BRP (TSE:DOO) Downgraded by Seaport Research Partners to "Hold"

Key Points

• Downgrade: Seaport Research Partners cut BRP from "strong-buy" to "hold" and other brokers (TD, Canaccord) also trimmed ratings/targets while Wells Fargo and Desjardins raised theirs; consensus remains a Moderate Buy with an average target of C$111.20.
• Shares opened at C$69.83, well below the C$111.20 average target and the 1‑year high of C$112.26, with 50- and 200-day moving averages around C$98.
• Recent quarter showed C$2.21 EPS on C$2.46B revenue and a 54.95% ROE but a slim net margin (3.45%); the balance sheet shows a very high debt-to-equity (443.59) and a low quick ratio (0.20), flagging potential liquidity concerns.

BRP (TSE:DOO - Get Free Report) was downgraded by equities research analysts at Seaport Research Partners from a "strong-buy" rating to a "hold" rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

Other equities research analysts have also issued reports about the company. TD lowered BRP from a "buy" rating to a "hold" rating and lowered their price objective for the company from C$119.00 to C$84.00 in a research note on Wednesday. Wells Fargo & Company raised their price objective on BRP from C$105.00 to C$110.00 and gave the company an "overweight" rating in a research note on Friday, March 27th. Desjardins raised their price objective on BRP from C$130.00 to C$138.00 and gave the company a "buy" rating in a research note on Friday, March 27th. Canaccord Genuity Group lowered BRP from a "buy" rating to a "hold" rating and lowered their price objective for the company from C$118.00 to C$90.00 in a research note on Wednesday. Finally, Raymond James Financial lowered their price objective on BRP from C$117.00 to C$115.00 in a research note on Friday, March 27th. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating and five have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of C$111.20.

BRP Price Performance

TSE:DOO opened at C$69.83 on Wednesday. The firm has a market capitalization of C$5.11 billion, a price-to-earnings ratio of 17.68, a PEG ratio of 2.05 and a beta of 0.94. BRP has a 1 year low of C$43.88 and a 1 year high of C$112.26. The business has a 50 day simple moving average of C$98.41 and a 200-day simple moving average of C$97.78. The company has a debt-to-equity ratio of 443.59, a current ratio of 1.27 and a quick ratio of 0.20.

BRP (TSE:DOO - Get Free Report) last posted its quarterly earnings data on Thursday, March 26th. The company reported C$2.21 earnings per share (EPS) for the quarter. The business had revenue of C$2.46 billion during the quarter. BRP had a return on equity of 54.95% and a net margin of 3.45%. Equities analysts forecast that BRP will post 6.890971 EPS for the current year.

BRP Company Profile

BRP designs, develops, manufactures, distributes, and markets snowmobiles, all-terrain vehicles, and personal watercraft under the Ski-Doo, Sea-Doo, Can-Am, and Lynx brand names. It also builds engines under the Rotax brand (after discontinuing the Evinrude outboard engine business in 2020) and offers clothing, parts, and accessories that cater to its core consumers. In 2018, BRP created a marine group, acquiring boat manufacturers Alumacraft, Triton (which makes Manitou pontoon boats), and Telwater (in Australia).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.