BorgWarner Inc (BWA)vsStoneridge Inc (SRI)
BWA
BorgWarner Inc
$62.20
+3.52%
CONSUMER CYCLICAL · Cap: $12.81B
SRI
Stoneridge Inc
$7.05
-0.70%
CONSUMER CYCLICAL · Cap: $208.09M
Smart Verdict
WallStSmart Research — data-driven comparison
BorgWarner Inc generates 1542% more annual revenue ($14.33B vs $873.05M). BWA leads profitability with a 2.5% profit margin vs -14.1%. SRI appears more attractively valued with a PEG of 0.26. BWA earns a higher WallStSmart Score of 63/100 (C+).
BWA
Buy63
out of 100
Grade: C+
SRI
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+39.0%
Fair Value
$103.57
Current Price
$62.20
$41.37 discount
Margin of Safety
+23.9%
Fair Value
$11.88
Current Price
$7.05
$4.83 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 61.1% YoY
Growing faster than its price suggests
Reasonable price relative to book value
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 194.8% YoY
Areas to Watch
Premium valuation, high expectations priced in
0.5% revenue growth
ROE of 6.6% — below average capital efficiency
2.5% margin — thin
Smaller company, higher risk/reward
Elevated debt levels
Weak financial health signals
ROE of -48.4% — below average capital efficiency
Comparative Analysis Report
WallStSmart ResearchBull Case : BWA
The strongest argument for BWA centers on EPS Growth, PEG Ratio, Price/Book. PEG of 0.53 suggests the stock is reasonably priced for its growth.
Bull Case : SRI
The strongest argument for SRI centers on PEG Ratio, Price/Book, EPS Growth. PEG of 0.26 suggests the stock is reasonably priced for its growth.
Bear Case : BWA
The primary concerns for BWA are P/E Ratio, Revenue Growth, Return on Equity. Thin 2.5% margins leave little buffer for downturns.
Bear Case : SRI
The primary concerns for SRI are Market Cap, Debt/Equity, Piotroski F-Score.
Key Dynamics to Monitor
BWA profiles as a value stock while SRI is a turnaround play — different risk/reward profiles.
SRI carries more volatility with a beta of 1.85 — expect wider price swings.
SRI is growing revenue faster at 7.9% — sustainability is the question.
BWA generates stronger free cash flow (9M), providing more financial flexibility.
Bottom Line
BWA scores higher overall (63/100 vs 56/100). SRI offers better value entry with a 23.9% margin of safety. 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.
Visit Website →Stoneridge Inc
CONSUMER CYCLICAL · AUTO PARTS · USA
Stoneridge, Inc., designs and manufactures electrical and electronic components, modules, and systems designed for the automotive, commercial, off-highway, motorcycle, and agricultural vehicle markets in North America, South America, Europe, and internationally. The company is headquartered in Novi, Michigan.
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