BRP (NASDAQ:DOOO) Reaches New 1-Year High After Analyst Upgrade

Key Points

• BRP Inc. shares reached a new 52-week high of $67.67 after UBS Group raised their price target from $35 to $70, maintaining a neutral rating.
• The company has seen upgrades from multiple analysts, with a consensus rating of "Moderate Buy" and a price target averaging $71.50.
• BRP announced a quarterly dividend increase, raising it from $0.16 to $0.215 per share, with a yield of 1.3%.

Shares of BRP Inc. (NASDAQ:DOOO - Get Free Report) hit a new 52-week high during trading on Monday after UBS Group raised their price target on the stock from $35.00 to $70.00. UBS Group currently has a neutral rating on the stock. BRP traded as high as $67.67 and last traded at $67.47, with a volume of 229978 shares trading hands. The stock had previously closed at $65.50.

A number of other analysts have also recently commented on DOOO. Desjardins upgraded shares of BRP from a "hold" rating to a "buy" rating in a research note on Friday, May 30th. Canaccord Genuity Group upgraded shares of BRP from a "hold" rating to a "buy" rating in a research note on Tuesday, September 2nd. Scotiabank restated a "sector perform" rating on shares of BRP in a research note on Tuesday, September 2nd. Wall Street Zen upgraded shares of BRP from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 30th. Finally, Cibc World Mkts upgraded shares of BRP from a "hold" rating to a "strong-buy" rating in a research note on Monday, September 1st. Four equities research analysts have rated the stock with a Strong Buy rating, six have given a Buy rating and six have given a Hold rating to the company. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $71.50.

Institutional Trading of BRP

Hedge funds and other institutional investors have recently bought and sold shares of the business. Charles Schwab Investment Management Inc. raised its stake in BRP by 10.1% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 109,158 shares of the company's stock worth $3,685,000 after purchasing an additional 10,004 shares in the last quarter. Ontario Teachers Pension Plan Board raised its stake in BRP by 31.2% in the 1st quarter. Ontario Teachers Pension Plan Board now owns 64,941 shares of the company's stock worth $2,193,000 after purchasing an additional 15,447 shares in the last quarter. Fiera Capital Corp raised its stake in BRP by 5.5% in the 1st quarter. Fiera Capital Corp now owns 135,330 shares of the company's stock worth $4,574,000 after purchasing an additional 7,082 shares in the last quarter. Turtle Creek Asset Management Inc. raised its stake in BRP by 29.0% in the 4th quarter. Turtle Creek Asset Management Inc. now owns 2,970,680 shares of the company's stock worth $151,118,000 after purchasing an additional 668,607 shares in the last quarter. Finally, National Bank of Canada FI increased its holdings in BRP by 20.0% in the 1st quarter. National Bank of Canada FI now owns 495,657 shares of the company's stock valued at $16,731,000 after buying an additional 82,723 shares during the period.

BRP Trading Down 1.3%

The company has a debt-to-equity ratio of 5.54, a quick ratio of 0.55 and a current ratio of 1.34. The stock has a market capitalization of $4.70 billion, a P/E ratio of -267.92 and a beta of 1.19. The firm's fifty day simple moving average is $55.27 and its 200 day simple moving average is $44.98.

BRP (NASDAQ:DOOO - Get Free Report) last released its earnings results on Friday, August 29th. The company reported $0.67 EPS for the quarter, beating the consensus estimate of $0.33 by $0.34. BRP had a negative net margin of 0.34% and a positive return on equity of 61.26%. The firm had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.77 billion. BRP has set its FY 2026 guidance at 3.090-3.460 EPS. As a group, equities research analysts forecast that BRP Inc. will post 3.15 EPS for the current fiscal year.

BRP Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, October 14th. Shareholders of record on Tuesday, September 30th will be issued a $0.215 dividend. The ex-dividend date of this dividend is Tuesday, September 30th. This represents a $0.86 annualized dividend and a yield of 1.3%. This is an increase from BRP's previous quarterly dividend of $0.16. BRP's payout ratio is -258.33%.

BRP Company Profile

BRP Inc, together with its subsidiaries, designs, develops, manufactures, distributes, and markets powersports vehicles and marine products in the United States, Canada, Europe, the Asia Pacific, Mexico, Austria, and internationally. The Powersports segment offers year-round products, such as Can-Am all-terrain vehicles, side-by-side vehicles, and three-wheeled vehicles; and seasonal products, including Ski-Doo and Lynx snowmobiles, Sea-Doo personal watercrafts and pontoons, Rotax engines for karts and recreational aircraft, and Pinion gearboxes with smart shift systems.