BRP Inc.

Kalkine's Global Tariff Report offers independent, data-driven analysis of key global sectors impacted by tariff adjustments. It evaluates the potential implications these changes may have for equity valuations within those industries. The report prioritizes trade-sensitive sectors, which typically face increased investor scrutiny during periods of tariff uncertainty, while also identifying defensive and countercyclical segments that demonstrate resilience or potential for outperformance amidst global trade disruptions.

As illustrated in the table below, several key sectors in different countries are directly impacted by the recent tariff announcement from President Trump.

Key Developments (as of April 27, 2026) 

Canada

• U.S. Section 232 tariffs on Canadian steel and aluminum remain in place. The 10% temporary U.S. import duty introduced on Feb. 24, 2026 applies to most imports, but Section 232 goods and USMCA-compliant Canada/Mexico goods are carved out.
• On the Canadian side, Ottawa kept countertariffs on U.S. steel, aluminum and autos, while removing most other countermeasures effective Sept. 1, 2025. 

India

• The U.S. removed the extra 25% duty on Indian-origin goods effective Feb. 7, 2026.
• The U.S. also lowered the reciprocal tariff on India from 25% to 18% in the Feb. 2026 trade deal.
• A 10% temporary U.S. import duty introduced on Feb. 24, 2026 still applies to most non-exempt goods, while Section 232 tariffs on steel and aluminum remain in force where applicable. 

China

• The U.S. reduced the fentanyl-related duty from 20% to 10%, effective Nov. 10, 2025.
• The heightened reciprocal tariff on Chinese imports remains suspended through Nov. 10, 2026, and the current 10% reciprocal tariff remains in effect during that period.
• USTR also extended certain Section 301 tariff exclusions through Nov. 10, 2026, and suspended one Section 301 action for one year beginning Nov. 10, 2025.
• Bottom line: China still faces layered tariff pressure, even after the late-2025 easing. 

European Union

• Under the Aug. 21, 2025 U.S.-EU framework, the U.S. applies the higher of MFN or a 15% tariff rate on most originating EU goods.
• From Sept. 1, 2025, only MFN rates apply to certain EU exports, including cork, aircraft and aircraft parts, and generic pharmaceuticals and related inputs.
• The framework also reduced tariffs on EU autos and auto parts, so overall U.S.-EU tariff levels are now well below the 2025 peak. 

Canada’s services trade position strengthened in February 2026, shifting to a CAD ~0.4 billion surplus from near balance in January and improving from the CAD ~0.3 bn surplus seen in August 2025. This was driven by a 1.5% rise in exports to CAD ~20.3 bn, supported by gains in financial, transportation, and travel services, while imports fell 0.7% to CAD ~19.9 bn due to weaker financial services imports. Despite this improvement in services, Canada’s overall trade position remained pressured, as a wider goods deficit led to a combined goods and services deficit of CAD 5.34 bn.

Image source: © 2026 Krish Capital Pty. Ltd., Analysis: Kalkine Group

Image source: © 2026 Krish Capital Pty. Ltd., Analysis: Kalkine Group

Amid elevated Market Volatility and Tariff pressures, BRP Inc. (TSX: DOO) stands out as our defensive pick within the Consumer Discretionary sector, supported by rigorous fundamental and technical research. 

Section1: Company Overview and Fundamental Insights:

BRP Inc. (TSX: DOO) is a global leader in the world of powersports products and powertrains, built on over 80 years of ingenuity, innovation, and intensive consumer focus. Through its portfolio of industry-leading and distinctive brands featuring Ski-Doo and Lynx snowmobiles, Sea-Doo watercraft and pontoons, Can-Am on- and off-road vehicles, Quintrex boats as well as Rotax engines for karts, recreational aircraft and jet boats, BRP unlocks exhilarating adventures and provides access to experiences across different playgrounds.

Kalkine’s Global Tariff Report covers the Investment Highlights, Key Financial Metrics, Risks, Technical Analysis along with the Valuation, Target Price, and Recommendation on the stock.

The top 10 shareholders together form ~48.31% of the total shareholding. Mackenzie Financial Corporation and Fidelity Management & Research Company LLC. hold a maximum stake in the company at ~8.00% and ~7.82%, respectively.

The company reported rising financials in Q4 2026, where it clocked healthy growth under its Gross Margin, which is a key positive. Furthermore, it witnessed elevated Net Margin and EBITDA Margin, displaying its balanced operational growth.

Section 2: Business Updates and Financial Highlights

The picture below gives an overview of the company’s recent activities, such as an announcement regarding Dividend Growth & Buybacks Support Valuation.

Section 3: Key Risks and Company Outlook 

Section 4: Stock Recommendation Summary

The stock has witnessed a downside of ~1.85% and ~17.41% over the last 1 week and 6 months respectively. Moreover, it is trading below the average 52-week high price of CAD 112.26 and 52-week low price of CAD 44.98, providing an opportunity to accumulate the stock.

Valuation Methodology: EV to Sales Based Relative Valuation (Illustrative):

Markets are trading in a highly volatile zone currently due to certain macroeconomic issues and geopolitical tensions prevailing. Therefore, it is prudent to follow a cautious approach while investing.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is April 24, 2026. The reference data in this report has been partly sourced from REFINITIV.

Note 3: Investment decisions should be made depending on an individual's appetite for upside potential, risks, holding duration, and any previous holdings. An 'Exit' from the stock can be considered if the Target Price mentioned as per the Valuation and or the technical levels provided has been achieved and is subject to the factors discussed above.

Note 4: Dividend Yield may vary as per the stock price movement. 

Note 5: Kalkine reports are prepared based on the stock prices captured either from REFINITIV or Trading View. Typically, REFINITIV or Trading View may reflect stock prices with a delay which could be a lag of 25-30 minutes. There can be no assurance that future results or events will be consistent with the information provided in the report. The information is subject to change without any prior notice. 

Technical Indicators Defined: -

Support: A level at which the stock prices tend to find support if they are falling, and a downtrend may take a pause backed by demand or buying interest. Support 1 refers to the nearby support level for the stock and if the price breaches the level, then Support 2 may act as the crucial support level for the stock. 

Resistance: A level at which the stock prices tend to find resistance when they are rising, and an uptrend may take a pause due to profit booking or selling interest. Resistance 1 refers to the nearby resistance level for the stock and if the price surpasses the level, then Resistance 2 may act as the crucial resistance level for the stock. 

Stop-loss: It is a level to protect further losses in case of unfavourable movement in the stock prices.