BRP Inc. shares (DOO) traded higher on Thursday, April 16, 2026, up roughly 3% to $52.86, as investors bought the dip following a tariff-driven selloff earlier in the week. The move looks like a relief bounce as the market digests BRP’s decision to suspend its full-year FY27 guidance amid a sudden change in U.S. import tariffs that materially altered cost visibility.

BRP withdrew its FY27 outlook after the U.S. amended Section 232 tariffs on steel, aluminum, and copper imports, effective April 6, 2026. For BRP, the change shifts to a 25% tariff applied to the total value of imported snowmobiles and the majority of off-road vehicle (ORV) models, replacing the prior approach that applied a 50% tariff on applicable metal content only. BRP estimates the incremental tariff cost from the amendment could exceed $500 million for the remainder of the year, before any mitigation measures.

The near-term debate is whether BRP can neutralize a meaningful portion of the cost surge through price increases, sourcing and logistics changes, and internal cost actions—and how quickly those levers can be implemented without damaging demand. With guidance pulled, investors are likely to focus on any incremental disclosures about mitigation progress, pricing strategy, and U.S. import exposure by product category, along with signs of dealer inventory tightening or order reductions.

After an outsized down move on the guidance withdrawal, a modest rebound is consistent with short-term repositioning rather than a fundamental reset. Next watch items include updates on the evolving tariff framework, any company commentary that restores visibility into FY27 earnings power, and indications of whether the market is treating the tariff impact as a one-time margin shock or a longer-duration structural headwind.