Should You Buy Polaris Inc (PII) Today? Analysis, Price Targets, and 2026 Outlook.
Conclusion
Hold
Latest Price
66.180
1 Day change
-4.24%
52 Week Range
75.250
Analysis Updated At
2026/01/26
Polaris Inc. (PII) is not a strong buy at this time for a beginner investor with a long-term focus. While the company has some positive catalysts, such as improving dealer inventories and a recent win at the Dakar Rally, the financial performance is weak with a significant drop in net income and EPS. Additionally, technical indicators and options data do not strongly support a bullish sentiment. The stock is better suited for monitoring until clearer signs of financial recovery or stronger upward momentum emerge.
Technical Analysis
The technical indicators are mixed. The MACD is negative and expanding downward, indicating bearish momentum. RSI is neutral at 45.186, showing no clear overbought or oversold condition. The moving averages are bullish (SMA_5 > SMA_20 > SMA_200), but the stock is trading below the pivot level of 70.672, with key support at 67.924 and resistance at 73.421. Overall, the technicals do not strongly suggest a buy opportunity.
Options Data
Neutral
Open Interest Put-Call Ratio
Bullish
Option Volume Put-Call Ratio
The open interest put-call ratio of 1.05 indicates slightly bearish sentiment, while the option volume put-call ratio of 0.45 suggests more call activity, which could indicate short-term bullish sentiment. However, the overall options data is inconclusive for a strong buy signal.
Moving Average Consensus
Sell
7
Buy
6
Positive Catalysts
2026/01/26 04:03:12
Polaris RZR Factory Racing's championship win at the 2026 Dakar Rally highlights the reliability and performance of the company's products.
Dealer inventories are moderating, and powersports market conditions are slowly improving.
Seaport Research initiated coverage with a Buy rating and an $83 price target, citing undervaluation and strong product quality.
Neutral/Negative Catalysts
2026/01/26 04:03:12
Significant drop in net income (-157.04% YoY) and EPS (-157.14% YoY) in Q3
Concerns from analysts about the company's ability to maintain market share without sacrificing profitability in a normalized retail environment.
Mixed analyst ratings with several Neutral and Hold ratings, and price targets ranging from $57 to $83, indicating uncertainty about the stock's potential.
Financial Performance
In Q3 2025, revenue increased by 6.92% YoY to $1.84 billion, showing top-line growth. However, net income dropped significantly to -$15.8 million (-157.04% YoY), and EPS fell to -0.28 (-157.14% YoY). Gross margin improved slightly to 20.65% (+0.29% YoY), but the overall financial performance is weak, with profitability being a major concern.
Growth
Profitability
Efficiency
Analyst Ratings and Price Target Trends
Analyst ratings are mixed. Morgan Stanley raised its price target to $81 but maintained an Equal Weight rating. Seaport Research initiated coverage with a Buy rating and an $83 price target, citing undervaluation. However, Loop Capital and Roth Capital have more cautious views, with price targets of $59 and $57, respectively, and concerns about market share and profitability. The consensus reflects uncertainty about the stock's long-term potential.
Wall Street analysts forecast PII stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for PII is 66.67 USD with a low forecast of 57 USD and a high forecast of 72 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
Wall Street analysts forecast PII stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for PII is 66.67 USD with a low forecast of 57 USD and a high forecast of 72 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
0 Buy
10 Hold
0 Sell
Hold
Current: 69.110
Low
57
Averages
66.67
High
72
Current: 69.110
Low
57
Averages
66.67
High
72
Morgan Stanley
Stephen Grambling
Equal Weight
maintain
$72 -> $81
AI Analysis
2026-01-16
Reason
Morgan Stanley
Stephen Grambling
Price Target
$72 -> $81
AI Analysis
2026-01-16
maintain
Equal Weight
Reason
Morgan Stanley analyst Stephen Grambling raised the firm's price target on Polaris to $81 from $72 and keeps an Equal Weight rating on the shares. Gaming, lodging and leisure fundamentals were "muted" in 2025, with select areas of acceleration skewed to companies serving older, wealthier consumers, the analyst tells investors in a 2026 look ahead note on the group. For 2026, the firm expects "more of the same fundamentally," with the added wrinkle of rates boosting goods over services, the analyst added.
Seaport Research
Buy
initiated
$83
2026-01-08
Reason
Seaport Research
Price Target
$83
2026-01-08
initiated
Buy
Reason
Seaport Research initiated coverage of Polaris with a Buy rating and $83 price target. The firm says Polaris is a maker of "high quality" outdoor recreational products. The analyst is positive on the U.S. consumer and trends in outdoor recreation. Powersports market conditions are slowly improving as dealer inventories are moderating, the analyst tells investors in a research note. Seaport believes Polaris shares are undervalued, saying the company's earnings power is being underappreciated.
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