BRP Inc. (NASDAQ:DOOO) Sees Large Drop in Short Interest

BRP Inc. (NASDAQ:DOOO) was the target of a significant drop in short interest in July. As of July 15th, there was short interest totalling 2,030,000 shares, a drop of 5.6% from the June 30th total of 2,150,000 shares. Based on an average daily volume of 105,100 shares, the short-interest ratio is currently 19.3 days. Approximately 6.2% of the shares of the stock are sold short.

BRP Stock Performance

Shares of DOOO stock opened at $72.02 on Wednesday. The company has a market capitalization of $5.34 billion, a P/E ratio of 13.02 and a beta of 2.06. BRP has a fifty-two week low of $57.15 and a fifty-two week high of $92.74. The company has a debt-to-equity ratio of 4.23, a quick ratio of 0.46 and a current ratio of 1.35. The stock has a 50 day moving average price of $65.37 and a two-hundred day moving average price of $66.61.

BRP (NASDAQ:DOOO) last issued its earnings results on Friday, May 31st. The company reported $0.70 EPS for the quarter, topping the consensus estimate of $0.65 by $0.05. The company had revenue of $1.50 billion for the quarter, compared to the consensus estimate of $1.49 billion. BRP had a net margin of 5.87% and a return on equity of 101.72%. Analysts expect that BRP will post 4.49 earnings per share for the current year.

BRP Cuts Dividend

The company also recently disclosed a quarterly dividend, which was paid on Friday, July 12th. Stockholders of record on Friday, June 28th were paid a dividend of $0.152 per share. This represents a $0.61 annualized dividend and a dividend yield of 0.84%. The ex-dividend date was Friday, June 28th. BRP’s dividend payout ratio (DPR) is 11.03%.

Institutional Trading of BRP

Institutional investors have recently modified their holdings of the company. UniSuper Management Pty Ltd increased its holdings in BRP by 66.7% during the 1st quarter. UniSuper Management Pty Ltd now owns 500 shares of the company’s stock valued at $34,000 after purchasing an additional 200 shares during the period. Trivant Custom Portfolio Group LLC purchased a new stake in BRP in the 1st quarter worth approximately $50,000. Dnca Finance bought a new stake in shares of BRP in the 2nd quarter worth approximately $66,000. Clearbridge Investments LLC bought a new stake in shares of BRP in the 4th quarter worth approximately $211,000. Finally, NewEdge Wealth LLC purchased a new position in shares of BRP during the fourth quarter valued at approximately $215,000.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on DOOO shares. Desjardins increased their price objective on BRP from $112.00 to $137.00 and gave the company a “buy” rating in a research report on Tuesday, April 2nd. Citigroup increased their price target on shares of BRP from $73.00 to $80.00 and gave the company a “buy” rating in a research report on Tuesday, July 16th. Finally, CIBC cut their price objective on shares of BRP from $110.00 to $100.00 and set an “outperformer” rating for the company in a research note on Monday, June 3rd. Two analysts have rated the stock with a hold rating, two have issued a buy rating and one has assigned a strong buy rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $122.75.

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.