Insider Trading February 19, 2026

BorgWarner Executive Disposes $608,914 of Shares as Company Posts Strong Q4 2025 Results

Tonit M. Calaway sold 9,725 shares on Feb. 18, 2026; valuation metrics point to elevated P/E and overbought technicals amid a strategic move into AI data centers

By Priya Menon BWA
BorgWarner Executive Disposes $608,914 of Shares as Company Posts Strong Q4 2025 Results
BWA

Tonit M. Calaway, BorgWarner's Executive Vice President, CAO, General Counsel and Secretary, sold 9,725 shares of company stock on February 18, 2026, for $608,914, according to a Form 4 filing. The transaction leaves Calaway with 230,526 shares. Separately, BorgWarner reported stronger-than-expected fourth-quarter 2025 results and received an analyst upgrade tied to its move into the AI data center market. Valuation and technical indicators note a high P/E and possible overbought conditions.

Key Points

  • Tonit M. Calaway sold 9,725 shares of BorgWarner on February 18, 2026, for a total of $608,914 and now directly owns 230,526 shares.
  • Data cited indicate a high P/E ratio of 47.29 and technical indicators that suggest the stock may be overbought; the current price is slightly above the calculated Fair Value.
  • BorgWarner beat expectations in Q4 2025 with EPS of $1.35 and revenue of $3.57 billion; Deutsche Bank upgraded the stock to Buy and increased its price target to $82.00 from $46.00 following the company’s move into the AI data center market.

Tonit M. Calaway, who serves as Executive Vice President, CAO, General Counsel and Secretary at BorgWarner Inc (NYSE:BWA), completed a sale of company stock on February 18, 2026, the company disclosed in a Form 4 filing with the Securities and Exchange Commission.

The filing shows Calaway sold 9,725 shares of common stock at a weighted average price of $62.6133. Trade prices recorded in the filing ranged from $62.52 to $62.68, producing a total transaction value of $608,914. After this sale, Calaway directly holds 230,526 shares of BorgWarner.

Valuation and technical data referenced in the filing note that the stock carries a price-to-earnings ratio of 47.29, a level described as high in the data cited. Technical indicators included in the same dataset suggest the stock may be trading in overbought territory. The current market price sits slightly above the referenced calculated Fair Value, and the report mentioned a Pro Research Report that provides deeper analysis on BWA and other U.S. equities.


Recent company performance and analyst action

In related corporate results, BorgWarner reported fourth-quarter 2025 earnings that exceeded Wall Street expectations. The company posted earnings per share of $1.35 versus a consensus forecast of $1.18, and quarterly revenue of $3.57 billion compared with an anticipated $3.51 billion. These results illustrated a stronger-than-expected quarter and have drawn investor attention.

Following the earnings release, Deutsche Bank upgraded BorgWarner's rating from Hold to Buy and raised its price target to $82.00 from $46.00. The upgrade was tied to BorgWarner's strategic move into the AI data center market, a shift characterized by Deutsche Bank analyst Edison Yu as pivotal. The bank's change in rating and target reflects its view of the company as it pursues diversification of its operations.

These disclosures - the insider sale, the company's reported quarterly outperformance and the analyst upgrade - present a mix of developments for shareholders and market observers as they assess valuation metrics and strategic direction.

Risks

  • Elevated valuation metrics - a P/E of 47.29 - and technical signs of overbought conditions could heighten near-term downside risk for equity investors in BorgWarner.
  • The current market price trading slightly above the calculated Fair Value introduces valuation uncertainty for investors evaluating new positions.
  • Strategic diversification into the AI data center market represents a shift in operations; the ultimate impact of this move is not quantified in the disclosures and carries execution uncertainty.

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