{"id":38122,"date":"2025-03-24T11:35:20","date_gmt":"2025-03-24T11:35:20","guid":{"rendered":"https:\/\/quickassetsmarket.com\/index.php\/2025\/03\/24\/heres-why-the-gopro-stock-price-has-crashed\/"},"modified":"2025-03-24T11:35:20","modified_gmt":"2025-03-24T11:35:20","slug":"heres-why-the-gopro-stock-price-has-crashed","status":"publish","type":"post","link":"https:\/\/quickassetsmarket.com\/index.php\/2025\/03\/24\/heres-why-the-gopro-stock-price-has-crashed\/","title":{"rendered":"Here\u2019s why the GoPro stock price has crashed"},"content":{"rendered":"
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GoPro stock price has crawled back in the past few days as investors buy the dip. After hitting an all-time low of $0.6368 earlier this month, it has risen in the last six consecutive days, and is hovering at its highest point since February 25. It has also jumped by over 30% from its lowest point this year. So, is it safe to buy GPRO for long-term gains?<\/p>\n

Why GoPro stock price has crashed from ATH<\/h2>\n

While GoPro share price has risen in the past few days, it remains down by almost 100% from its all-time high. Its market cap has plunged from over $3 billion at its peak to about $155 million today.<\/p>\n

GoPro\u2019s stock has plunged as the company has continued to suffer over the years. Its annual sales have dropped from $1.16 billion in 2021 to $801 million last year, and analysts anticipate that the slowdown will continue. <\/p>\n

GoPro\u2019s main issue is that it remains to be a one-product company. While its action cameras are highly popular, its attempt to expand its business to other areas failed. The most notable one was the Karma, a drone that it wanted to complement its action cameras.<\/p>\n

Karma failed because of the soaring competition in the drone industry. Most of this competition came from DJI, a Chinese company that dominates the industry today. GoPro also cited having margin pressures when it discontinued the service. <\/p>\n

The company now offers the Hero action camera, which it regularly updates. These upgrades are mostly on features like video stabilization, durability, resolution, and power.<\/p>\n

While these updates are notable, most people don\u2019t see the need to buy a new action camera unless when it is necessary. This explains why the company is now shipping fewer cameras than it did in the past.<\/p>\n

At the same time, GoPro\u2019s business model means that it is highly difficult to grow its subscriptions.<\/p>\n

Read more: GoPro stock price collapsed in 2024: Will it recover in 2025?<\/a><\/p>\n

GPRO growth is decelerating<\/h2>\n

The most recent data shows that the company\u2019s performance continued to decelerate<\/a>. It shipped 581,000 camera units during the quarter, down from 923,000 in the same period a year earlier. This slowdown will likely continue because of the reasons described above.<\/p>\n

GoPro\u2019s revenue dropped to $200 million in the fourth quarter from $295 million a year earlier. Its quarterly loss was $14.4 million a big reversal after the company made a $4.2 million profit in Q4\u201923. This loss was notable because the company reduced its staff from 930 in Q4\u201923 to 696. <\/p>\n

GoPro\u2019s subscription business has stalled, with the subscription and service revenue coming in at $27.2 million, down from $27.5 million in the same period a year earlier.<\/p>\n

Wall Street analysts anticipate<\/a> that GoPro\u2019s business will continue slowing in the coming years. The average estimate is that its first-quarter sales will be $124 million, down by 20% from a year earlier. For the year, the expectation is that the revenue will drop by about 8% to $738 million.<\/p>\n

GoPro stock price analysis<\/h2>\n
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GPRO<\/a> stock chart by TradingView<\/p>\n

The weekly chart shows that the GPRO share price has crashed in the past few years. It dropped from a high of $13.50 in 2021 to below $1. The stock has remained below all moving averages, a sign that bears are in control.<\/p>\n

Therefore, the stock will likely continue falling in the coming months as its growth momentum eases. If this happens, the next point to watch will be at $0.50. On the positive side, however, there are signs that it may go through a short squeeze since it has formed a falling wedge pattern. If this happens, the GoPro stock price will soar to the 50-day moving average at $1.45.<\/p>\n

The post Here\u2019s why the GoPro stock price has crashed<\/a> appeared first on Invezz<\/a><\/p>\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

GoPro stock price has crawled back in the past few days as investors buy the dip. After hitting an all-time low of $0.6368 earlier this month, it has risen in the last six consecutive days, and is hovering at its highest point since February 25. It has also jumped by over 30% from its lowest <\/p>\n","protected":false},"author":1,"featured_media":38123,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":{"0":"post-38122","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-world"},"_links":{"self":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/38122","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/comments?post=38122"}],"version-history":[{"count":0,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/posts\/38122\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media\/38123"}],"wp:attachment":[{"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/media?parent=38122"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/categories?post=38122"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/quickassetsmarket.com\/index.php\/wp-json\/wp\/v2\/tags?post=38122"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}