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BRP Halts FY27 Outlook as New U.S. Tariffs Threaten $500 Million Hit

Story Highlights
  • BRP suspended its FY27 guidance after new U.S. tariffs on snowmobiles and off-road vehicles sharply raised expected costs.
  • The company sees over $500 million in added tariffs but says its strong balance sheet positions it to manage the disruption.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
BRP Halts FY27 Outlook as New U.S. Tariffs Threaten $500 Million Hit

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The latest update is out from BRP ( (TSE:DOO) ).

BRP Inc. has suspended its full-year FY27 guidance after recent changes to U.S. Section 232 tariffs shifted from a 50% levy on applicable metal content to a 25% tariff on the total value of imported snowmobiles and most off-road vehicles. The company estimates the amendment could add more than $500 million in tariff costs over the remainder of the year, creating significant uncertainty for its U.S. business and prompting a reassessment of financial outlook.

Management said the volatile and unpredictable tariff environment is weighing on manufacturers broadly but expressed confidence that BRP’s solid balance sheet, operational agility and strong start to the year will help it navigate the new burden. The suspension of guidance underscores the material impact of trade policy on the powersports sector and signals potential implications for profitability, pricing strategies and stakeholders exposed to BRP’s North American operations.

The most recent analyst rating on (TSE:DOO) stock is a Hold with a C$78.00 price target. To see the full list of analyst forecasts on BRP stock, see the TSE:DOO Stock Forecast page.

Spark’s Take on DOO Stock

According to Spark, TipRanks’ AI Analyst, DOO is a Neutral.

The score is driven primarily by mixed financials: strong operating/free cash flow and returning revenue growth are offset by materially weaker margins and a still-high leverage profile. Technical indicators add a modest drag due to negative MACD and below-neutral RSI, while valuation is neutral with a ~23x P/E and low dividend yield.

To see Spark’s full report on DOO stock, click here.

More about BRP

BRP Inc. is a Quebec-based global leader in powersports products and powertrains, with over 80 years of innovation and consumer focus. Its portfolio includes Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats and Rotax engines, complemented by parts, accessories and apparel, generating CA$8.4 billion in annual sales across more than 110 countries.

Average Trading Volume: 242,913

Technical Sentiment Signal: Buy

Current Market Cap: C$7.71B

For a thorough assessment of DOO stock, go to TipRanks’ Stock Analysis page.

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