The Investment Reporter, in its May 26, 2023, issue, refreshes its buy of BRP Inc., recently $100.17. The Reporter said buy six times from Sept. 29, 2017, to Jan. 13, 2023, at prices ranging from $38.77 to $124.48. Assuming a $1,000 investment for each of the six buys, the $6,000 position would be worth $9,215. BRP, once a part of Bombardier Inc., makes vehicles such as snowmobiles and ATVs in Canada. BRP is diversified across various products that sell throughout the year. Its sales are also geographically diversified, with products sold in over 120 countries. In its fiscal year ended Jan. 31, 2023, BRP had adjusted earnings of $976.7-million, or $12.05 a share, compared with adjusted earnings of $846.5-million, or $9.92 a share, in fiscal 2022. The increase was primarily the result of higher operating income and lower net financing costs. With the release of its fiscal 2023 results, BRP increased its quarterly dividend from 16 to 18 cents a share. The annualized dividend of 72 cents a share is equal to a modest yield of 0.7 per cent. BRP trades at just 8.0 times its likely fiscal 2024 earnings of $12.50 a share. The Reporter says buy BRP for growth.
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