Tag Archives: GoPro

GoPro slumps 33% after potential sale

GoPro slumped as much as 33% to $5.04 per share, its lowest price since its IPO in 2014. However, by the close, it had recovered to settle 12.77% lower at $6.56. The sharp slump was mainly attributable to weaker-than-expected revenues in the important holiday period. During the fourth quarter, the group’s sales came in at only $340m, much lower than its own previous estimates of $480m and missing analysts’ forecasts of $472m. The fall might have also have been prompted by the announcement the group is putting itself up for sale. Or the decision to take an $80m hit and discontinue its Karma drones and the Hero line of cameras. It could also have been the announcement it would cut more than 20% of its work force. In response to the dismal announcements the CEO, Nick Woodman, previously one of the best compensated executives in the US, has cut his salary from $287.2m per year to $1.

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