BRP Inc.’s recent analyst upgrade and robust Q2 performance hint at a potential inflection point for this powersports innovator.

BRP Inc. (DOOO), a global leader in the design and manufacturing of powersports vehicles and propulsion systems, has just received a high-conviction upgrade from Canaccord Genuity, shifting its rating from Hold to Buy. This decisive move comes on the heels of a strong second-quarter earnings beat and a string of product innovations, placing the spotlight firmly on the company’s accelerating momentum in an industry that is often overlooked by mainstream investors. Analyst upgrades—particularly from firms with deep sector expertise—can signal a pivotal change in institutional sentiment, often preceding significant price action and rerating of market expectations.

Key Takeaways

• Analyst Upgrade: Canaccord Genuity has upgraded BRP Inc. from Hold to Buy, signaling growing conviction in the company’s potential upside.

• Stock Momentum: DOOO’s stock is trading near its one-year high, with a recent uptick following strong Q2 financials and innovation-driven news.

• Earnings Beat: Q2 earnings per share of $0.67 surpassed consensus estimates, with revenue and net income both rising year-over-year.

• Product Innovation: Recent launches, such as the Can-Am Outlander Electric ATV and the powerful Sea-Doo Switch models, showcase BRP’s commitment to industry leadership.

• Analyst Firm Weight: Canaccord Genuity’s sector specialization and research credibility add significant weight to the bullish call.

• Technical Indicators: The stock’s RSI is elevated, reflecting strong buying interest and a possible overbought condition, warranting close monitoring.

Canaccord Genuity’s Upgrade: A Vote of Confidence From a Powersports Specialist

Canaccord Genuity, a globally recognized investment bank with a robust track record in consumer discretionary and industrials research, has upped its recommendation on BRP Inc. to Buy. As a firm with deep roots in the Canadian market and a reputation for sector-specific insight, Canaccord’s calls are closely watched by institutional investors, particularly in niche industries like powersports and recreational vehicles.

Analyst confidence is bolstered by Canaccord’s in-depth sector expertise and Canadian market leadership.

While the specific price target was not disclosed, the shift from Hold to Buy suggests a clear inflection in sentiment. BRP’s recent financial performance, combined with its product pipeline and innovation momentum, likely factored heavily into the analyst’s recalibration. This upgrade signals to sophisticated investors that the risk/reward profile for DOOO has materially improved, and that the stock could be poised for further rerating as market participants reassess its growth trajectory.

Financial and Operational Performance: Strong Q2 Execution Amid Mixed Macro Backdrop

BRP Inc. recently posted Q2 2026 results that exceeded consensus earnings and revenue forecasts, further validating the analyst upgrade. Key highlights from the quarter:

• Revenues: $1,888.2 million, up 4.3% YoY, reflecting healthy demand and strong execution.

• Net Income: $57.1 million, a robust 36% increase compared to last year.

• Normalized EBITDA: $213.2 million, though this marks a 9.2% YoY decrease, suggesting some margin compression amidst ongoing investment.

• Diluted EPS: $0.79, up $0.24 versus last year; normalized diluted EPS at $0.92.

• Guidance: Management reaffirmed FY revenue guidance of $8.1–$8.3 billion and EPS of $4.25–$4.75, signaling ongoing confidence in demand trends.

While North American retail sales declined 11% YoY—a potential headwind—the company’s innovation engine appears to be offsetting macro softness, with new product launches driving incremental growth and fortifying brand leadership.

Expert Commentary:

“The Company sustained its momentum in driving innovation with the launch of several industry-firsts and breakthrough products.”
— PR Newswire, Q2 Results

Stock Price Action: Testing Highs as Momentum Builds

DOOO’s stock is currently trading at $63.26, near its 52-week high of $64.81 and well above the year’s lowest levels. The one-year price action reveals:

• Up Days vs. Down Days: With 128 up days versus 118 down, sentiment has been constructive, particularly over the last quarter.

• Volume Trends: Average daily trading volume stands at 208,525 shares, with recent spikes coinciding with earnings and product announcements.

• Technical Picture: The 20-day EMA/SMA ($56.70/$56.19) and a high RSI (72.43) suggest strong momentum but also caution for potential short-term pullbacks.

• Volatility: Daily volatility averages 1.64%, indicating a balanced risk profile for active investors.

Recent News Flow: Catalysts for Rerating

The last 30 days have been eventful for BRP Inc., with headlines reinforcing the bullish thesis:

• Earnings Beat: “BRP Inc. (DOOO) came out with quarterly earnings of $0.67 per share, beating the Zacks Consensus Estimate of $0.33 per share.”
  — Zacks

• Product Innovation: Launches of the Can-Am Defender SSV, Can-Am Outlander Electric ATV, and a new 300 hp Rotax engine for Sea-Doo Switch models were announced, reinforcing BRP’s innovation premium.

• Guidance Reaffirmation: Management’s confidence in year-end guidance despite softer North American retail sales signals underlying strength in global demand and operational execution.

What Does the Upgrade Mean for Investors?

With Canaccord Genuity’s upgraded rating, BRP Inc. is now firmly in the institutional spotlight. The firm’s unique blend of innovation, operational excellence, and sector tailwinds positions it as a potential outperformer in the consumer discretionary space. Although the recent run-up and high RSI suggest a need for tactical discipline, the fundamental backdrop remains compelling.

Additional Observations

• Innovation-Driven Upside: The company’s aggressive product launches could drive market share gains as electrification and new platforms expand addressable markets.

• Margin Watch: Despite margin compression, the company’s ability to grow net income and beat earnings is a key positive.

• Retail Sales Risk: Ongoing weakness in North American retail could pressure results if not offset by international expansion and new product adoption.

Conclusion: Inflection Point or Overbought?

BRP Inc. stands at a critical juncture—propelled by Canaccord Genuity’s upgrade, strong operational results, and a robust innovation pipeline. While technicals suggest the stock may be temporarily overbought, the underlying thesis of product-driven growth and sector leadership offers a compelling case for patient, risk-tolerant investors. As the market digests the recent news and analyst conviction, BRP’s next moves—strategic or operational—will likely decide the stock’s trajectory in the coming months.

Investors should monitor upcoming product releases, retail demand trends, and management commentary for signs of sustained momentum—or early warnings of a reversal. For now, the bulls have the upper hand, and Canaccord’s “Buy” signals institutional confidence in BRP’s upside potential.