BorgWarner Inc vs Genuine Parts Co

BorgWarner Inc (BWA) is slightly undervalued and Genuine Parts Co (GPC) is overvalued.

Against our estimates of intrinsic value, BWA trades at the wider discount: a margin of safety of +7%, against -98% for GPC.

Values as of the 22 Sept 2026 close.

BorgWarner Inc (BWA)

Discounting its cash flows at 9.2% (average of 3 methods) values the shares at $65.64; the price of $61.11 is 7% below that value, and 75% of that value comes from beyond year five.

Leak Score 14/100 on 3 of 12 signals

Genuine Parts Co (GPC)

Discounting its cash flows at 8.1% (average of 3 methods) values the shares at $65.61; the price of $129.59 is 98% above that value, and 79% of that value comes from beyond year five.

Leak Score 43/100 on 8 of 12 signals

MetricBWAGPC
VerdictSlightly undervaluedOvervalued
Price$61.11$129.59
Intrinsic value$65.64$65.61
Margin of safety+7%-98%
Leak Score14/100 (3/12)43/100 (8/12)
Market cap$12.4B$17.9B
Revenue growth, 5 years7.1%8.0%
Operating margin10.2%4.8%
Net margin2.9%0.1%
Return on equity7.2%0.7%
Debt to equity0.721.47
P/E31.0x519.2x
Forward P/E10.3x15.6x
P/B2.2x4.0x
Dividend yield1.1%3.3%

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