BRP INC/CA- SUB VOTING (DOOO) Stock Fundamental Analysis
NASDAQ:DOOO - Nasdaq - CA05577W2004 - Common Stock - Currency: USD
Overall DOOO gets a fundamental rating of 5 out of 10. We evaluated DOOO against 30 industry peers in the Leisure Products industry. While DOOO belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. DOOO is valued quite cheap, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
DOOO had positive earnings in the past year.
In the past year DOOO had a positive cash flow from operations.
Each year in the past 5 years DOOO has been profitable.
DOOO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DOOO has a better Return On Assets (2.87%) than 70.00% of its industry peers.
The Return On Equity of DOOO (35.24%) is better than 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 17.42%, DOOO belongs to the top of the industry, outperforming 96.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for DOOO is significantly above the industry average of 8.27%.
The last Return On Invested Capital (17.42%) for DOOO is well below the 3 year average (28.71%), which needs to be investigated, but indicates that DOOO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.87% | ||
| ROE | 35.24% | ||
| ROIC | 17.42% |
ROA(3y)13.37%
ROA(5y)11.48%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)28.71%
ROIC(5y)25.64%
1.3 Margins
The Profit Margin of DOOO (1.79%) is better than 63.33% of its industry peers.
DOOO's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 8.79%, DOOO is doing good in the industry, outperforming 80.00% of the companies in the same industry.
DOOO's Operating Margin has improved in the last couple of years.
With a Gross Margin value of 23.69%, DOOO is not doing good in the industry: 70.00% of the companies in the same industry are doing better.
DOOO's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.79% | ||
| PM (TTM) | 1.79% | ||
| GM | 23.69% |
OM growth 3Y3.82%
OM growth 5Y6.43%
PM growth 3Y5.51%
PM growth 5Y10.62%
GM growth 3Y0.48%
GM growth 5Y0.98%
2. Health
2.1 Basic Checks
DOOO has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for DOOO has been reduced compared to 1 year ago.
The number of shares outstanding for DOOO has been reduced compared to 5 years ago.
The debt/assets ratio for DOOO has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 2.74 indicates that DOOO is not a great score, but indicates only limited risk for bankruptcy at the moment.
The Altman-Z score of DOOO (2.74) is comparable to the rest of the industry.
The Debt to FCF ratio of DOOO is 5.96, which is a neutral value as it means it would take DOOO, 5.96 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 5.96, DOOO perfoms like the industry average, outperforming 53.33% of the companies in the same industry.
DOOO has a Debt/Equity ratio of 5.54. This is a high value indicating a heavy dependency on external financing.
The Debt to Equity ratio of DOOO (5.54) is worse than 86.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | 5.96 | ||
| Altman-Z | 2.74 |
ROIC/WACC2.39
WACC7.29%
2.3 Liquidity
DOOO has a Current Ratio of 1.37. This is a normal value and indicates that DOOO is financially healthy and should not expect problems in meeting its short term obligations.
DOOO has a worse Current ratio (1.37) than 80.00% of its industry peers.
DOOO has a Quick Ratio of 1.37. This is a bad value and indicates that DOOO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of DOOO (0.57) is worse than 83.33% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.57 |
3. Growth
3.1 Past
The earnings per share for DOOO have decreased strongly by -58.56% in the last year.
The Earnings Per Share has been growing by 29.08% on average over the past years. This is a very strong growth
Looking at the last year, DOOO shows a decrease in Revenue. The Revenue has decreased by -2.75% in the last year.
Measured over the past years, DOOO shows a quite strong growth in Revenue. The Revenue has been growing by 14.60% on average per year.
EPS 1Y (TTM)-58.56%
EPS 3Y27.58%
EPS 5Y29.08%
EPS Q2Q%-62.09%
Revenue 1Y (TTM)-2.75%
Revenue growth 3Y20.31%
Revenue growth 5Y14.6%
Sales Q2Q%-20.75%
3.2 Future
The Earnings Per Share is expected to decrease by -0.11% on average over the next years.
Based on estimates for the next years, DOOO will show a decrease in Revenue. The Revenue will decrease by -3.31% on average per year.
EPS Next Y-59.33%
EPS Next 2Y-32.31%
EPS Next 3Y-13.35%
EPS Next 5Y-0.11%
Revenue Next Year-25.98%
Revenue Next 2Y-13%
Revenue Next 3Y-6.46%
Revenue Next 5Y-3.31%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 11.50 indicates a reasonable valuation of DOOO.
93.33% of the companies in the same industry are more expensive than DOOO, based on the Price/Earnings ratio.
DOOO is valuated cheaply when we compare the Price/Earnings ratio to 30.30, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 11.72, the valuation of DOOO can be described as very reasonable.
80.00% of the companies in the same industry are more expensive than DOOO, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of DOOO to the average of the S&P500 Index (23.06), we can say DOOO is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.5 | ||
| Fwd PE | 11.72 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DOOO indicates a rather cheap valuation: DOOO is cheaper than 100.00% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, DOOO is valued cheaply inside the industry as 93.33% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.52 | ||
| EV/EBITDA | 5.38 |
4.3 Compensation for Growth
The excellent profitability rating of DOOO may justify a higher PE ratio.
DOOO's earnings are expected to decrease with -13.35% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.4
EPS Next 2Y-32.31%
EPS Next 3Y-13.35%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.39%, DOOO has a reasonable but not impressive dividend return.
DOOO's Dividend Yield is a higher than the industry average which is at 4.10.
DOOO's Dividend Yield is slightly below the S&P500 average, which is at 2.29.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
5.2 History
The dividend of DOOO is nicely growing with an annual growth rate of 15.23%!
DOOO has been paying a dividend for over 5 years, so it has already some track record.
DOOO has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)15.23%
Div Incr Years3
Div Non Decr Years3
5.3 Sustainability
32.19% of the earnings are spent on dividend by DOOO. This is a low number and sustainable payout ratio.
DP32.19%
EPS Next 2Y-32.31%
EPS Next 3Y-13.35%
41.99
-1.92 (-4.37%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryLeisure Products
Earnings (Last)
Earnings (Next)
Inst Owners92.22%
Inst Owner Change6.39%
Ins Owners3.33%
Ins Owner ChangeN/A
Market Cap3.07B
Analysts74.78
Price Target62.06 (47.8%)
Short Float %6.63%
Short Ratio11.42
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.39% |
Yearly Dividend0.72
Dividend Growth(5Y)15.23%
DP32.19%
Div Incr Years3
Div Non Decr Years3
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)50.57%
Min EPS beat(2)34.27%
Max EPS beat(2)66.87%
EPS beat(4)3
Avg EPS beat(4)24.57%
Min EPS beat(4)-6.09%
Max EPS beat(4)66.87%
EPS beat(8)6
Avg EPS beat(8)13.39%
EPS beat(12)10
Avg EPS beat(12)19.48%
EPS beat(16)14
Avg EPS beat(16)27.65%
Revenue beat(2)1
Avg Revenue beat(2)1.46%
Min Revenue beat(2)-2.96%
Max Revenue beat(2)5.89%
Revenue beat(4)2
Avg Revenue beat(4)0.15%
Min Revenue beat(4)-4.44%
Max Revenue beat(4)5.89%
Revenue beat(8)5
Avg Revenue beat(8)0.41%
Revenue beat(12)8
Avg Revenue beat(12)1.69%
Revenue beat(16)11
Avg Revenue beat(16)1.86%
PT rev (1m)-0.88%
PT rev (3m)-9.59%
EPS NQ rev (1m)-9.83%
EPS NQ rev (3m)-64.57%
EPS NY rev (1m)43.47%
EPS NY rev (3m)45.11%
Revenue NQ rev (1m)-6.44%
Revenue NQ rev (3m)-25.41%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.5 | ||
| Fwd PE | 11.72 | ||
| P/S | 0.42 | ||
| P/FCF | 8.52 | ||
| P/OCF | 4.2 | ||
| P/B | 8.21 | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.38 |
EPS(TTM)3.65
EY8.69%
EPS(NY)3.58
Fwd EY8.54%
FCF(TTM)4.93
FCFY11.73%
OCF(TTM)10.01
OCFY23.83%
SpS100.82
BVpS5.12
TBVpS-0.72
PEG (NY)N/A
PEG (5Y)0.4
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.87% | ||
| ROE | 35.24% | ||
| ROCE | 22.96% | ||
| ROIC | 17.42% | ||
| ROICexc | 18.6% | ||
| ROICexgc | 22.18% | ||
| OM | 8.79% | ||
| PM (TTM) | 1.79% | ||
| GM | 23.69% | ||
| FCFM | 4.89% |
ROA(3y)13.37%
ROA(5y)11.48%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)28.71%
ROIC(5y)25.64%
ROICexc(3y)34.88%
ROICexc(5y)33.58%
ROICexgc(3y)45.47%
ROICexgc(5y)46.77%
ROCE(3y)37.8%
ROCE(5y)33.73%
ROICexcg growth 3Y-18.8%
ROICexcg growth 5Y-6.24%
ROICexc growth 3Y-11.84%
ROICexc growth 5Y-1.12%
OM growth 3Y3.82%
OM growth 5Y6.43%
PM growth 3Y5.51%
PM growth 5Y10.62%
GM growth 3Y0.48%
GM growth 5Y0.98%
F-Score5
Asset Turnover1.61
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.54 | ||
| Debt/FCF | 5.96 | ||
| Debt/EBITDA | 2.19 | ||
| Cap/Depr | 124.5% | ||
| Cap/Sales | 5.04% | ||
| Interest Coverage | 5.26 | ||
| Cash Conversion | 77.33% | ||
| Profit Quality | 273.21% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.57 | ||
| Altman-Z | 2.74 |
F-Score5
WACC7.29%
ROIC/WACC2.39
Cap/Depr(3y)205.67%
Cap/Depr(5y)173.12%
Cap/Sales(3y)7.12%
Cap/Sales(5y)6.3%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-58.56%
EPS 3Y27.58%
EPS 5Y29.08%
EPS Q2Q%-62.09%
EPS Next Y-59.33%
EPS Next 2Y-32.31%
EPS Next 3Y-13.35%
EPS Next 5Y-0.11%
Revenue 1Y (TTM)-2.75%
Revenue growth 3Y20.31%
Revenue growth 5Y14.6%
Sales Q2Q%-20.75%
Revenue Next Year-25.98%
Revenue Next 2Y-13%
Revenue Next 3Y-6.46%
Revenue Next 5Y-3.31%
EBIT growth 1Y-35.92%
EBIT growth 3Y24.91%
EBIT growth 5Y21.97%
EBIT Next Year-28.73%
EBIT Next 3Y0.38%
EBIT Next 5Y3.71%
FCF growth 1Y58.86%
FCF growth 3Y16.72%
FCF growth 5Y32.5%
OCF growth 1Y-1.27%
OCF growth 3Y20.22%
OCF growth 5Y24.19%