BRP Inc. (NASDAQ:DOOO) Sees Significant Increase in Short Interest

BRP Inc. (NASDAQ:DOOO) was the recipient of a significant growth in short interest in June. As of June 15th, there was short interest totalling 1,680,000 shares, a growth of 8.4% from the May 31st total of 1,550,000 shares. Based on an average daily volume of 130,900 shares, the short-interest ratio is presently 12.8 days. Currently, 5.1% of the shares of the stock are sold short.

Analyst Ratings Changes

Several research firms recently issued reports on DOOO. Desjardins increased their price target on shares of BRP from $112.00 to $137.00 and gave the stock a “buy” rating in a research report on Tuesday, April 2nd. CIBC dropped their price target on shares of BRP from $110.00 to $100.00 and set an “outperformer” rating for the company in a research report on Monday, June 3rd. Finally, Raymond James dropped their price objective on shares of BRP from $114.00 to $108.00 and set a “strong-buy” rating for the company in a report on Monday, April 1st. Two analysts have rated the stock with a hold rating, two have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat, BRP has an average rating of “Moderate Buy” and an average target price of $124.50.

Institutional Trading of BRP

Hedge funds have recently modified their holdings of the stock. UniSuper Management Pty Ltd grew its stake in shares of BRP by 66.7% during the first 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 last quarter. Trivant Custom Portfolio Group LLC bought a new position in BRP in the first quarter valued at approximately $50,000. Barclays PLC boosted its stake in BRP by 232.5% in the third quarter. Barclays PLC now owns 971 shares of the company’s stock valued at $73,000 after acquiring an additional 679 shares during the last quarter. Royal London Asset Management Ltd. boosted its stake in BRP by 31.4% in the third quarter. Royal London Asset Management Ltd. now owns 1,717 shares of the company’s stock valued at $130,000 after acquiring an additional 410 shares during the last quarter. Finally, Clearbridge Investments LLC bought a new position in BRP in the fourth quarter valued at approximately $211,000.

BRP Stock Performance

NASDAQ DOOO opened at $64.52 on Thursday. BRP has a 1-year low of $57.15 and a 1-year high of $92.74. The company has a current ratio of 1.35, a quick ratio of 0.46 and a debt-to-equity ratio of 4.23. The company has a 50 day moving average of $65.73 and a 200-day moving average of $66.88. The firm has a market cap of $4.78 billion, a price-to-earnings ratio of 11.67 and a beta of 2.06.

BRP (NASDAQ:DOOO) last released its quarterly earnings results on Friday, May 31st. The company reported $0.70 EPS for the quarter, beating the consensus estimate of $0.65 by $0.05. BRP had a net margin of 5.87% and a return on equity of 101.72%. The business had revenue of $1.50 billion for the quarter, compared to analysts’ expectations of $1.49 billion. On average, equities analysts forecast that BRP will post 4.49 earnings per share for the current fiscal year.

BRP Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, July 12th. Stockholders of record on Friday, June 28th will be paid a dividend of $0.152 per share. The ex-dividend date is Friday, June 28th. This represents a $0.61 annualized dividend and a dividend yield of 0.94%. BRP’s dividend payout ratio (DPR) is currently 11.03%.

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.