| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 50 | — | 17.8x | Around median | |
Growth | 10 | 8.4% | 7.1% | Bottom tier | |
Quality | 18 | -5.7% | 4.5% | Bottom tier | |
Safety | 30 | 16.2x | 2.6x | Bottom tier | |
Capital Return | 45 | 4.53% | 2.12% | Around median | |
Momentum | 50 | 23.8% | 2.9% | Around median | |
Sentiment | 82 | 10 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Polaris Inc. manufactures and sells powersports vehicles and work-oriented vehicles, generating revenue through three segments cited in the July 28, 2026 call: Polaris Powersports, Marine, and Aixam-Goupil, in addition to parts, garments, and accessories PG&A. The business includes ORV vehicles such as Ranger, Pro XD commercial vehicles designed for worksites, and premium Bennington QX and Godfrey Sanpan pontoon boats, while demand comes from individuals, dealers, rental companies, infrastructure projects, data centers, and government and defense entities.
In Q2 of fiscal 2026, reported sales increased 9% year over year, or 17% excluding Indian Motorcycle, and all three segments recorded revenue growth. Polaris Powersports sales increased 17%, Marine sales 16%, and Aixam-Goupil sales 6%, while PG&A sales in Powersports increased 21%. Operating gross margin, excluding the tariff refund, expanded by 82 basis points according to management's presentation, while operating EBITDA margin improved by about 180 basis points.
Adjusted earnings per share in Q2 of fiscal 2026 were about 1.97 dollars, including 0.96 dollars from the impact of a 74 million dollar pre-tax tariff refund; excluding this impact, adjusted operating earnings per share were 1.01 dollars, exceeding management's previous range of 0.70–0.80 dollars. In contrast, EDGAR statements for Q1 of fiscal 2026 show revenue of 1.7 billion dollars and gross profit of 334.8 million dollars, but net income was negative at 47.4 million dollars and earnings per share were negative at 0.83 dollars, highlighting the difference between the adjusted operating improvement and the continued reported accounting losses in the latest EDGAR data available within the provided information.
Automated analysis for informational purposes only — not investment advice.
Analyst consensus is neutral, with an average price target of 65.5 dollars and a very narrow range between 65 and 66 dollars, indicating convergence in estimates and limited variation among published scenarios. The average target is about 16% below the 52-week range high of 77.98 dollars and about 39% above its low of 47.14 dollars, while the width of the range reflects a reassessment associated with accounting losses and weak recreational demand versus improving margins and share gains. No positive price-to-earnings multiple is available because of the net loss and negative earnings per share, so the stock's valuation depends more heavily on achieving fiscal 2026 adjusted earnings per share guidance of 3.00–3.10 dollars and converting the operating improvement into sustainable accounting profits.
Figures in the text are as of 2026-08-31; the live price is shown at the top of the page.
Reported sales increased 9%, or 17% excluding Indian Motorcycle, with growth across all three segments. Polaris Powersports led the performance with a 17% increase, while Marine rose 16% and Aixam-Goupil 6%, and PG&A sales in Powersports increased 21%. Adjusted earnings per share were 1.97 dollars, but 0.96 dollars of that was related to a 74 million dollar pre-tax tariff refund, resulting in adjusted operating earnings per share of 1.01 dollars.
Ranger retail sales increased by more than 10% in Q2 of fiscal 2026 and helped Polaris gain ORV share for the fifth consecutive quarter. Ranger 500 was the fastest-growing vehicle in the off-road vehicle market according to the data presented by management, and about 70% of its buyers were new Polaris customers. Ranger 1000 and Ranger XP 1000 cab-equipped vehicles also generated several points of share gains, and cab-equipped vehicles became more than half of the company's ORV sales for the first time.
Polaris sells Pro XD vehicles designed for demanding work environments to rental companies and commercial projects, and the commercial business achieved strong growth in Q2 of fiscal 2026. Management explained that demand comes from data center construction and major construction projects, where sites require a larger number of vehicles. Parts sales also benefit from increased fleet operating hours, but management said on July 28, 2026 that the replacement cycle and vehicle use after data center site construction is completed were not yet clear.
The company raised sales guidance to 7.3–7.5 billion dollars, representing growth of between 2% and 5%, and expects organic growth of about 10% excluding Indian Motorcycle. It also raised adjusted earnings per share guidance to 3.00–3.10 dollars and adjusted operating earnings per share guidance to 2.05–2.15 dollars. It expects adjusted EBITDA margin to increase by between 50 and 75 basis points, or between 145 and 170 basis points on an operating basis excluding the tariff refund.
Management expects retail sales to remain roughly flat in the second half of fiscal 2026, with continued weakness in recreational vehicles and midrange and entry-level boats due to inflation and interest rates. It also expects an additional commodity cost of 70 million dollars and tariffs of about 215 million dollars during fiscal 2026, while hedges cover only about half of the exposure. In addition, EDGAR data showed a net loss of 47.4 million dollars in Q1 of fiscal 2026 after a loss of 465.5 million dollars in fiscal 2025, making the conversion of adjusted improvement into accounting profit a key test.
Net leverage declined to 2.6 times at the end of Q2 of fiscal 2026, compared with 3.6 times at the end of Q1 of fiscal 2026. Operating performance and the 74 million dollar tariff refund helped drive this improvement, and management expects a further decline during the second half as seasonal working capital is released. Allocation priorities are investing in higher-margin growth, then returning capital through dividends, followed by reducing debt.
