Categories Analysis, LATEST, Other Industries

Oppenheimer bullish on GoPro after HERO7 launches

GoPro (GPRO) has a new growth strategy and Oppenheimer seems optimistic about it. An analyst at the firm has changed the stock’s rating from Perform to Outperform and has set the price target at $9. GoPro unveiled three new products last week, which helped build the firm’s confidence in the company and its new strategy.

Oppenheimer pointed out that the company has reduced its operating expenses significantly. By launching new products which are easy to use, reducing inventory and eliminating the unsuccessful elements from its business, the firm believes GoPro is on track to achieve growth in 2019.

Last week, GoPro launched the HERO7 camera in three models – Black, Silver and White. HERO7 Black, the flagship model priced at $399, comes with similar traits as its antecedent Hero 6 but with the addition of an innovative video stabilization feature called HyperSmooth Stabilization.

Oppenheimer believes GoPro is on track to achieve growth in 2019

The HERO7 Silver and White models come with fewer features than the HERO7 Black, do not have HyperSmooth Stabilization and are priced at $299 and $199, respectively.

GoPro CEO Nick Woodman told The Verge that the company plans to sell only the three Hero 2018 models for the time being and is also considering the removal of certain accessories like handheld stabilizers.

GoPro aims to reach out to the social media-savvy young generation with these novel features and Woodman believes the company will be able to achieve profitability this year. GoPro had struggled earlier in 2018 after problems with its Karma drone forced it to shut down the operation and lay off 20% of its workforce. There were also speculations that the company could be acquired.

The stock soared 10% earlier in the day following the upgrade and is now trading over 6% at $7.07 as of 3:20 pm ET.

Most Popular

HPE Earnings: Hewlett Packard Q1 2024 profit drops but beats Street view

Information technology solutions provider Hewlett Packard Enterprise (NYSE: HPE) on Thursday reported lower earnings and revenues for the first quarter of 2024. Earnings, however, exceeded analysts’ forecasts. First-quarter profit, excluding

After entering FY24 on a high note, Costco is all set to report Q2 results

Costco Wholesale Corporation (NASDAQ: COST) stands out in the retail space for its unique business model that enables the warehouse behemoth to grow store traffic and market share constantly. Currently,

Hormel (HRL) expects continued momentum from its foodservice business in FY2024

Shares of Hormel Foods Corporation (NYSE: HRL) soared over 13% on Thursday after the company delivered better-than-expected earnings results for the first quarter of 2024 and reaffirmed its outlook for

Tags

Add Comment
Loading...
Cancel
Viewing Highlight
Loading...
Highlight
Close
Top