How risky is GoPro’s stock?
GoPro’s stock price drop is now the main feature of it’s story. Moody’s Daily Credit Risk Score is a 1-10 score of a company’s credit risk, based on an analysis of the firm’s balance sheet and inputs from the stock market.
Is GoPro a long-term value?
The reality today is that GoPro is not a long-term growth stock, and it's hard to make the argument that it's a value for investors, even if it's now profitable.
Is there an upside for GoPro stock?
According to analysts' consensus price target of $11.38, GoPro has a forecasted upside of 7.1% from its current price of $10.62. GoPro has only been the subject of 3 research reports in the past 90 days. GoPro has received 1,147 “outperform” votes.
What are analysts'price targets for GoPro's stock?
5 analysts have issued 12-month price targets for GoPro's stock. Their forecasts range from $4.50 to $8.00. On average, they anticipate GoPro's stock price to reach $6.30 in the next twelve months. This suggests a possible upside of 62.8% from the stock's current price.
Is GPRO stock a good buy?
The financial health and growth prospects of GPRO, demonstrate its potential to outperform the market. It currently has a Growth Score of C. Recent price changes and earnings estimate revisions indicate this stock lacks momentum and would be a lackluster choice for momentum investors.
Is GoPro a good stock 2022?
(NASDAQ: GPRO) GOPRO's current Earnings Per Share (EPS) is $2.50. On average, analysts forecast that GPRO's EPS will be $0.71 for 2022, with the lowest EPS forecast at $0.65, and the highest EPS forecast at $0.78.
What is the highest GoPro stock has been?
GoPro - Stock Price History | GPROThe all-time high GoPro stock closing price was 93.85 on October 07, 2014.The GoPro 52-week high stock price is 12.97, which is 90.7% above the current share price.The GoPro 52-week low stock price is 6.18, which is 9.1% below the current share price.More items...
Is GoPro stock undervalued?
PB vs Industry: GPRO is overvalued based on its Price-To-Book Ratio (1.6x) compared to the US Consumer Durables industry average (1.1x).
Will GPRO go up?
The 6 analysts offering 12-month price forecasts for GoPro Inc have a median target of 11.50, with a high estimate of 12.00 and a low estimate of 8.00. The median estimate represents a +68.62% increase from the last price of 6.82.
Is GoPro a good stock 2021?
GoPro is still a bargain right now. My valuation model shows that the intrinsic value for the stock is $13.48, but it is currently trading at US$9.14 on the share market, meaning that there is still an opportunity to buy now. Although, there may be another chance to buy again in the future.
Who is GoPro owned by?
The top individual shareholders of GoPro are Nicholas Woodman, Brian McGee, Kenneth Goldman, Peter Gotcher, and Alexander Lurie. Prentice Capital Management, The Vanguard Group, and BlackRock are GoPro's largest institutional investors.
What is GoPro's market share?
GoPro's revenue share worldwide in 2021 from their web platform GoPro.com increased to 33.8 percent from 31.7 percent in the previous year.
Why did GoPro stock go down?
Shares of GoPro (GPRO 4.64%) tumbled Friday after the company reported its first-quarter results. Though it beat analysts' consensus estimate for earnings and reported sales that were mostly in line with Wall Street's expectations, investors weren't thrilled with the company's second-quarter guidance.
Does GoPro stock pay dividends?
GOPRO (NASDAQ: GPRO) does not pay a dividend.
What are GoPro cameras good for?
A GoPro is a handy, portable, and durable action camera that can be mounted to your head, helmet, bike handlebars, or surfboard. It is popular among athletes because they capture high-quality footage without the need to hold it.
Does GoPro have a sell signal?
Is GoPro stock a sell signal?
Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average.
When will GoPro release results for 2021?
The GoPro stock holds a sell signal from the short-term moving average ; at the same time, however, there is a buy signal from the long-term average. Since the short-term average is above the long-term average there is a general buy signal in the stock giving a positive forecast for the stock. On further gains, the stock will meet resistance from the short-term moving average at approximately $10.93. On a fall, the stock will find some support from the long-term average at approximately $9.64. A break-up through the short-term average will send a buy signal, whereas a breakdown through the long-term average will send a sell signal. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Tuesday, November 16, 2021, and so far it has fallen -11.77%. Further fall is indicated until a new bottom pivot has been found. Volume fell together with the price during the last trading day and this reduces the overall risk as volume should follow the price movements.
Is GoPro a neutral company?
GoPro Schedules Second Quarter 2021 Financial Results for August 5, 2021. GoPro, Inc. (NASDAQ: GPRO) today announced that it will release its financial results for the second quarter ended June 30, 2021, after the market closes on August 5, 2021. Simply Wall St. • 17 days ago.
Is GoPro a niche brand?
GoPro surged Thursday after a JPMorgan analyst upgraded the video-products company to overweight from neutral and boosted his price target to $15 from $13. Analyst Paul Chung said in a note to investors that the company's "strong execution" is underscored by its pivot to direct-to-consumer, high subscriber attach rate on GoPro.com, and price increases, according to the Fly. The analyst also views GoPro as a "reopening play" as the pandemic eases and the world reopens.
Where can GoPro grow?
GoPro ( NASDAQ: GPRO) has had trouble growing beyond its core action camera product for years, but it may be gaining some footing as a more niche brand. Cloud subscriptions have passed 1 million users, which should generate tens of millions of dollars in high-margin revenue each year, and now GoPro is leaning into the lifestyle brand market. Unlike technology products like 360 cameras, drones, and even media editing software, lifestyle products take advantage of GoPro's brand presence and loyal customer base.
Does GoPro make action cameras?
GoPro has found a niche that it can make money on, but as a public company with a 29x P/E ratio , it needs to find ways to grow. We know the media business has failed, drones didn't work out, and I don't see 360-degree cameras being a big market given the competition in the space.
Is GoPro a long term stock?
GoPro's financials have improved quickly as it has focused more on what it does best -- make action cameras.
Does GoPro have subscriptions?
The reality today is that GoPro is not a long-term growth stock, and it's hard to make the argument that it's a value for investors, even if it's now profitable. I like the move to more recurring subscription revenue and a general shift toward higher-margin power users, rather than a focus on volume growth, but there are limits to a business serving a niche market.
Where does GoPro go from here?
Not only are the margins on cameras getting better as GoPro incentivizes customers to buy direct, but the company is also now adding subscription services that can be sold at a high margin. Cloud storage, editing tools, and even improved accessories have made subscription products attractive to GoPro power users.
How many GoPro cameras will be sold in 2021?
The core Hero line of cameras seems to be doing well, and subscriptions are growing nicely. But GoPro is using tricks like subscription discounts only available through GoPro.com to increase margins per camera sold. That can only help margins for so long, and I don't think GoPro has much pricing power to increase prices more than it already has.
When did GoPro go through a write off?
Dig a little deeper and we see that the number of cameras sold each year is not yet back to all-time highs. In 2018, GoPro shipped 4.33 million cameras, which fell to 2.56 million in 2019 and 2.82 million in 2020. In 2021, management expects to sell 3.4 million units, which will be the second consecutive year of growth but still well below 2018 and years prior. There seems to be a cap on GoPro's volume potential somewhere around 3-4 million units, so the company needs to find further growth elsewhere.
Is GoPro revenue down?
Starting in 2016, GoPro went through a series of write-offs and price reductions that left the company with lower margins and exploding losses. The good, better, best strategy I highlighted above helped reduce the company's inventory errors and stabilize margins.
Is GoPro a cash flow company?
The company is growing short term, but revenue is actually down significantly from 2015 when the company was at its peak. What you see below is that gross margins are up and net income is up sharply and that's largely because GoPro has reduced its own unforced errors.
Does Travis Hoium have a position in any of the stocks mentioned?
GoPro may have to accept the fact that it's a cash flow company, not the growth company it hoped to be.
Is the GoPro 360 a flop?
Travis Hoium has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.
Summary
The GoPro Max 360 camera was once seen as a potential growth product, but 360 cameras simply haven't caught on at this point. Drones were a complete flop.
Investment Thesis
There are two points to understand here: the subscription business is growing at triple digits and the premium-priced cameras are increasing over time.
Video Podcast
GoPro ( GPRO) sells cameras. But my bullish thesis is actually focused on GoPro's subscription business.
Investor Sentiment Is Demonstrably Negative
Manuel Mauricio from AllinStocks.com, and I go through to unpick GoPro.
Revenue Growth Rates Choppy, But Growing
The graph above depicts not only a company that's fallen out of favor with investors but in actuality a stock that nobody in their right mind would be willing to own, or even if they did own, nobody would be willing to buy more.
Analyzing GoPro's Near-Term Prospects
There's no doubt that GoPro's growth rates are choppy, but that's already factored into its stock many times over.
GoPro's Subscription Business
GoPro sells premium cameras, as you can see below. And these are high-quality products that command a high-quality price tag.
