| DOO Stock | | | CAD 67.90 0.90 1.34% |
Considering BRP's profitability and operating efficiency indicators, BRP Inc may not be well positioned to generate adequate gross income at this time. It has a very high probability of underperforming in December. Profitability indicators assess BRP's ability to earn profits and add value for shareholders. At this time, BRP's
Price To Sales Ratio is very stable compared to the past year. As of the 28th of November 2024,
Days Sales Outstanding is likely to grow to 28.69, while
Operating Cash Flow Sales Ratio is likely to drop 0.09. At this time, BRP's
Accumulated Other Comprehensive Income is very stable compared to the past year. As of the 28th of November 2024,
Net Income Applicable To Common Shares is likely to grow to about 1
B, while
Operating Income is likely to drop about 645.8
M.
For BRP profitability analysis, we use financial ratios and fundamental drivers that measure the ability of BRP to generate income relative to revenue, assets, operating costs, and current equity. These
fundamental indicators attest to how well BRP Inc utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between BRP's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of BRP Inc over time as well as its relative position and ranking within its peers.
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Investing Opportunities.
Please note, there is a significant difference between BRP's value and its price as these two are different measures arrived at by different means. Investors typically determine if BRP is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, BRP's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
BRP Inc Operating Margin vs. Return On Asset Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining BRP's current stock value. Our valuation model uses many indicators to compare BRP value to that of its competitors to determine the firm's financial worth.
BRP Inc is rated
# 3 in return on asset category among its peers. It is one of the top stocks in operating margin category among its peers reporting about
0.60 of Operating Margin per Return On Asset. The ratio of Return On Asset to Operating Margin for BRP Inc is roughly
1.66 . At this time, BRP's
Operating Profit Margin is very stable compared to the past year. Comparative valuation analysis is a catch-all model that can be used if you cannot value BRP by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for BRP's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.
BRP Operating Margin vs. Return On Asset
Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
BRP | Return On Asset | = | Net IncomeTotal Assets |
| = | 0.0804 |
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.
BRP | Operating Margin | = | Operating IncomeRevenue | X | 100 |
| = | 0.05 % |
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.
BRP Operating Margin Comparison
BRP is currently under evaluation in operating margin category among its peers.
BRP Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in BRP, profitability is also one of the essential criteria for including it into their portfolios because, without profit, BRP will eventually generate negative long term returns. The profitability progress is the general direction of BRP's change in net profit over the period of time. It can combine
multiple indicators of BRP, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
BRP Profitability Driver Comparison
Profitability drivers are factors that can directly affect your
investment outlook on BRP. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of BRP position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the BRP's important profitability drivers and their relationship over time.
Use BRP in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if BRP position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in BRP will appreciate offsetting losses from the drop in the long position's value.
The ability to find closely correlated positions to BRP could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace BRP when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back BRP - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling BRP Inc to buy it.
The correlation of BRP is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as BRP moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if BRP Inc moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for BRP can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Use Investing Themes to Complement your BRP position
In addition to having BRP in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.
Sport Products
Companies manufacturing sporting goods and accessories. The Sport Products theme has 42 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can
partner with us for reliable portfolio optimization as you plan to utilize
Sport Products Theme or any other
thematic opportunities.
When determining whether BRP Inc offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of BRP's
financial statements, including income statements, balance sheets, and cash flow statements, to assess its
financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Brp Inc Stock.
Outlined below are crucial reports that will aid in making a well-informed decision on Brp Inc Stock: Check out
Investing Opportunities.
You can also try the
Positions Ratings module to determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance.
To fully project BRP's
future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the
financial position of BRP Inc at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include BRP's income statement, its balance sheet, and the statement of cash flows.
Potential BRP investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although BRP investors may work on each financial statement separately, they are all related. The changes in BRP's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on BRP's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
