Royal Bank of Canada Decreases Stock Holdings in BRP Inc. $DOOO

Key Points

• Royal Bank of Canada reduced its stake in BRP Inc. by 4.7%, now holding 304,651 shares valued at approximately $10.3 million.
• BRP's quarterly earnings report showed an EPS of $0.67, exceeding expectations, although revenue fell short at $1.36 billion against analyst estimates of $1.77 billion.
• The company announced an increase in its quarterly dividend, raising it from $0.16 to $0.215, with a dividend yield of 1.3%.

Royal Bank of Canada lowered its stake in BRP Inc. (NASDAQ:DOOO - Free Report) by 4.7% in the 1st quarter, according to its most recent disclosure with the SEC. The fund owned 304,651 shares of the company's stock after selling 14,912 shares during the quarter. Royal Bank of Canada owned 0.42% of BRP worth $10,300,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently made changes to their positions in the company. State of Wyoming bought a new stake in BRP in the 1st quarter worth $93,000. Russell Investments Group Ltd. boosted its holdings in shares of BRP by 75.3% during the first quarter. Russell Investments Group Ltd. now owns 3,820 shares of the company's stock worth $129,000 after purchasing an additional 1,641 shares during the period. OMERS ADMINISTRATION Corp bought a new stake in shares of BRP in the fourth quarter worth about $229,000. Quantinno Capital Management LP bought a new position in BRP during the 4th quarter valued at approximately $298,000. Finally, Aigen Investment Management LP bought a new position in BRP during the 1st quarter valued at approximately $451,000.

BRP Stock Down 1.7%

DOOO stock traded down $1.09 on Wednesday, reaching $63.96. 321,380 shares of the company traded hands, compared to its average volume of 360,938. The firm has a fifty day simple moving average of $56.10 and a 200-day simple moving average of $45.49. The company has a market cap of $4.67 billion, a P/E ratio of -266.50 and a beta of 1.19. BRP Inc. has a one year low of $31.78 and a one year high of $68.42. The company has a debt-to-equity ratio of 5.54, a current ratio of 1.34 and a quick ratio of 0.55.

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

BRP Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, October 14th. Investors of record on Tuesday, September 30th will be given a dividend of $0.215 per share. This represents a $0.86 annualized dividend and a dividend yield of 1.3%. This is an increase from BRP's previous quarterly dividend of $0.16. The ex-dividend date of this dividend is Tuesday, September 30th. BRP's payout ratio is -262.50%.

Analysts Set New Price Targets

DOOO has been the subject of a number of recent analyst reports. Citigroup upped their target price on BRP from $51.00 to $68.00 and gave the company a "neutral" rating in a report on Wednesday, September 3rd. Royal Bank Of Canada reaffirmed an "outperform" rating on shares of BRP in a research report on Tuesday, September 2nd. Wall Street Zen upgraded shares of BRP from a "buy" rating to a "strong-buy" rating in a research report on Saturday, August 30th. UBS Group increased their price target on shares of BRP from $35.00 to $70.00 and gave the stock a "neutral" rating in a research note on Friday, September 5th. Finally, Scotiabank reaffirmed a "sector perform" rating on shares of BRP in a research report on Tuesday, September 2nd. Four equities research analysts have rated the stock with a Strong Buy rating, six have issued a Buy rating and six have given a Hold rating to the company's stock. Based on data from MarketBeat.com, BRP has a consensus rating of "Moderate Buy" and a consensus price target of $71.50.

BRP 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.