BRP (NASDAQ:DOOO) and Nabtesco (OTCMKTS:NCTKF) are both mid-cap auto/tires/trucks companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, risk, earnings and dividends.
Risk and Volatility
BRP has a beta of 2.06, meaning that its share price is 106% more volatile than the S&P 500. Comparatively, Nabtesco has a beta of 3.33, meaning that its share price is 233% more volatile than the S&P 500.
24.3% of BRP shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
This table compares BRP and Nabtesco’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Valuation & Earnings
This table compares BRP and Nabtesco’s gross revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|BRP||$4.02 billion||1.03||$175.13 million||$2.38||19.35|
|Nabtesco||$2.67 billion||1.37||$191.37 million||$1.54||19.16|
Nabtesco has lower revenue, but higher earnings than BRP. Nabtesco is trading at a lower price-to-earnings ratio than BRP, indicating that it is currently the more affordable of the two stocks.
This is a breakdown of recent ratings and price targets for BRP and Nabtesco, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
BRP presently has a consensus target price of $49.03, indicating a potential upside of 6.45%. Given BRP’s higher possible upside, equities analysts clearly believe BRP is more favorable than Nabtesco.
BRP Company Profile
BRP Inc., together with its subsidiaries, designs, develops, manufactures, distributes, and markets powersport vehicles and marine products worldwide. It operates through two segments, Powersports and Marine. The company offers all-terrain, side-by-side, and three-wheeled vehicles; seasonal products consisting of snowmobiles and personal watercraft; and propulsion systems comprising engines for outboard and jet boats, karts, motorcycles, and recreational aircraft. It also provides parts, accessories, and clothing, as well as PAC and other services. BRP Inc. sells its products through a network of independent dealers and distributors, as well as to original equipment manufacturers under the Can-Am, Ski-Doo, Lynx, Sea-Doo, Evinrude, Alumacraft, Manitou, and Rotax brand names. The company was formerly known as J.A. Bombardier (J.A.B.) Inc. and changed its name to BRP Inc. in April 2013. BRP Inc. was founded in 1937 and is headquartered in Valcourt, Canada.
Nabtesco Company Profile
Nabtesco Corporation manufactures and sells equipment in the industrial, daily life, and environmental fields in Japan and internationally. It operates through Component Solutions, Transport Solutions, Accessibility Solutions, and Manufacturing Solutions segments. The company offers precision reduction gears for industrial robots' joints; hydraulic equipment, such as traveling unit for crawlers, control valve for mini excavators, and swing unit for hydraulic excavators; railroad vehicle equipment, such as railroad vehicle brake systems, door operating units, test equipment, brake shoes, seat turning equipment, and snow removal devices; and aircraft equipment comprising flight control actuation systems and high voltage electric power distribution units. It also provides air dryers and wedge brake chambers for commercial vehicles, and hydraulic clutch master cylinders for passenger vehicles; engine remote control systems for vessels; automatic doors and platform doors for buildings; automatic filters/sealers for retort pouch foods; and intelligent prosthetic knee joints, electric wheelchairs, stair lift with a wheelchair, and rollator with a speed control system, as well as new energy equipment comprising yaw and pitch drives, and solar tracking equipment. Nabtesco Corporation was founded in 2003 and is headquartered in Tokyo, Japan.
Receive News & Ratings for BRP Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for BRP and related companies with MarketBeat.com's FREE daily email newsletter.