GoPro Inc. (NASDAQ: GPRO) stock jumped 4.50% on Friday to $6.74 against a previous-day closing price of $6.45. With 2.14 million shares changed hands, the volume of the stock remained lighter than its average volume of 2.21 million shares. During the session, the Consumer Electronics company that operates in wider Technology sector, reached to the highest price of $6.77 whereas the lowest price it dropped to was $6.50. The 52-week range on GPRO shows that it touched its highest point at $12.14 and its lowest point at $5.24 during that stretch. It currently has a 1-year price target of $9.80. Beta for the stock currently stands at 1.16.
Price Performance and Earnings:
Stock performance is one of the indicators that investors use to determine whether they will profit from a stock. The price performance of GPRO was up-trending over the past week, with a rise of 9.24%, but this was up by 18.25% over a month. Three-month performance dropped to -27.06% while six-month performance fell -27.06%. The stock lost -33.07% in the past year, while it has lost -34.63% so far this year. A look at the trailing 12-month EPS for GPRO yields 2.37 with Next year EPS estimates of 1.14. For the next quarter, that number is 0.07. This implies an EPS growth rate of 607.60% for this year and 25.14% for next year. EPS is expected to grow by 10.00% annually over the next five years; however, over the past five years, the company experienced an annual growth rate of 22.50%.
Float and Shares Shorts:
At present, 156.86 million GPRO shares are outstanding with a float of 129.11 million shares on hand for trading. On Jul 14, 2022, short shares totaled 10.86 million, which was 6.91% higher than short shares on Jun 14, 2022. In addition to Mr. Nicholas D. Woodman as the firm’s Founder, CEO & Chairman, Mr. Brian T. McGee serves as its Exec. VP, CFO & COO.
Through their ownership of 72.74% of GPRO’s outstanding shares, institutional investors have majority control over the company. Other institutions hold 39.36% of GPRO, in contrast to 32.79% held by mutual funds. Shares owned by individuals account for 17.25%. As the largest shareholder in GPRO with 8.83% of the stake, The Vanguard Group, Inc. holds 11,572,186 shares worth 11,572,186. A second-largest stockholder of GPRO, BlackRock Fund Advisors, holds 8,639,644 shares, controlling over 6.59% of the firm’s shares. Prentice Capital Management LP is the third largest shareholder in GPRO, holding 7,590,927 shares or 5.79% stake. With a 2.79% stake in GPRO, the Vanguard Total Stock Market Index is the largest stakeholder. A total of 3,657,631 shares are owned by the mutual fund manager. The Vanguard Small Cap Index Fund, which owns about 2.40% of GPRO stock, is the second-largest Mutual Fund holder. It holds 3,146,299 shares valued at 17.4 million. iShares Russell 2000 ETF holds 2.23% of the stake in GPRO, owning 2,922,227 shares worth 16.16 million.
Reading analyst opinions is an effective way to decide where to invest, and there are several opinions available for GPRO since 9 analysts follow the stock currently. There are 5 analysts who recommend BUY ratings, while 1 suggest SELL ratings. Of the remaining analysts, 3 believe that the stock is worth HOLDING, 0 give it an OVERWEIGHT rating, and 0 thinks that it’s UNDERWEIGHT. In the same way, a target price assigned to a stock can also reveal much about its potential. With GPRO analysts setting a high price target of $13.00 and a low target of $8.00, the average target price over the next 12 months is $10.43. Based on these targets, GPRO could surge 92.88% to reach the target high and rise by 18.69% to reach the target low. Reaching the average price target will result in a growth of 54.75% from current levels.
EPS: Estimates vs Actual
It is also common to use earnings estimates to evaluate a firm’s growth potential and to determine trading strategy. GPRO will report FY 2022 earnings on 02/02/2023. Analysts have provided yearly estimates in a range of $1.00 being high and $0.76 being low. For GPRO, this leads to a yearly average estimate of $0.88. The earnings surprise of a firm occurs when the actual results change from the consensus earnings estimate. GoPro Inc. surprised analysts by $0.03 when it reported $0.09 EPS against a consensus estimate of $0.06. The surprise factor in the prior quarter was $0.06. Based on analyst estimates, the high estimate for the next quarter is $0.09 and the low estimate is $0.04. The average estimate for the next quarter is thus $0.07.
Summary of Insider Activity:
Insiders traded GPRO stock several times over the past three months with 10 Buys and 14 Sells. In these transactions, 214,131 shares were bought while 170,802 shares were sold. The number of buy transactions has increased to 45 while that of sell transactions has risen to 67 over the past year. The total number of shares bought during that period was 3,074,984 while 2,897,161 shares were sold.