BRP is “likely to enter the utility SSV segment (60 percent of market) with the new product being developed at the Juarez II plant (shipping late FQ416),” according to a research note provided to Powersports Business by Wells Fargo Securities analyst Tim Conder.
BRP hosted an Analyst Day on Wednesday at its Rotax facility in Austria and outlined long-term strategic priorities, centered around growth, agility and lean enterprise.
Conder also reports that BRP’s year-round products “offer attractive opportunity via new segments and more aggressive go-to-market strategy.” Season product strategy will “focus on maintaining leading developed market share (innovation), while expanding distribution.”
“Organic growth to stem primarily from YearRound products (new segments) where significant whitespace exists in ATVs (low- and mid-cc), SSVs (utility) and On-Road/Spyder (cruiser 2/3 of N.A. motorcycle industry, younger demographic).”
Conder rates DOO stock as “Outperform.”