NasdaqGS:GPRO

Stock Analysis Report

Executive Summary

GoPro, Inc. develops and sells cameras, drones, and mountable and wearable accessories in the United States and internationally.

Rewards

Trading at 52.8% below its fair value

Earnings are forecast to grow 83.51% per year

Risk Analysis

Highly volatile share price over past 3 months

Shareholders have been diluted in the past year



Snowflake Analysis

Reasonable growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

How has GoPro's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: GPRO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

1.5%

GPRO

-0.5%

US Consumer Durables

-1.2%

US Market


1 Year Return

-18.7%

GPRO

33.3%

US Consumer Durables

15.5%

US Market

Return vs Industry: GPRO underperformed the US Consumer Durables industry which returned 33.3% over the past year.

Return vs Market: GPRO underperformed the US Market which returned 15.5% over the past year.


Shareholder returns

GPROIndustryMarket
7 Day1.5%-0.5%-1.2%
30 Day-9.0%1.6%1.4%
90 Day-1.9%10.9%4.7%
1 Year-18.7%-18.7%35.4%33.3%18.0%15.5%
3 Year-56.2%-56.2%28.4%22.5%44.8%35.4%
5 Year-93.3%-93.3%39.4%30.2%67.3%48.9%

Price Volatility Vs. Market

How volatile is GoPro's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is GoPro undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GPRO ($4.04) is trading below our estimate of fair value ($8.56)

Significantly Below Fair Value: GPRO is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GPRO is unprofitable, so we can't compare its PE Ratio to the Consumer Durables industry average.

PE vs Market: GPRO is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate GPRO's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: GPRO is overvalued based on its PB Ratio (4.5x) compared to the US Consumer Durables industry average (1.4x).


Next Steps

Future Growth

How is GoPro forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

83.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GPRO is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (1.7%).

Earnings vs Market: GPRO is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: GPRO's is expected to become profitable in the next 3 years.

Revenue vs Market: GPRO's revenue (4.5% per year) is forecast to grow slower than the US market (7.4% per year).

High Growth Revenue: GPRO's revenue (4.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GPRO's Return on Equity is forecast to be high in 3 years time (23.2%)


Next Steps

Past Performance

How has GoPro performed over the past 5 years?

-26.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GPRO is currently unprofitable.

Growing Profit Margin: GPRO is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: GPRO is unprofitable, and losses have increased over the past 5 years at a rate of -26.3% per year.

Accelerating Growth: Unable to compare GPRO's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: GPRO is unprofitable, making it difficult to compare its past year earnings growth to the Consumer Durables industry (1.2%).


Return on Equity

High ROE: GPRO has a negative Return on Equity (-59.89%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is GoPro's financial position?


Financial Position Analysis

Short Term Liabilities: GPRO's short term assets ($425.0M) exceed its short term liabilities ($320.6M).

Long Term Liabilities: GPRO's short term assets ($425.0M) exceed its long term liabilities ($235.2M).


Debt to Equity History and Analysis

Debt Level: GPRO's debt to equity ratio (111.2%) is considered high.

Reducing Debt: Insufficient data to determine if GPRO's debt to equity ratio has reduced over the past 5 years.


Balance Sheet

Inventory Level: GPRO has a high level of physical assets or inventory.

Debt Coverage by Assets: GPRO's debt is covered by short term assets (assets are 2.9x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: GPRO has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if GPRO has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Next Steps

Dividend

What is GoPro's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.9%forecastin3Years0%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate GPRO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate GPRO's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if GPRO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if GPRO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of GPRO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of GoPro's salary, the management and board of directors tenure and is there insider trading?

1.8yrs

Average management tenure


CEO

Nick Woodman (44yo)

15.8yrs

Tenure

US$1

Compensation

Mr. Nicholas D. Woodman, also known as Nick, founded GoPro, Inc. in 2004 and has been its Chief Executive Officer since February 2004. Mr. Woodman is the Founder of General Things, Inc. and serves as its C ...


CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD1.00) is below average for companies of similar size in the US market ($USD1.71M).

Compensation vs Earnings: Nick's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.8yrs

Average Tenure

50yo

Average Age

Experienced Management: GPRO's management team is not considered experienced ( 1.8 years average tenure), which suggests a new team.


Board Age and Tenure

2.7yrs

Average Tenure

56yo

Average Age

Experienced Board: GPRO's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

SellUS$18,22207 Aug 19
Tyrone Ahmad-Taylor
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,189
Max PriceUS$4.35
SellUS$53,88115 May 19
Tyrone Ahmad-Taylor
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares8,378
Max PriceUS$6.43
SellUS$856,57321 Mar 19
Silicon Valley Community Foundation, Endowment Arm
EntityCompany
Shares145,000
Max PriceUS$5.91

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 3.6%.


Management Team

  • Brian McGee (59yo)

    Executive VP & CFO

    • Tenure: 3.8yrs
    • Compensation: US$1.94m
  • Sandor Barna (50yo)

    Senior VP & CTO

    • Tenure: 1.8yrs
    • Compensation: US$1.41m
  • Nick Woodman (44yo)

    Founder

    • Tenure: 15.8yrs
    • Compensation: US$1.00
  • Todd Ballard

    VP & Chief Marketing Officer

    • Tenure: 0yrs
  • Laura Robblee

    Vice President of People + Places

    • Tenure: 2.6yrs
  • Eve Saltman (54yo)

    VP of Corporate/Business Development

    • Tenure: 1.8yrs
    • Compensation: US$1.44m
  • Dean Jahnke (45yo)

    Vice President of Global Sales

    • Tenure: 1.5yrs
  • Christopher Clark

    Vice President of Corporate Communications

    • Tenure: 0yrs
  • Kevin Hinge

    Senior Vice President of Operations

    • Tenure: 0.6yrs

Board Members

  • Peter Gotcher (60yo)

    Independent Director

    • Tenure: 5.5yrs
    • Compensation: US$290.87k
  • Ken Goldman (70yo)

    Lead Independent Director

    • Tenure: 2.7yrs
    • Compensation: US$309.87k
  • Zander Lurie (45yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$259.87k
  • Jim Lanzone (48yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$145.56k
  • Susan Lyne (68yo)

    Independent Director

    • Tenure: 2.7yrs
    • Compensation: US$274.87k
  • Rick Welts (66yo)

    Independent Director

    • Tenure: 2.2yrs
    • Compensation: US$261.77k
  • Lauren Zalaznick (56yo)

    Independent Director

    • Tenure: 3.4yrs
    • Compensation: US$292.37k
  • Nick Woodman (44yo)

    Founder

    • Tenure: 15.8yrs
    • Compensation: US$1.00
  • Ty Ahmad-Taylor (51yo)

    Independent Director

    • Tenure: 1.5yrs
    • Compensation: US$237.97k

Company Information

GoPro, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: GoPro, Inc.
  • Ticker: GPRO
  • Exchange: NasdaqGS
  • Founded: 2004
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Market Cap: US$564.842m
  • Shares outstanding: 146.33m
  • Website: https://www.gopro.com

Number of Employees


Location

  • GoPro, Inc.
  • 3000 Clearview Way
  • San Mateo
  • California
  • 94402
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
5G5DB (Deutsche Boerse AG)YesClass A Common StockDEEURJun 2014
GPRONasdaqGS (Nasdaq Global Select)YesClass A Common StockUSUSDJun 2014
5G5XTRA (XETRA Trading Platform)YesClass A Common StockDEEURJun 2014
GPRO *BMV (Bolsa Mexicana de Valores)YesClass A Common StockMXMXNJun 2014
GPROSWX (SIX Swiss Exchange)YesClass A Common StockCHCHFJun 2014
0R1CLSE (London Stock Exchange)YesClass A Common StockGBUSDJun 2014
GPROWBAG (Wiener Boerse AG)YesClass A Common StockATEURJun 2014
5G5ETLX (Eurotlx)YesClass A Common StockITEURJun 2014
GPRO34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EA REPR 1 COM SHS USD0.0001 CL 'A'BRBRLSep 2016

Biography

GoPro, Inc. develops and sells cameras, drones, and mountable and wearable accessories in the United States and internationally. The company offers HERO7, a cloud-connected line of camera; Fusion, a waterp ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/06 00:46
End of Day Share Price2019/12/05 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.