📊 GPRO Key Takeaways
Is GPRO a Good Investment? Thesis Analysis
GoPro faces severe operational and financial distress with persistent revenue decline (-18.7% YoY), negative operating cash flow (-$20.7M), and ongoing net losses despite marginal improvement. Liquidity ratios critically below 1.0x combined with cash burn indicate the company cannot sustainably cover obligations without asset liquidation or capital infusion.
Revenue is contracting double-digits and the company remains unprofitable with negative operating and free cash flow, while liquidity is tight (sub-1.0 current ratio) and equity is thin. Although losses improved YoY and capex is low with manageable long-term debt, the path to sustained profitability and positive cash generation is unclear. Risk of financing or dilution remains elevated until margins and cash conversion improve.
Why Buy GPRO? Key Strengths
- Gross margin of 33.6% indicates core product economics remain viable despite volume challenges
- Net losses improving 78.4% YoY showing some operational correction
- Cash position of $49.7M provides short-term runway before critical liquidity event
- Mid-30s gross margin offering potential operating leverage if sales stabilize
- Low capital intensity (capex ~$3.36M) supports scalability once profitable
- Long-term debt is modest relative to revenue and assets
GPRO Investment Risks to Consider
- Current ratio 0.91x and quick ratio 0.63x signal inability to meet current liabilities from liquid assets
- Operating cash flow negative at -$20.7M with free cash flow of -$24.0M indicating structural burn unsustainable long-term
- Revenue declining 18.7% YoY with negative operating margin of -12.8% suggests market share loss and operational leverage working in reverse
- Interest coverage ratio of -37.3x means operating income cannot service debt obligations
- ROE at -122.1% and ROA at -21.8% demonstrate value destruction for shareholders and asset base
- Liquidity pressure with current and quick ratios below 1.0
- Continued revenue decline (-18.7% YoY) undermines operating leverage
- Negative OCF/FCF and interest coverage raise refinancing/dilution risk
Key Metrics to Watch
- Operating cash flow trend - sustainability of negative burn rate is critical
- Revenue stabilization/inflection - current decline trajectory unsustainable
- Gross margin maintenance - preservation of product pricing power amid potential distress pricing
- Cash depletion rate and runway to profitability or funding event
- Revenue growth (YoY)
- Operating cash flow (TTM)
GPRO Financial Metrics
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
GPRO Profitability Ratios
GPRO vs Default Sector
How GoPro, Inc. compares to Default sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is GPRO Overvalued or Undervalued?
Based on fundamental analysis, GoPro, Inc. shows some fundamental concerns relative to the Default sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
GPRO Balance Sheet & Liquidity
GPRO 5-Year Financial Trend & Growth Analysis
5-Year Trend Summary: GoPro, Inc.'s revenue has declined by 16% over the 5-year period, indicating business contraction. The most recent EPS of $-0.35 indicates the company is currently unprofitable.
GPRO Growth Metrics (YoY)
GPRO Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $162.9M | -$8.2M | $-0.05 |
| Q2 2025 | $152.6M | -$16.4M | $-0.10 |
| Q1 2025 | $134.3M | -$46.7M | $-0.30 |
| Q3 2024 | $258.9M | -$3.7M | $-0.02 |
| Q2 2024 | $186.2M | -$17.2M | $-0.11 |
| Q1 2024 | $155.5M | -$29.9M | N/A |
| Q3 2023 | $294.3M | $2.5M | $-0.02 |
| Q2 2023 | $241.0M | $2.5M | $0.02 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
GPRO Capital Allocation
GPRO SEC 10-K & 10-Q Filing Analysis
Access official SEC EDGAR filings for GoPro, Inc. (CIK: 0001500435)
📋 Recent SEC Filings
❓ Frequently Asked Questions about GPRO
What is the AI rating for GPRO?
GoPro, Inc. (GPRO) has a Combined AI Rating of SELL from Claude (STRONG SELL) and ChatGPT (SELL) with 83% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are GPRO's key strengths?
Claude: Gross margin of 33.6% indicates core product economics remain viable despite volume challenges. Net losses improving 78.4% YoY showing some operational correction. ChatGPT: Mid-30s gross margin offering potential operating leverage if sales stabilize. Low capital intensity (capex ~$3.36M) supports scalability once profitable.
What are the risks of investing in GPRO?
Claude: Current ratio 0.91x and quick ratio 0.63x signal inability to meet current liabilities from liquid assets. Operating cash flow negative at -$20.7M with free cash flow of -$24.0M indicating structural burn unsustainable long-term. ChatGPT: Liquidity pressure with current and quick ratios below 1.0. Continued revenue decline (-18.7% YoY) undermines operating leverage.
What is GPRO's revenue and growth?
GoPro, Inc. reported revenue of $651.5M.
Does GPRO pay dividends?
GoPro, Inc. does not currently pay dividends.
Where can I find GPRO SEC filings?
Official SEC filings for GoPro, Inc. (CIK: 0001500435) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is GPRO's EPS?
GoPro, Inc. has a diluted EPS of $-0.59.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.
Is GPRO a good stock to buy right now?
Based on our AI fundamental analysis in April 2026, GoPro, Inc. has a SELL rating with 83% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.
Is GPRO stock overvalued or undervalued?
Valuation metrics for GPRO: ROE of -122.1% (sector avg: 15%), net margin of -14.3% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
Should I buy GPRO stock in 2026?
Our dual AI analysis gives GoPro, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is GPRO's free cash flow?
GoPro, Inc.'s operating cash flow is $-20.7M, with capital expenditures of $3.4M. FCF margin is -3.7%.
How does GPRO compare to other Default stocks?
Vs Default sector averages: Net margin -14.3% (avg: 12%), ROE -122.1% (avg: 15%), current ratio 0.91 (avg: 1.8).