BRP (NASDAQ:DOOO) Stock Price Up 8.1% After Earnings Beat

BRP Inc. (NASDAQ:DOOO - Get Free Report) shares rose 8.1% during mid-day trading on Friday after the company announced better than expected quarterly earnings. The stock traded as high as $44.34 and last traded at $43.85. Approximately 53,153 shares changed hands during trading, a decline of 68% from the average daily volume of 163,698 shares. The stock had previously closed at $40.55.

The company reported $0.33 earnings per share for the quarter, beating the consensus estimate of $0.29 by $0.04. The firm had revenue of $1.34 billion for the quarter, compared to analysts' expectations of $1.78 billion. BRP had a net margin of 2.29% and a return on equity of 61.20%.

BRP Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, July 14th. Investors of record on Monday, June 30th will be issued a $0.1557 dividend. This is a positive change from BRP's previous quarterly dividend of $0.15. This represents a $0.62 annualized dividend and a yield of 1.41%. The ex-dividend date is Monday, June 30th. BRP's payout ratio is -29.21%.

Analyst Ratings Changes

Several analysts recently issued reports on DOOO shares. Desjardins upgraded shares of BRP from a "hold" rating to a "buy" rating in a report on Friday. Raymond James restated a "strong-buy" rating on shares of BRP in a report on Thursday, March 27th. UBS Group reduced their price objective on shares of BRP from $45.00 to $35.00 and set a "neutral" rating on the stock in a report on Wednesday, April 23rd. Wall Street Zen upgraded shares of BRP from a "hold" rating to a "buy" rating in a report on Friday. Finally, Stifel Canada upgraded shares of BRP from a "hold" rating to a "strong-buy" rating in a research note on Thursday. Eight equities research analysts have rated the stock with a hold rating, two have assigned a buy rating and three have given a strong buy rating to the stock. According to MarketBeat.com, BRP presently has a consensus rating of "Moderate Buy" and a consensus target price of $53.75.

Institutional Trading of BRP

A number of large investors have recently made changes to their positions in the company. Turtle Creek Asset Management Inc. increased its stake in shares of BRP by 29.0% during the fourth quarter. Turtle Creek Asset Management Inc. now owns 2,970,680 shares of the company's stock worth $151,118,000 after buying an additional 668,607 shares during the period. Price T Rowe Associates Inc. MD boosted its holdings in BRP by 14.4% in the first quarter. Price T Rowe Associates Inc. MD now owns 2,744,879 shares of the company's stock valued at $92,805,000 after purchasing an additional 346,114 shares in the last quarter. Capital World Investors boosted its holdings in BRP by 101.2% in the fourth quarter. Capital World Investors now owns 1,971,033 shares of the company's stock valued at $100,386,000 after purchasing an additional 991,392 shares in the last quarter. Mackenzie Financial Corp boosted its holdings in BRP by 15.0% in the first quarter. Mackenzie Financial Corp now owns 1,884,728 shares of the company's stock valued at $63,636,000 after purchasing an additional 245,463 shares in the last quarter. Finally, The Manufacturers Life Insurance Company boosted its holdings in BRP by 23.5% in the fourth quarter. The Manufacturers Life Insurance Company now owns 1,514,230 shares of the company's stock valued at $77,223,000 after purchasing an additional 288,004 shares in the last quarter.

BRP Price Performance

The stock has a fifty day moving average of $35.51 and a 200-day moving average of $42.81. The company has a quick ratio of 0.57, a current ratio of 1.37 and a debt-to-equity ratio of 5.19. The stock has a market capitalization of $3.23 billion, a price-to-earnings ratio of 23.54 and a beta of 1.17.

About BRP

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.