BorgWarnerDutch Bros

BorgWarner vs Dutch Bros

BorgWarner vs Dutch Bros: This page compares the two companies to help you understand their business models, financial performance, and market context. It provides a neutral overview of each company’s...

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Auto Suppliers (Stellantis Beneficiaries) May Gain

Auto Suppliers (Stellantis Beneficiaries) May Gain

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Published: October 15, 2025

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Detroit Auto: Could Tariff Changes Drive Gains?

Detroit Auto: Could Tariff Changes Drive Gains?

Reports of potential U.S. tariff relief for domestically produced vehicles have caused a surge in the stock prices of major Detroit automakers. This policy shift could boost the profitability of U.S.-based car manufacturers and their parts suppliers, creating a favorable investment landscape.

Published: October 5, 2025

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EV Stocks (Beyond China) After Berkshire BYD Exit

EV Stocks (Beyond China) After Berkshire BYD Exit

Warren Buffett's Berkshire Hathaway has sold its entire stake in Chinese EV giant BYD, signaling a potential shift in sentiment for the sector. This creates a potential opportunity for other global automakers and their suppliers as investors may look for alternatives in the competitive EV landscape.

Published: September 24, 2025

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EV Slowdown Stocks | Automaker Pivot Opportunities

EV Slowdown Stocks | Automaker Pivot Opportunities

Following Stellantis's cancellation of its electric Ram pickup due to slowing EV demand, a new investment opportunity emerges. This theme focuses on automakers that are strategically pivoting to hybrid and traditional models to meet current market realities.

Published: September 14, 2025

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American Autos: Driving Past Tariffs

American Autos: Driving Past Tariffs

Volkswagen's profit warning due to U.S. tariffs highlights the financial strain on foreign automakers. This situation creates a competitive edge for American car manufacturers and domestic parts suppliers who are not subject to these import duties.

Published: July 26, 2025

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Shifting Gears: Competitors Capitalize On Tariff Headwinds

Shifting Gears: Competitors Capitalize On Tariff Headwinds

Volkswagen has lowered its profit outlook after U.S. tariffs and restructuring costs caused a significant drop in earnings. This creates a potential opening for competing U.S. and Asian automakers to gain a competitive edge in the market.

Published: July 25, 2025

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U.S. Auto's Tariff Shield

U.S. Auto's Tariff Shield

Volkswagen has lowered its financial outlook, citing the heavy impact of U.S. import tariffs. This creates a potential advantage for automakers and parts suppliers with significant manufacturing operations within the United States.

Published: July 25, 2025

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U.S. Auto Tariff Shield: Domestic Winners

U.S. Auto Tariff Shield: Domestic Winners

This carefully selected group of stocks represents American automotive companies positioned to benefit from U.S. tariffs on imported vehicles. These domestic manufacturers and suppliers have a competitive pricing advantage that could lead to increased market share and profits.

Published: July 20, 2025

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European Auto Surge

European Auto Surge

Discover a carefully selected group of automotive stocks positioned to benefit from Europe's surprisingly strong vehicle demand. Professional analysts have curated these companies from across the auto value chain to give you exposure to this regional growth story.

Published: July 11, 2025

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Auto Parts Overhaul

Auto Parts Overhaul

This carefully selected group of stocks is positioned to benefit from Ford's massive recall of over 850,000 vehicles. As automakers seek more reliable parts suppliers and consumers look for trusted alternatives, these companies could capture significant market share and new business opportunities.

Published: July 11, 2025

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SRT Revival: Performance Parts

SRT Revival: Performance Parts

Stellantis is bringing back its legendary SRT performance division, creating exciting opportunities throughout the automotive supply chain. This collection features carefully selected stocks of parts makers and retailers positioned to benefit from this high-performance resurgence.

Published: July 3, 2025

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Fallout from Stellantis Recall

Fallout from Stellantis Recall

When one automotive giant faces challenges, others may find opportunity. This collection features carefully selected stocks of competing automakers and parts suppliers positioned to benefit from Stellantis's safety investigation. Each company was handpicked by our analysts to capture this market shift.

Published: July 3, 2025

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Automotive

Automotive

Find a car stock to fuel your investment strategy 🏎. This collection brings together carefully selected automotive companies, from traditional manufacturers to electric vehicle pioneers, curated by professional analysts to help you navigate this transformative industry.

Published: May 14, 2025

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Investment Analysis

Pros

  • BorgWarner delivered strong Q3 2025 earnings, surpassing analyst expectations for EPS and raising full-year guidance for sales, margins, and free cash flow.
  • The company maintains a solid cash position with over $2 billion in cash and equivalents, supporting ongoing investments and shareholder returns.
  • BorgWarner has secured new business wins in hybrid and electric vehicle technologies, positioning it for profitable growth amid the industry's transition.

Considerations

  • BorgWarner's long-term debt increased to $3.9 billion, which could constrain financial flexibility if macroeconomic conditions worsen.
  • The company's trailing price-to-earnings ratio is elevated compared to historical averages, reflecting higher valuation risk.
  • BorgWarner's profitability remains sensitive to automotive production volumes and supply chain disruptions in the global auto sector.

Pros

  • Dutch Bros has demonstrated strong recent growth in return on equity, reaching 9.97% in the latest quarter, well above its historical average.
  • The company operates a scalable drive-thru model with a rapidly expanding footprint, supporting revenue growth and brand visibility.
  • Dutch Bros benefits from a loyal customer base and a differentiated product offering in the competitive US coffee market.

Considerations

  • Dutch Bros faces intense competition from larger rivals with greater resources, which could pressure margins and market share.
  • The company's stock has a relatively high beta, indicating greater volatility compared to the broader market.
  • Dutch Bros' profitability is exposed to commodity price fluctuations, particularly for coffee and dairy inputs.

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