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

BRP Inc. (NASDAQ:DOOO) was the target of a significant drop in short interest in October. As of October 15th, there was short interest totalling 2,030,000 shares, a drop of 6.5% from the September 30th total of 2,170,000 shares. Based on an average trading volume of 123,000 shares, the short-interest ratio is currently 16.5 days. Approximately 6.4% of the shares of the stock are sold short.

Analyst Upgrades and Downgrades

DOOO has been the topic of several recent analyst reports. Desjardins cut BRP from a “moderate buy” rating to a “hold” rating in a report on Sunday, September 8th. Stifel Nicolaus downgraded shares of BRP from a “buy” rating to a “hold” rating in a report on Wednesday, August 21st. National Bank Financial cut shares of BRP from an “outperform” rating to a “sector perform” rating in a research note on Wednesday, August 21st. Cibc World Mkts cut shares of BRP from a “strong-buy” rating to a “hold” rating in a report on Monday, September 9th. Finally, Scotiabank cut BRP from a “sector outperform” rating to a “sector perform” rating in a report on Monday, September 9th. Seven research analysts have rated the stock with a hold rating, one has given a buy rating and one has issued a strong buy rating to the company’s stock. According to data from MarketBeat.com, BRP presently has a consensus rating of “Hold” and a consensus price target of $97.00.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of DOOO. UniSuper Management Pty Ltd lifted its holdings in BRP by 66.7% in the 1st quarter. UniSuper Management Pty Ltd now owns 500 shares of the company’s stock worth $34,000 after purchasing an additional 200 shares during the last quarter. US Bancorp DE raised its holdings in BRP by 350.0% in the 3rd quarter. US Bancorp DE now owns 414 shares of the company’s stock worth $25,000 after acquiring an additional 322 shares during the period. Bank of New York Mellon Corp lifted its position in BRP by 1.7% during the 2nd quarter. Bank of New York Mellon Corp now owns 30,666 shares of the company’s stock worth $1,964,000 after acquiring an additional 520 shares during the last quarter. Dnca Finance bought a new stake in BRP during the second quarter valued at about $66,000. Finally, Addenda Capital Inc. increased its stake in shares of BRP by 9.9% in the second quarter. Addenda Capital Inc. now owns 11,636 shares of the company’s stock worth $745,000 after purchasing an additional 1,053 shares during the period.

BRP Stock Up 1.9 %

Shares of BRP stock traded up $0.94 on Friday, hitting $50.21. 45,232 shares of the company traded hands, compared to its average volume of 124,120. The company has a quick ratio of 0.37, a current ratio of 1.32 and a debt-to-equity ratio of 4.99. BRP has a 12-month low of $49.00 and a 12-month high of $77.12. The company has a 50-day moving average price of $60.69 and a 200 day moving average price of $64.75. The company has a market cap of $3.67 billion, a PE ratio of 20.44 and a beta of 2.06.

BRP (NASDAQ:DOOO) last issued its earnings results on Friday, September 6th. The company reported $0.45 earnings per share for the quarter, topping the consensus estimate of $0.22 by $0.23. The company had revenue of $1.34 billion for the quarter, compared to analyst estimates of $1.35 billion. BRP had a return on equity of 79.58% and a net margin of 2.78%. Sell-side analysts predict that BRP will post 2.3 earnings per share for the current year.

BRP Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, October 11th. Stockholders of record on Friday, September 27th were paid a dividend of $0.152 per share. The ex-dividend date was Friday, September 27th. This represents a $0.61 annualized dividend and a dividend yield of 1.21%. BRP’s dividend payout ratio (DPR) is 25.73%.

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.