8/10

Earnings expanding 47.4% YoY

Areas to Watch

BWA4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

Return on EquityProfitability
6.6%3/10

ROE of 6.6% — below average capital efficiency

Profit MarginProfitability
2.5%3/10

2.5% margin — thin

P/E RatioValuation
41.8x2/10

Premium valuation, high expectations priced in

MOD4 concerns · Avg: 3.0/10
Price/BookValuation
13.1x4/10

Trading at 13.1x book value

Profit MarginProfitability
3.8%3/10

3.8% margin — thin

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

P/E RatioValuation
123.4x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : BWA

The strongest argument for BWA centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.61 suggests the stock is reasonably priced for its growth.

Bull Case : MOD

The strongest argument for MOD centers on Revenue Growth, EPS Growth. Revenue growth of 47.5% demonstrates continued momentum. PEG of 1.14 suggests the stock is reasonably priced for its growth.

Bear Case : BWA

The primary concerns for BWA are Revenue Growth, Return on Equity, Profit Margin. A P/E of 41.8x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.

Bear Case : MOD

The primary concerns for MOD are Price/Book, Profit Margin, Piotroski F-Score. A P/E of 123.4x leaves little room for execution misses. Thin 3.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

BWA profiles as a value stock while MOD is a hypergrowth play — different risk/reward profiles.

MOD carries more volatility with a beta of 1.66 — expect wider price swings.

MOD is growing revenue faster at 47.5% — sustainability is the question.

MOD generates stronger free cash flow (125M), providing more financial flexibility.

Bottom Line

BWA scores higher overall (61/100 vs 61/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

BorgWarner Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

BorgWarner Inc. is an American multinational automotive supplier headquartered in Auburn Hills, Michigan.

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Modine Manufacturing Company

CONSUMER CYCLICAL · AUTO PARTS · USA

Modine Manufacturing Company provides heat transfer systems and heat transfer components designed for use in on-highway and off-highway original equipment manufacturer (OEM) vehicular applications. The company is headquartered in Racine, Wisconsin.

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