Dealer reception ‘positive’ at Club BRP Can-Am Sea-Doo: analyst
Dealer reaction to the 2020 model lineups revealed Tuesday night at the Club BRP Can-Am Sea-Doo dealer meeting at the MGM Grand in Las Vegas was described as “positive,” in a research note provided to Powersports Business by Wells Fargo Securities analyst Tim Conder.
Conder reports that “the key products highlighted are the Defender Limited with HVAC, the all-new Sea-Doo GTI platform, and the 6 electric vehicle concepts. Dealer reception appears positive with ongoing incremental innovation addressing consumer demand/needs. The product reveal, apart from the surprise e-Concepts, was mostly in-line with our expectations. We continue to expect innovation leaders DOO and PII to consolidate share at the top of the industry, with DOO best-positioned for sustained ORV momentum given remaining whitespace opportunity. While we did not hear anything of concern, we would not be surprised to see some short-term profit taking given the recent run in the stock.”
Conder offers an update on the various segments in the report:
“ORV. Following the recent Maverick X3 Turbo RR release, we expected the focus to be Defender. The new Defender Limited with HVAC ($25,199) was a high-demand request from dealers given competitive product offerings. The Defender PRO HD10 ($17,899 base, $20,099 XT) features a six-foot multifunctional cargo box with lower storage area. The entire 2020 Defender lineup is available with an 82hp Rotax HD10 engine.
“Sea-Doo. New Sea-Doo platform (2018 introduction) expanded to the GTI recreation/value line. The GTI models feature a highly-configurable deck, increased storage, new hull, and enhanced stability. Several models with the new platform now offer a Rotax 1630 ACE-170hp engine.
“Three-Wheel Vehicles. We expected the focus to be Spyder as the Ryker platform continues to successfully ramp. The redesigned high-end Spyder RT ($23,299 base, $27,499 Limited) features more contemporary styling, an extended floorboard, additional storage, and other new comfort features. The base model is priced $1,300 below its predecessor.
“Electric Concepts. Unveiled 6 new e-Concept vehicles: Sea-Doo, Spyder, three-wheel scooter, two-wheel scooter, motorcycle, three-wheel urban vehicle. We believe DOO is still in the development stage, with a likely 2-3 year timeframe until production-ready product is aligned consumer range/pricing needs. DOO appears to be challenging HOG in urban mobility, and we wonder if/when PII will revisit the electric space.”
