WallStSmart

BorgWarner Inc (BWA)vsMotorcar Parts of America Inc (MPAA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

BorgWarner Inc generates 1715% more annual revenue ($14.33B vs $789.81M). BWA leads profitability with a 2.5% profit margin vs 1.6%. MPAA appears more attractively valued with a PEG of 0.61. BWA earns a higher WallStSmart Score of 61/100 (C+).

BWA

Buy

61

out of 100

Grade: C+

Growth: 6.0Profit: 5.0Value: 6.7Quality: 7.0
Piotroski: 5/9Altman Z: 2.58

MPAA

Buy

56

out of 100

Grade: C

Growth: 4.7Profit: 5.0Value: 6.3Quality: 5.0
Piotroski: 5/9Altman Z: 1.38
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BWAUndervalued (+28.7%)

Margin of Safety

+28.7%

Fair Value

$104.52

Current Price

$77.03

$27.49 discount

UndervaluedFair: $104.52Overvalued

Intrinsic value data unavailable for MPAA.

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
0.648/10

Growing faster than its price suggests

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

MPAA2 strengths · Avg: 9.0/10
Price/BookValuation
0.8x10/10

Reasonable price relative to book value

PEG RatioValuation
0.618/10

Growing faster than its price suggests

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
43.3x2/10

Premium valuation, high expectations priced in

MPAA4 concerns · Avg: 2.8/10
Market CapQuality
$269.68M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.8%3/10

ROE of 0.8% — below average capital efficiency

Profit MarginProfitability
1.6%3/10

1.6% margin — thin

EPS GrowthGrowth
-18.2%2/10

Earnings declined 18.2%

Comparative Analysis Report

WallStSmart Research

Bull Case : BWA

The strongest argument for BWA centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.64 suggests the stock is reasonably priced for its growth.

Bull Case : MPAA

The strongest argument for MPAA centers on Price/Book, PEG Ratio. PEG of 0.61 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 43.3x leaves little room for execution misses. Thin 2.5% margins leave little buffer for downturns.

Bear Case : MPAA

The primary concerns for MPAA are Market Cap, Return on Equity, Profit Margin. Thin 1.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

MPAA carries more volatility with a beta of 1.21 — expect wider price swings.

MPAA is growing revenue faster at 9.9% — sustainability is the question.

BWA generates stronger free cash flow (9M), providing more financial flexibility.

Monitor AUTO PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BWA scores higher overall (61/100 vs 56/100). 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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Motorcar Parts of America Inc

CONSUMER CYCLICAL · AUTO PARTS · USA

Motorcar Parts of America, Inc. manufactures, remanufactures and distributes parts for heavy duty truck, industrial, marine and agricultural applications. The company is headquartered in Torrance, California.

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