Despite BRP's stronger-than-expected Q2 earnings, improved FY26 guidance, and upgraded analyst outlooks, the consensus analyst price target remained unchanged at CA$95.69.
Analyst Commentary
- Bullish analysts cite BRP's Q2 earnings results as exceeding expectations and demonstrating operational strength.
- There is consensus that newly issued FY26 guidance is significantly ahead of consensus estimates, supporting upward revisions.
- Outlook for the second half of the year is seen as materially improved, driving estimate raises across coverage.
- Multiple upgrades from Neutral/Hold to Outperform/Buy reflect increasing confidence in earnings momentum.
- Raised price targets are supported by a combination of better-than-expected financial results and stronger forward-looking guidance.
What's in the News
- BRP provided fiscal year 2026 guidance, expecting revenues of CAD 8,150–8,300 million, diluted EPS of CAD 4.25–4.75, and net income of CAD 430–470 million.
- The company executed no share repurchases under the current buyback plan from May to July 2025.
- The next-generation Can-Am Traxter model was announced, featuring an overhauled HD11 powertrain, enhanced suspension, improved ergonomics, and industry-leading payload and towing for 2026.
- BRP expanded its off-road portfolio for 2026, introducing the Can-Am Outlander Electric ATV, Outlander MAX 6x6, industry's first semi-active suspension ATV, and upgraded Maverick models.
- The company furthered its electrification drive, launching the Can-Am Outlander Electric ATV, expanding its electric motorcycle and snowmobile offerings, and reinforcing its unique in-house modular electric powertrain capabilities.
Valuation Changes
Summary of Valuation Changes for BRP
- The Consensus Analyst Price Target remained effectively unchanged, at CA$95.69.
- The Net Profit Margin for BRP remained effectively unchanged, at 6.55%.
- The Discount Rate for BRP remained effectively unchanged, at 7.02%.
Disclaimer
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