GPRO +7.79%Now!
- GoPro (GPRO +7.8%) shares rise after Wedbush upgrades the stock to Outperform from Neutral citing multiple growth opportunities.
- "There are multiple gross margin expansion drivers in place, including GoPro's ongoing shift toward DTC sales domestically, growth of its high-margin subscription service, and a product mix-shift toward high-end hardware," writes analyst Michael Pachter. He believes GoPro's stand-out performance in overcoming supply chain challenges will continue into 2022.
- Pachter notes upcoming catalysts that include the resumption of international travel and GoPro's expansion into "derivative products with specialized use cases to expand its user base" that should incur only minimal R&D and manufacturing costs.
- Of the analysts covering GoPro, 2 hold Buy-equivalent ratings, 3 are Neutral, and 1 is Bearish.
We used to play GPRO and I do still like them. Their camera tech is fantastic and that's why I like them (high-end professional cameras), not so much the sports and drone markets. They are up to $1.6Bn these days and finally making profits: 3.3M last Q3, 44.4M last Q4, -10.2M in Q1, 17M in Q2 and $312M in Q3 - so Q3 was pretty good. Why?
- GoPro says it generated $166M of free cash flow due largely to continued camera mix shift to the high-end and execution of the company's direct-to-consumer, subscription-centric strategy.
Yes, because of why I liked them!
Submitted on 2018/08/02 at 3:49 pm
Earnings/Soma – I like GPRO down here as they beat last Q and sold 30M cameras (since 2009) and Jackie bought a knock-off and declared it total crap and then got the Hero and is thrilled with it. They are pulling in $1Bn and most of their losses have been over R&D misses like drone systems. They will still lose money, but probably less than 0.25/share and that's pretty good progress.
