Polaris Inc.
- Open
- 61.85
- Day high
- 62.23
- Day low
- 60.91
- Prev close
- 61.72
- Volume
- 38K
- Mkt cap
- $3.5B
- P/E (TTM)
- —
- EPS (TTM)
- —
- P/B
- 4.2
- P/S
- 0.5
- Yield
- 4.43%
- Per share
- $2.71
Polaris Inc. (PII) is a Consumer Cyclical company listed on NYSE. The stock is up 8% over the past year. Drillr has 1 published research article covering PII.
Polaris Inc. (PII) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 4 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
PII earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 28, 2026 | $0.76 | $1.97 | +160.9% | $2.0B | +3.5% |
| Apr 28, 2026 | $-0.43 | $0.13 | +130.2% | $1.7B | +1.9% |
| Jan 27, 2026 | $0.06 | $0.08 | +33.3% | $1.9B | +15.5% |
| Oct 28, 2025 | $0.37 | $0.41 | +10.8% | $1.8B | +3.1% |
| Jul 29, 2025 | $0.05 | $0.40 | +700.0% | $1.9B | +10.6% |
| Apr 29, 2025 | $-0.91 | $-0.90 | +1.1% | $1.5B | -15.7% |
| Jan 28, 2025 | $0.89 | $0.92 | +3.4% | $1.8B | +14.6% |
| Oct 22, 2024 | $0.87 | $0.73 | -16.1% | $1.7B | -0.8% |
| Jul 23, 2024 | $2.23 | $1.38 | -38.1% | $2.0B | -10.0% |
| Jan 30, 2024 | $2.57 | $1.98 | -23.0% | $2.3B | +2.6% |
| Jul 25, 2023 | $2.21 | $2.42 | +9.5% | $2.2B | +3.4% |
| Jan 31, 2023 | $3.27 | $3.46 | +5.8% | $2.4B | +0.3% |
PII insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Sep 2, 2026 | Mack Robert Paulofficer: CFO, EVP - Finance + Corp Dev | Option | 23 | — |
| Jul 2, 2026 | Shotwell Gwynnedirector | Grant | 492 | $64.73 |
| Jul 2, 2026 | Henricks Gwenne A.director | Grant | 492 | $64.73 |
| Jul 2, 2026 | Hendrickson Gary Edirector | Grant | 492 | $64.73 |
| Jul 2, 2026 | KESSLER BERND Fdirector | Grant | 531 | $64.73 |
| Jun 2, 2026 | Mack Robert Paulofficer: CFO, EVP - Finance + Corp Dev | Option | 23 | — |
| May 12, 2026 | Winings Matthew Sofficer: SVP General Counsel Secretary | Tax | 438 | $66.28 |
| May 1, 2026 | Kingsley Lawrence Ddirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | KESSLER BERND Fdirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | Hendrickson Gary Edirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | Jackson Darryl R.director | Grant | 2,641 | $66.27 |
| May 1, 2026 | Shotwell Gwynnedirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | WIEHOFF JOHNdirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | Bilicic George Wdirector | Grant | 2,641 | $66.27 |
| May 1, 2026 | Henricks Gwenne A.director | Grant | 2,641 | $66.27 |
Source: PII SEC Form 4 filings, latest Sep 2, 2026. For informational purposes only — not investment advice.
See the full PII insider & 13F page →Polaris Inc. company profile
Overview
Polaris Inc. (NYSE:PII) is a Minnesota-based manufacturer of powersports vehicles and recreational equipment founded in 1954. Originally established as Polaris Industries Inc., the company began as a snowmobile manufacturer and has since evolved into one of the leading global producers of off-road vehicles, motorcycles, and marine craft. Headquartered in Medina, Minnesota, Polaris has grown from its humble beginnings to become a publicly traded company since 1987, serving customers worldwide through a network of dealers and distributors. The company has navigated various industry cycles and economic challenges while maintaining its focus on innovation and rider-driven product development across its diverse portfolio of recreational vehicles.
Business
Polaris operates in the recreational vehicle industry, specifically focusing on powersports vehicles - motorized recreational vehicles designed for outdoor adventure and utility purposes. The powersports industry encompasses vehicles used for recreation, sport, and work applications in off-road environments, water, and on-road touring. The company operates through three primary business segments: Off-Road Vehicles (ORV) represents Polaris's largest segment, accounting for approximately 60-65% of total revenue. This segment includes all-terrain vehicles (ATVs) - four-wheeled vehicles designed for off-road use, and side-by-side vehicles (also called utility task vehicles or UTVs) - larger vehicles that can seat multiple passengers side-by-side. Key product lines include the Ranger utility vehicles used for work and farming applications, the RZR recreation-focused sport vehicles for trail riding and racing, and Sportsman ATVs for hunting and outdoor recreation. The segment also includes snowmobiles and snow bike conversion kits for winter recreation. On-Road Vehicles contributes roughly 15-20% of revenue and primarily consists of Indian Motorcycle - a premium American motorcycle brand that Polaris acquired and revitalized. This segment includes touring motorcycles, cruisers, and sport bikes, with the Scout lineup representing the midsize motorcycle category. The segment also includes the Slingshot - a three-wheeled roadster that combines motorcycle and car characteristics. Marine represents approximately 10-15% of revenue and includes pontoon boats and deck boats through brands like Bennington and Hurricane. Pontoon boats are flat-decked recreational boats supported by pontoons (cylindrical floats) underneath, popular for leisure boating, fishing, and entertaining on lakes and rivers. Additionally, Polaris generates significant revenue from Parts, Garments & Accessories (PG&A), which includes aftermarket accessories, protective gear, apparel, and replacement parts sold across all vehicle categories. This high-margin business provides ongoing revenue streams after initial vehicle sales.
Revenue model
Polaris generates revenue primarily through product sales of recreational vehicles, with additional income from parts, accessories, and services. The company sells its vehicles through a network of independent dealers and distributors globally, as well as through direct online sales channels and 101 brick-and-mortar retail centers. The business model centers on manufacturing and wholesale distribution to dealers, who then sell to end consumers. Customers include recreational enthusiasts seeking adventure vehicles, commercial users needing utility vehicles for farming and construction, and motorcycle touring enthusiasts. The company's customer base tends to be relatively affluent, with higher disposable income levels that provide some insulation during economic downturns. Revenue streams include: 1. Wholesale vehicle sales to dealers (primary revenue source), 2. High-margin aftermarket parts and accessories sales, 3. Apparel and protective gear sales, 4. Service and warranty revenue, and 5. Financing facilitation through partner relationships. Several factors significantly impact Polaris's margins and profitability. Positive margin drivers include: premium product positioning allowing higher pricing, operational efficiency improvements in manufacturing, favorable product mix toward higher-margin recreational vehicles, and growing aftermarket parts business. The company has achieved over $280 million in operational efficiencies through lean manufacturing initiatives. Margin pressures come from: macroeconomic headwinds including high interest rates that affect consumer financing, inflationary pressures on raw materials and labor costs, competitive promotional environments requiring discounting, seasonal demand patterns creating production volatility, and potential tariff impacts on imported components. The company faces particular challenges from dealer inventory management cycles, where production must be adjusted to prevent channel stuffing while maintaining dealer relationships. Currency fluctuations and international trade policies also affect margins, especially given the company's global supply chain and manufacturing footprint.
Competitive moat
Polaris possesses a moderate competitive moat built primarily around brand strength, dealer relationships, and innovation capabilities, though the moat faces ongoing challenges from industry dynamics and competitive pressures. The company's strongest moat elements include established brand equity in key product categories, particularly with the Indian Motorcycle heritage brand and the Ranger/RZR off-road vehicle franchises. These brands command premium pricing and customer loyalty built over decades. Polaris also benefits from an extensive dealer network that provides sales, service, and parts distribution - relationships that are difficult for competitors to replicate quickly and create switching costs for both dealers and customers. Innovation and R&D capabilities represent another moat component, with the company investing approximately 4% of sales in research and development. This enables regular product refreshes and technological advancement, such as electric vehicle development and connected vehicle technologies like RIDE COMMAND+. The company's manufacturing expertise and operational efficiency improvements also provide cost advantages. However, the moat faces significant limitations. The recreational vehicle industry is highly competitive with established players like Can-Am (BRP), Yamaha, Honda, and Kawasaki offering comparable products. Low switching costs for consumers mean brand loyalty can erode quickly if competitors offer superior value propositions. The industry is also cyclical and discretionary, making it vulnerable to economic downturns when consumers defer recreational purchases. Potential disruption comes from several sources: electric vehicle transition requiring substantial R&D investment and potentially obsoleting existing powertrains, direct-to-consumer sales models that could bypass traditional dealer networks, and new entrants with different cost structures or innovative approaches. Chinese manufacturers represent a growing competitive threat with lower-cost alternatives. The company's dependence on discretionary consumer spending and dealer inventory management also creates structural vulnerabilities that limit the durability of any competitive advantages.
Risks & safety
Polaris presents moderate financial risk with adequate liquidity but concerning leverage levels and earnings volatility during the current industry downcycle. **Liquidity and Solvency:** - Available liquidity of $1.4 billion provides adequate short-term cushion - Cash and short-term investments of $292 million (Q1 2025) - Current ratio of 1.12 indicates tight working capital management - Quick ratio of 0.37 shows limited liquid asset coverage - Free cash flow turned positive at $48 million (Q1 2025) after recent negative periods **Debt and Leverage:** - Debt-to-equity ratio of 1.78 represents elevated leverage - Total liabilities of $4.2 billion against $5.5 billion in assets - Interest coverage appears manageable given EBITDA levels - Company maintains banking relationships and credit facilities **Valuation Metrics:** - Trading at 29x EV/EBITDA (Q1 2025) due to depressed earnings - P/E ratio of -8.7x reflects recent losses - Price-to-book ratio of 1.90 suggests reasonable asset valuation - Graham net-net value deeply negative at -50%, indicating no asset play value **Other Considerations:** - Cyclical earnings create valuation uncertainty - Tariff exposure of $320-370 million estimated for 2025 - Dividend sustainability under pressure from weak cash generation - Management implementing "recession playbook" for cash preservation
Recent development
Over the past several years, Polaris has undergone significant strategic shifts and operational improvements while navigating a challenging industry downcycle and external pressures. Operational Excellence Initiative: The company has implemented comprehensive efficiency programs, achieving over $280 million in operational savings in 2024 against an initial target of $150 million. These improvements include 20% increased factory output with the same labor input, 50% reduction in manufacturing rework, and 7% reduction in per-hour plant costs at major facilities. The company continues targeting additional $40 million in savings for 2025. Portfolio Focus and Divestiture: Polaris has sharpened its focus on core powersports businesses, divesting the Transamerican Auto Parts (TAP) business to redirect resources toward recreational vehicles. This strategic move allows concentrated investment in R&D and innovation across the Off-Road, On-Road, and Marine segments. Product Innovation and Electrification: The company has launched significant new products including the redesigned Ranger XP utility vehicle, the first all-electric Ranger XP Kinetic, new RZR Pro lineup for recreation, and the Indian Scout motorcycle lineup. The XPEDITION adventure side-by-side represents expansion into new recreational categories. Innovation investment remains at approximately 4% of sales despite challenging market conditions. Inventory and Channel Management: Polaris has prioritized dealer relationship health through aggressive inventory reduction programs, targeting 15-20% reduction in dealer inventory levels. This approach involves cutting production shipments below retail demand to prevent channel stuffing, while providing dealer flooring support and promotional assistance. Tariff Mitigation Strategy: Facing potential tariff costs of $320-370 million in 2025, the company has developed a four-pronged response strategy: supply chain diversification to reduce import exposure, cost control initiatives, market and pricing optimization, and active government affairs engagement. The company is working to shift sourcing and manufacturing to mitigate trade policy impacts. Financial Discipline: Management has implemented a "recession playbook" focused on cash preservation, working capital optimization, selective capital expenditure deferral, and disciplined headcount management including an 8% reduction in salaried workforce.
PII company profile · for informational purposes only — not investment advice.
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