BRP (TSE:DOO) Stock Price Crosses Below Two Hundred Day Moving Average – Time to Sell?

BRP Inc. (TSE:DOO) shares crossed below its 200-day moving average during trading on Thursday . The stock has a 200-day moving average of C$94.93 and traded as low as C$76.90. BRP shares last traded at C$80.93, with a volume of 640,694 shares.

BRP News Summary

Here are the key news stories impacting BRP this week:

• Positive Sentiment: Royal Bank of Canada raised its price target on BRP and kept an outperform rating, indicating the strongest upside view among the updates. Article
• Positive Sentiment: Canadian Imperial Bank of Commerce and TD both increased their price targets, with CIBC maintaining an outperformer rating and TD staying at hold but lifting its target meaningfully. Article
• Positive Sentiment: Scotiabank and National Bank Financial also raised their targets, signaling continued analyst support even though both kept more neutral sector perform views. Article
• Neutral Sentiment: BRP reported fiscal Q1 2027 results with EPS of C$1.83 on revenue of C$2.39 billion, details that investors are likely weighing against management and analyst expectations. Article
• Negative Sentiment: Stifel Nicolaus downgraded BRP from buy to hold, and Citigroup trimmed its price target, which may be weighing on sentiment despite the broader cluster of target increases. Article
• Negative Sentiment: The shares crossing below the 200-day moving average points to weakening technical momentum, which can prompt additional selling from trend-focused investors. Article

Wall Street Analyst Weigh In

DOO has been the subject of several recent research reports. TD Securities lowered BRP from a “strong-buy” rating to a “hold” rating in a report on Wednesday, April 15th. Canaccord Genuity Group lowered BRP from a “buy” rating to a “hold” rating and decreased their price objective for the stock from C$118.00 to C$90.00 in a report on Wednesday, April 15th. National Bank Financial lifted their price objective on BRP from C$80.00 to C$84.00 and gave the stock a “sector perform” rating in a report on Friday. Seaport Research Partners lowered BRP from a “buy” rating to a “hold” rating in a report on Wednesday, April 15th. Finally, Scotia decreased their price objective on BRP from C$117.00 to C$80.00 and set a “sector perform” rating for the company in a report on Thursday, April 16th. One analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and eight have issued a Hold rating to the stock. According to MarketBeat, BRP currently has a consensus rating of “Moderate Buy” and a consensus price target of C$98.33.

BRP Stock Down 1.5%

The company has a current ratio of 1.30, a quick ratio of 0.20 and a debt-to-equity ratio of 419.45. The firm has a market cap of C$5.88 billion, a PE ratio of 20.18, a price-to-earnings-growth ratio of 2.05 and a beta of 1.03. The stock has a fifty day simple moving average of C$84.64 and a two-hundred day simple moving average of C$94.82.

BRP (TSE:DOO) last posted its earnings results on Thursday, May 28th. The company reported C$1.83 earnings per share for the quarter. The business had revenue of C$2.39 billion during the quarter. BRP had a return on equity of 46.01% and a net margin of 3.01%. As a group, sell-side analysts expect that BRP Inc. will post 6.890971 EPS for the current fiscal year.

BRP Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, April 24th. Shareholders of record on Friday, April 24th were issued a dividend of $0.25 per share. This represents a $1.00 dividend on an annualized basis and a yield of 1.3%. The ex-dividend date of this dividend was Friday, April 10th. BRP’s payout ratio is presently 21.77%.

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).