BRP Inc. Common Subordinate Voting Shares (DOO)

FairStock Score: 62/100 — STEADY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I am trying to buy a dollar of value for fifty cents, so I start with business quality and price. BRP sells discretionary powersports and marine products, a cyclical industry that depends on consumers having spare cash. In fiscal Q3 2026, revenue was $2.2B, but net income was -$133.9M and the margin was -5.99%. That loss matters. The FairStock calculations at the 2026-10-13 close of $53.05 show a P/E of 48.23, P/B of 16.17, and a Graham Number of $10.66, leaving a margin of safety of -397.65%. I am not paying a bargain price for those numbers. The FairStock score is 62/100, which is middling, not compelling. There are offsets. Trailing free cash flow is $1.2B, a 28.8% FCF yield on the $4.1B market cap, and FairStock ROE is 27.22%. Revenue growth is 18.46%. But ROCE is only 5.89%, Piotroski is 3/9, Altman Z is 0.79, and profit growth is -651.03%. Those combinations warn of weak earnings quality and financial stress. Debt/equity of 8.95 and the high P/B make the balance sheet look risky. The Lynch category is none because only 0 years of filed results are available and it needs 3, so history is thin. At $53.05, I see a cyclical, cash-generating but currently loss-making business with a negative margin of safety. I would need to see profits restored, leverage reduced, and a price closer to conservative value before this looks like a true value opportunity.

In plain English: BRP makes recreational vehicles and marine products. The business has decent sales growth and strong cash generation, but the latest quarter showed a loss, and the company looks financially stretched. At the recent price, the stock looks expensive compared with its earnings and accounting value, so it does not screen as a clear bargain.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer