BorgWarner Inc. (BWA - Free Report) has announced that it has inked a definitive deal to acquire Gateshead, U.K-based electrical engineering company Sevcon, Inc. It is expected that Sevcon’s electrification capabilities will complement the Michigan-based BorgWarner’s power electronics capacity used for providing electrified propulsion solutions.
The anticipated enterprise value of the deal is around $200 million. The deal is likely to be completed in fourth-quarter 2017, subject to satisfaction of certain customary closing conditions.
BorgWarner is a leading manufacturer of powertrain products for major automakers. Its products include four-wheel-drive and all-wheel-drive transfer cases (primarily for light trucks and sport utility vehicles or SUVs), as well as automatic transmission and timing chain systems. For BorgWarner, this acquisition is likely to be accretive, as it supports the strategy of supplying necessary technology for all types of propulsion systems.
BorgWarner has outperformed the Zacks categorized Automotive - Original Equipment industry in the last three months. The stock rose 19% compared with the industry’s gain of 15.1% during the period.
BorgWarner currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the auto space are Allison Transmission Holdings Inc. (ALSN - Free Report) , Fox Factory Holding Corp. (FOXF - Free Report) and Horizon Global Corporation . While both Allison Transmission and Fox Factory sport a Zacks Rank #1 (Strong Buy), Horizon Global Corporation carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Allison Transmission has an expected long-term growth rate of 11%
Fox Factory has an expected long-term growth rate of 15.9%
Horizon Global Corporation has an expected long-term growth rate of 15.5%
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From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
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BorgWarner Inc. (BWA - Free Report) has announced that it has inked a definitive deal to acquire Gateshead, U.K-based electrical engineering company Sevcon, Inc. It is expected that Sevcon’s electrification capabilities will complement the Michigan-based BorgWarner’s power electronics capacity used for providing electrified propulsion solutions.
The anticipated enterprise value of the deal is around $200 million. The deal is likely to be completed in fourth-quarter 2017, subject to satisfaction of certain customary closing conditions.
BorgWarner is a leading manufacturer of powertrain products for major automakers. Its products include four-wheel-drive and all-wheel-drive transfer cases (primarily for light trucks and sport utility vehicles or SUVs), as well as automatic transmission and timing chain systems. For BorgWarner, this acquisition is likely to be accretive, as it supports the strategy of supplying necessary technology for all types of propulsion systems.
BorgWarner has outperformed the Zacks categorized Automotive - Original Equipment industry in the last three months. The stock rose 19% compared with the industry’s gain of 15.1% during the period.
BorgWarner currently carries a Zacks Rank #3 (Hold).
Some better-ranked stocks in the auto space are Allison Transmission Holdings Inc. (ALSN - Free Report) , Fox Factory Holding Corp. (FOXF - Free Report) and Horizon Global Corporation . While both Allison Transmission and Fox Factory sport a Zacks Rank #1 (Strong Buy), Horizon Global Corporation carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Allison Transmission has an expected long-term growth rate of 11%
Fox Factory has an expected long-term growth rate of 15.9%
Horizon Global Corporation has an expected long-term growth rate of 15.5%
5 Trades Could Profit "Big-League" from Trump Policies
If the stocks above spark your interest, wait until you look into companies primed to make substantial gains from Washington's changing course.
Today Zacks reveals 5 tickers that could benefit from new trends like streamlined drug approvals, tariffs, lower taxes, higher interest rates, and spending surges in defense and infrastructure. See these buy recommendations now >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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