BRP (NASDAQ:DOO) shares are up on Friday as the company disclosed it is suspending its full-year FY27 guidance due to recent changes in the U.S. tariff environment.
This news comes as the broader market experienced gains on Thursday, with the Dow Jones rising 1.21% and the S&P 500 gaining 0.84%.
• BRP stock is charging ahead with explosive momentum. Why is DOO stock up today?
BRP Suspends FY27 Guidance; Tariffs Hit
BRP announced the suspension of its FY27 guidance following the amendment of Section 232 tariffs on steel, aluminum, and copper imports into the U.S., effective April 6, 2026.
For BRP, the revised rules impose a 25% tariff on the full value of imported snowmobiles and most ORV models, replacing the prior 50% levy that applied only to metal content.
The company estimates that the incremental tariff cost related to this change could exceed $500 million for the remainder of the year.
“Despite the material burden of these tariff changes, we expect that, with our solid balance sheet, the agility of our teams and the strong start of the year, we will be able to manage our business through this challenge and continue to push BRP forward,” said Denis Le Vot, president and CEO of BRP.
DOO 19% Below 20-Day SMA
The broader market saw gains on Thursday, with the Technology sector rising 1.62%. BRP’s stock performance aligns with this positive trend, suggesting that while the company faces challenges, it is still moving in the same direction as the market.
BRP is currently trading 19% below its 20-day simple moving average (SMA) and 22.2% below its 50-day SMA, indicating a bearish short-term trend as the stock struggles to gain upward momentum. The stock is also 1.9% below its 200-day SMA, suggesting it is facing challenges in establishing a longer-term bullish trend.
The relative strength index (RSI) is at 32.57, which is considered neutral; however, it indicates the stock is not in an overbought condition, allowing for potential upward movement if buying pressure increases. The moving average convergence divergence (MACD) is below the signal line, suggesting bearish momentum, which traders should monitor closely.
- Key Resistance: $68.50 — This level could act as a barrier for upward movement.
- Key Support: $48.50 — A critical level where buying interest may emerge.
BRP Builds Ski-Doo, Sea-Doo, Can-Am
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 and offers clothing, parts, and accessories that cater to its core consumers.
The recent suspension of guidance highlights the challenges BRP faces in navigating a volatile tariff environment, which could impact its financial performance and investor sentiment moving forward.
DOO May 28, 2026 Earnings Catalyst
Looking further out, the next major catalyst for the stock arrives with the May 28 (estimated) earnings report.
- EPS Estimate: 91 cents (Up from 33 cents)
- Revenue Estimate: $1.54 billion (Up from $1.30 billion)
- Valuation: P/E of 16.3x (Indicates fair valuation)
Analyst Consensus & Recent Actions: The stock carries a Buy Rating with a consensus price target of $80.50. Recent analyst moves include:
- Citigroup: Buy (Lowers target to $86 on March 30)
- UBS: Neutral (Raises target to $75 on Jan. 9)
BRP Edge: Growth Rank 96.4
Below is the Benzinga Edge scorecard for BRP, highlighting its strengths and weaknesses compared to the broader market:
- Value Rank: 7.86 — Indicates a weak value proposition compared to peers.
- Growth Rank: 96.4 — Suggests strong growth potential relative to the market.
The Verdict: BRP’s Benzinga Edge signal reveals a growth-heavy profile, indicating strong potential despite its current value challenges.
DOO Stock Price Activity: Brp shares were up 5.80% at $58.09 at publication on Friday, according to Benzinga Pro data.
Photo Courtesy: BRP
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