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Is BRP (DOOO) a Great Value Stock Right Now?

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The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

BRP (DOOO - Free Report) is a stock many investors are watching right now. DOOO is currently sporting a Zacks Rank of #2 (Buy), as well as an A grade for Value. The stock is trading with a P/E ratio of 8.11, which compares to its industry's average of 23.44. Over the last 12 months, DOOO's Forward P/E has been as high as 14.67 and as low as 6.80, with a median of 9.86.

Finally, investors will want to recognize that DOOO has a P/CF ratio of 8.04. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This company's current P/CF looks solid when compared to its industry's average P/CF of 19.77. DOOO's P/CF has been as high as 9.42 and as low as 5.74, with a median of 7.93, all within the past year.

These figures are just a handful of the metrics value investors tend to look at, but they help show that BRP is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, DOOO feels like a great value stock at the moment.


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