|Bid||0.00 x 39400|
|Ask||0.00 x 2900|
|Day's Range||5.62 - 5.90|
|52 Week Range||4.00 - 7.64|
|Beta (3Y Monthly)||0.49|
|PE Ratio (TTM)||N/A|
|Earnings Date||Jul 31, 2019 - Aug 5, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||7.38|
Unlimited Cloud Storage, Damaged Camera Replacement and 50% Accessory Discounts for $4.99 a Month SAN MATEO, Calif. , June 18, 2019 /PRNewswire/ -- GoPro, Inc. (NASDAQ: GPRO) today announced that its PLUS ...
GoPro Inc NASDAQ/NGS:GPROView full report here! Summary * Bearish sentiment is low and declining Bearish sentimentShort interest | PositiveShort interest is low for GPRO with fewer than 5% of shares on loan. Additionally, this was an improvement in sentiment as investors who seek to profit from falling equity prices reduced their short positions on June 11. Money flowETF/Index ownership | NeutralETF activity is neutral. ETFs that hold GPRO had net inflows of $1.12 billion over the last one-month. While these are not among the highest inflows of the last year, the rate of inflow is increasing. Economic sentimentPMI by IHS Markit | NeutralAccording to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Consumer Goods sector is rising. The rate of growth is weak relative to the trend shown over the past year, however. Credit worthinessCredit default swapCDS data is not available for this security.Please send all inquiries related to the report to email@example.com.Charts and report PDFs will only be available for 30 days after publishing.This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.
Google is reportedly moving manufacturing of its U.S.-bound line of Nest products and server motherboards out of China, in hopes of avoiding the impact of President Trump’s steadily escalating trade war with the country.
With some easing trade war hostilities and Wall Street cozying up to a "Fed Put," it's time to park a bit of speculative cash in three semiconductor stocks that are shaping up for so strength in the weeks and months ahead.The sky is falling shtick from May and a bit of early June gloom in the broader market have been quickly lifted courtesy of averted tariffs with Mexico and optimism that the Federal Reserve is ready to indulge bulls with "prophylactic rate cuts" if Wall Street can't find the wherewithal to right itself up on its own.Of course there are no guarantees a bearish U-turn won't rear its ugly head again. There are still the trade war negotiations with China later this month. And despite investors' conviction, any confirmation of a Fed Put is still a week out when the FOMC holds its next two-day meeting.InvestorPlace - Stock Market News, Stock Advice & Trading TipsNevertheless, under the basic assumption that 2019's bull market has been resuscitated with the promising price action of the past few days, investors that want additional market exposure tied to these positive developments should consider semiconductor outfits with ties to autonomous vehicles. * 7 A-Rated Stocks to Buy Under $10 The three driverless stocks to buy are Nvidia (NASDAQ:NVDA), NXP Semiconductors (NASDAQ:NXPI) and Ambarella (NASDAQ:AMBA). With decent entry points on the price charts and using well-placed, human-engineered exit strategies, investors can feel more confident about driving healthier returns into their portfolios. Nvidia (NVDA) Click to EnlargeNvidia is the first of our semiconductor stocks to buy today. Straight from the horse's mouth, "NVIDIA uses the power of AI and deep learning to deliver a breakthrough end-to-end solution for autonomous driving -- from data collection, model training, and testing in simulation to the deployment of smart, safe, self-driving cars." I couldn't have said it any better myself.On the price chart, NVDA stock is looking set to zip higher. Technically, shares have formed and confirmed a two-week reversal pattern that could be the beginning of a new uptrend.This candlestick signal for going long Nvidia is backed by an oversold stochastics signal. It also enjoys key zone support from its ten-year, 50% Fibonacci cycle, 200-week simple moving average and 76% retracement level tied to the market's ubiquitous December bottom.Buy Strategy: NVDA stock is ready for purchase today. And while shares of this driverless stock can be volatile, smallish exposure of 7% also looks like enough leeway within the two-week bottoming pivot to abort the position if necessary. NXP Semiconductors (NXPI) Click to EnlargeNXP Semiconductor's claim to fame within the driverless universe is that it's the world's largest automotive chipmaker by sales and has an autonomous driving platform called BlueBox. BlueBox allows automakers to convert traditional cars into driverless vehicles with an onboard computer.Technically, shares of this driverless stock look very attractive after pulling back over the last month. NXPI stock has managed to find support at the 50% retracement level tied to its December low, as well as the share's 200-day simple moving average.With the December bottom also finding support at its life-time 50% Fibonacci level and forming a nice monthly chart up-channel in the process, along with stochastics trending higher, NXPI stock looks positioned for buying today. * 7 Dark Horse Stocks Winning the Race in 2019 Buy Strategy: Buy NXPI stock and use the low of the monthly pullback as an initial stop-loss to keep technical and dollar exposure at acceptable levels. On the upside, use this driverless stock's all-time-high and channel resistance (roughly $125 - $132) for a profit-taking target. Ambarella (AMBA) Click to EnlargeAmbarella's past reliance on chip sales to action camera outfit GoPro (NASDAQ:GPRO) was both a boon and a bust.But it's time to let bygones be bygones. Ambarella is now using its chip expertise to tackle the autonomous automobile market. The company's camera sensors and processors are being used for computer vision, driver assistance cameras, in-car cameras as well as parking assistance technology.Ambarella has its detractors. Shares do maintain short interest of around 16%. And Ambarella's latest quarterly results do suggest the company still has a long road in front of it.Nevertheless, with its computer vision (CV) technology a potential huge windfall and shares recently completing a three-year long double bottom pattern more than 70% removed from its GoPro-driven halcyon highs, I do see the opportunity for putting AMBA stock on the radar for buying.Buy Strategy: My recommendation in AMBA stock is to buy shares above $45. That's currently 8.5% above Monday's closing print. The idea is to avoid potential one- or two-day short squeezes and only buy on strength hinting the bears may be overstaying their welcome as a more successful next chapter in Ambarella looks to unfold.Disclosure: Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Dark Horse Stocks Winning the Race in 2019 * 6 Chinese Stocks to Sell That Are Suffering From a Digital Ad Slowdown * 4 Technology Stocks Blasting Higher Compare Brokers The post 3 Semiconductor Stocks to Buy Now appeared first on InvestorPlace.
Today we will run through one way of estimating the intrinsic value of GoPro, Inc. (NASDAQ:GPRO) by taking the foreast...
GoPro (GPRO) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.
There's no denying Twilio (NYSE:TWLO) has been an impressive performer over the course of the past couple of years. Since the end of May 2017, Twilio stock has rallied more than 120%, backed by noteworthy sales growth.Source: Web Summit Via FlickrThe lack of actual GAAP earnings hasn't been a problem for its buyers, who apparently believe the company can address such minor, pesky problems at a later date. Except, maybe it won't be able to address that profit problem at a later date when it desperately needs to. And, even if it can, it may not matter.Take a closer look at Twilio, and you'll see prior red-hot growth rates aren't sustainable. Revenue is projected to improve by an amazing 70% this year, versus last year's 77%. Next year's projected top-line growth of 34% is still huge but a relative letdown. The following year's expected revenue growth of 26% is also better than average, but far from compelling to a crowd of TWLO stock owners accustomed to much more.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Bank Stocks to Leave in the Vault Worse, while Twilio's top line is stabilizing and normalizing, there's still not a hint of actual income let alone real income growth as that revenue rally starts leveling off. That's a problem for a ticker valued as richly as Twilio stock. Twilio, Reality and PerceptionFans and followers have most certainly already prepared their counterarguments, ranging from "You just don't understand the business" to the (fair and accurate) point that Amazon.com (NASDAQ:AMZN) wasn't profitable for years. A well-rehearsed crowd is also going to note that on an operational basis, Twilio actually is profitable. They'll argue GAAP numbers aren't an indication of the true strength of the business.All three arguments break down under scrutiny though.As for the Amazon argument, for every Amazon, there are five more companies like it that investors liked even more in their infancy that never survived. Palm Pilots, GeoCities, Gizmondo and etoys.com are just some of the names that come to mind.They all had a loyal fan base, and some of them even made a go of it. None of them had real staying power. They were unable to turn an actual profit (not just an operating profit) long enough to remain intact.As for the business itself, there's a distinct lack of barrier to entry. Now that Twilio and others have proven there's a market for cloud-based self-service-everything through the use of apps, more companies can replicate the idea.And they are. Nexmo and Bandwidth along with several other unfamiliar names are quietly moving into a price war with one another, but more concerning than that, powerhouse players like Cisco Systems (NASDAQ:CSCO) are slowly encroaching onto Twilio's turf.No young, unprofitable outfit wants to go toe-to-toe with a Cisco.And, as for the lack of real earnings, this is where the bullish case for Twilio stock starts to break down.Just for the sake of argument, let's say Twilio manages in the foreseeable future to drive typical tech profit margins of 10% of revenue. With 2021's projected revenue of $1.86 billion translating into earnings of $186 million, TWLO stock is still priced at a stunning 86 times its long-term forward-looking earnings.And of course, that's a stretch assumption. As the top line's ascent starts to fade along with operating income growth, reported (or GAAP) income is expected to continue to deteriorate.Sooner or later it's going to have to make some money, but it's not clear that's in the cards.Underscoring the concern that the bigger the company gets, the uglier its fiscal results become, is the cash flow trend to date.For a short while last year Twilio actually mustered positive cash flow, but on the heels of best-ever revenue last quarter, operating cash flow turned deeply negative again.It tacitly suggests that scale works against, rather than for, the business that's become increasingly crowded and now entered a price war/outspending phase. Bottom Line for Twilio StockPerhaps the final argument against any bearish thesis for Twilio is the fact that despite all the reasonable concerns, analysts still love it. The pros collectively rate it a little better than a "Buy" (stopping short of a "Strong Buy"), and the consensus target of $146.59 is 15% higher than the current value of Twilio stock. Surely this many analysts can't be wrong.They're not "wrong" per se, but they arguably are speculating.It's a reality that not even most people in the research industry care to concede, but these professional stock-handicappers are just as prone to buying into hype as the average retail investor is. This is one of those times where analysts may be making optimistic calls for the wrong reason. Maybe it's fear of being on the wrong side of the mob.So far it's worked out. Just bear in mind that the consensus target price for GoPro (NASDAQ:GPRO) back in 2014 shortly after its IPO was $60. Reality has dragged GPRO back to its current price near $6.Analysts dive into the hype-pool too. Too many of them choose to not even discuss a fan-favored company's weak spots, so the average investor won't either.That doesn't mean Twilio doesn't have them though.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 10 Heavily Shorted Stocks to Sell -- Because the Bears Are Right * 7 Bank Stocks to Leave in the Vault * 7 Stocks for You to Profit From (Legal) Insider Trading Compare Brokers The post The Really Risky Side of Twilio Stock Nobody Wants to Talk About appeared first on InvestorPlace.
Shares of GoPro were at 2019 highs in mid-May as investors cheered its decision to move production out of China and into Mexico. Then came the threat of tariffs on Mexico.
Investors shouldn't take short sellers lightly. Whatever an investor's opinion of short sales, short sellers usually are taking a contrarian opinion -- and doing the work to back that opinion up. It makes sense for investors to pay attention because short sellers may be identifying prime stocks to sell.Short sellers have to do their work thoroughly because short selling is a risky strategy. In theory (albeit not always in practice), short-selling losses can be unlimited. Crowded short trades can lead to a so-called short squeeze. Even without a squeeze, fees paid to borrow a stock can wind up erasing much, if not all, of the gains from the trade. * 7 Stocks to Buy for Monster Growth In other words, short-selling usually requires quite a bit of conviction. And for these 10 heavily shorted stocks, the conviction makes a bit of sense. All ten stocks have real risks and real bear cases. There are reasons why short sellers are looking to profit from the declines in these stocks and plenty of reasons these are stocks to sell if you own them already.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Bed Bath & Beyond (BBBY)Source: Mike Mozart via FlickrBed Bath & Beyond (NASDAQ:BBBY) shares have been falling since the beginning of 2015, but short sellers have only targeted BBBY in earnest more recently. Just two years ago, short interest was below 10% of the float. It's now, depending on the source, close to 40%.Even some seemingly positive news hasn't dissuaded BBBY bears. Fiscal third-quarter earnings in January beat estimates and sent the stock soaring. An activist effort in March drove more optimism and led to the resignation of Bed Bath & Beyond's CEO earlier this month.Each spike higher has been followed by yet another move down lower, however, and with good reason. Earnings are declining. Competition from Amazon.com (NASDAQ:AMZN) will only intensify. And as I wrote in March, it looks like the activists may be too late.BBBY stock is fading again, trading back at levels seen before the activists' stake was disclosed. There's little reason at the moment to think that the multi-year downward trend will reverse. If you own BBBY, it's a stock to sell. National Beverage (FIZZ)Source: LaCroixNational Beverage (NASDAQ:FIZZ) shares soared earlier this decade on the back of growing demand for its LaCroix sparkling water. FIZZ shares started 2015 trading around $20; by the middle of 2017 they had reached $120. And now, they belong on this listAnd somewhat ironically, it was short seller Glaucus Research in 2016 that initially brought attention to the stock. Volume had risen heading into Glaucus' report, but it spiked even higher after the release and kept rising from there. With a flood of new buyers, FIZZ shares quickly reversed an initial decline and would triple in less than a year.The optimism made sense. As I wrote just last year, National Beverage seemed a logical takeover target for Coca-Cola (NYSE:KO) and Pepsi (NYSE:PEP) as sparkling water growth threatened their legacy soda businesses. Impressive revenue growth drove a case for National Beverage as a standalone business as well.But short sellers have returned of late, though the company's thin float (only about one-quarter of shares outstanding) amplifies their size. And so far, the shorts have been right: FIZZ shares have fallen 60% just since September.LaCroix's growth has come to a screeching halt amid competition from Pepsi's Bubly, Nestle (OTCMKTS:NSRGY) brand Ice Mountain and other private and private-label plays. A questionable lawsuit hurt the brand. Plans to expand into the convenience store, restaurant and international markets haven't panned out. * 10 High-Tech Grad Gifts for 2019 As InvestorPlace's Luke Lango pointed out in March, FIZZ stock is cheap. But with management apparently having little answer for rising competition, and sales headed in the wrong direction, it should be cheap. And unless something changes quickly, FIZZ is likely to get even cheaper. J.C. Penney (JCP)Source: Shutterstock It's no surprise that short sellers have targeted J.C. Penney (NYSE:JCP). Department stores are struggling, and the bear case for the group is that the struggles simply won't come to an end. Online competition isn't going anywhere. Mall traffic continues to decline. There are simply too many retailers and too many stores meaning some will fall by the wayside, with J.C. Penney potentially at the top of the list.Here, too, the shorts are winning at the moment, with JCP at an all-time low. A 5.5% decline in same-store sales in Q1 sent JCP stock sliding. Weak results from peers like Nordstrom (NYSE:JWN) and Kohl's (NYSE:KSS) only added to the negativity. I wrote in December that a turnaround seemed highly unlikely; results since do little to challenge that thesis.Investors looking to time the bottom in JCP should remember that it's not just short-sellers pressuring the stock - or pressuring the company. JCP makes our list of stocks to sell because the bond markets are pricing in a significant possibility of a restructuring. J.C. Penney's bonds due November 2023 trade just over 50, and yield a staggering 27%. Both figures price in a significant likelihood that JCP will have to restructure before those bonds mature.In that scenario, JCP stock almost certainly goes to zero. It's precisely that outcome on which shorts are betting on, and J.C. Penney has done little so far to suggest that bet isn't worth taking. Eastman Kodak (KODK)Source: Shutterstock For the most part, investors have moved on from Eastman Kodak (NYSE:KODK). At the height of the cryptocurrency boom (or bubble) in early 2018, KODK shares soared upon the release of the company's KodakCoin. At one point, Kodak stock tripled in a matter of a few sessions.But the gains were short-lived. Crypto optimism faded. The company made no apparent progress made on KodakCoin. Investors abandoned the story, and as a result, KODK shares have continued to decline. They now trade well below levels seen before the huge gains of January 2018. * Ranking the Top 10 Stock Buybacks of Last Year To be fair, there has been some decent news of late. The sale of the company's Flexographic Packaging Division in April, along with a debt refinancing, have significantly improved Eastman Kodak's balance sheet. But revenues continue to head in the wrong direction, and Eastman Kodak isn't profitable even at the EBITDA line. As long as that continues, KODK shares are likely to keep dropping. This is a stock to sell. Carvana (CVNA)Source: Carvana Like FIZZ, the short interest in Carvana (NYSE:CVNA) is amplified by a thin float. A little over one-fourth of shares outstanding actually trade. As such, some 40%+ of the float, but only about 11% of shares outstanding, have been sold short. Both figures may come down further after a recent stock offering.Still, since its 2017 IPO, CVNA quickly has become a battleground stock. The bull case, as Luce Emerson detailed last month, is that Carvana is disrupting the auto industry. In 2014, the company sold a little over 2,000 cars. Four years later, the figure was over 94,000. Margins are improving. And the opportunity is enormous, with Carvana aiming at a dealership model that has changed little in recent years despite the technology-driven sea change seen in the rest of retail.The bear case, however, is that Carvana basically is buying its growth. Margins are improving, but remain sharply negative. Longer term, there simply may not be enough profit dollars -- ever -- to support the infrastructure required to offer delivery, car vending machines, and other benefits to buyers.The battleground has echoes of tech stocks like Netflix (NASDAQ:NFLX), where bears cite early-stage losses and bulls focus on the longer-term opportunity. But for Carvana, there are two concerns that support a more bearish interpretation.First, scale isn't nearly as beneficial: incremental revenue dollars from streaming customers, for instance, are enormously high-margin. That's not necessarily true for the capital- and labor-intensive Carvana model. Secondly, CVNA is being valued as a tech play, trading at over 4x revenue on an enterprise basis even after a recent pullback. That seems too high, even if Carvana's model is more successful than the most bearish scenarios predict.The argument over CVNA is likely to go on for some time. From here, it looks like the bears have the stronger case, at least for now. Boston Beer (SAM)Source: Phil Dubois via Flickr (Modified)The case against Boston Beer (NYSE:SAM) as one of the top stocks to sell isn't so much about the company. It's about the industry. Craft beer demand has slowed -- yet supply has increased exponentially. There are nearly double the number of breweries in the U.S. that there were just four years ago. That increase in options has allowed many pubs and retailers to focus heavily on local craft and provided intense competition for SAM's flagship Samuel Adams Boston Lager.Boston Beer has tried to respond by adding new products. Non-beer options now drive more than half the company's revenue, as Dana Blankenhorn detailed last year. But it's tough to argue that the strategy has been a roaring success: revenue in 2018 was just 3% higher than that of 2014, and net earnings declined over that period despite a lower tax rate.Yet SAM stock has soared, recently touching an all-time high, and now trades at a whopping 34x 2020 EPS estimates. Given that other beer stocks like Anheuser-Busch InBev (NYSE:BUD) and smaller rival Craft Beer Alliance (NASDAQ:BREW) have crashed, those gains, and that multiple, both seem like too much. * 7 Stocks to Sell After Earnings Destroyed Their Long-Term Stories To be fair, earnings have improved of late, and the market liked the acquisition this month of Delaware's Dogfish Head Brewery. But Boston Beer paid a peak price (based on per-barrel multiples) for Dogfish Head, and even some growth doesn't look like enough to support the current price. It still looks like craft beer on the whole is headed for a reckoning - and at some point, the same will be true for SAM. GoPro (GPRO)Source: GoPro Shares of action-camera manufacturer GoPro (NASDAQ:GPRO) are rallying again. The stock nearly touched an all-time low in December, but a stronger broad market brought in buyers looking for a turnaround. GPRO shares briefly touched a 17-month high earlier this month before pulling back.And there has been some good news here. Q4 earnings were solid, and the company guided for profitability for full-year 2019, albeit on an adjusted basis. Paid subscriptions should add recurring and high-margin revenue and potentially a base to keep GoPro profitable going forward.But as I wrote in April, it's not clear what else GoPro can do from here to drive more growth. Gross margins look to be tapped out, based on management guidance. GoPro can't take much market share; it essentially is the market. The company's efforts to compete in the drone market never panned out.Unless demand somehow accelerates -- which seems unlikely -- GoPro's profits are likely to be flat, or worse. And even below $7, that's not good enough. Past rallies always have faded, and about 32% of the company's float is sold short in a bet that pattern will continue. That bet seems wise -- and the pullback may already be on the way. This is a stock to sell if you own it. Blue Apron (APRN)Source: Shutterstock The short case for meal kit provider Blue Apron (NYSE:APRN) is reasonably simple: the company's business model simply doesn't work. Certainly, public market investors have acted on that belief from the jump.Blue Apron originally tried to price its 2017 IPO at $15 to $17, but wound up settling for just $10 per share. Even that price proved to be too high: APRN rallied only briefly before falling, and shares have declined almost without exception ever since. APRN trades at $0.70 on the moment and will be executing a reverse split to maintain its NYSE listing.Some shorts appear to have covered: about 14% of the float is sold short, but only about 7% of total shares outstanding. But the short case here still holds. I wrote in late 2017 that APRN was likely headed to zero, and even some recent changes haven't changed that opinion. The announcement of a new CEO last month drove some short-lived optimism, but the same thing happened eighteen months ago. In both cases, the gains were short-lived. * 5 Stocks Under $10 With Big Upside Potential Blue Apron has slashed marketing expense in a bid to salvage profits: marketing expense declined over 60% year-over-year in Q1. The company did reach EBITDA profitability, but revenue dropped some 28% in the process. Blue Apron still needs to figure out a way to cut costs and grow revenue and that seems unlikely at best. The short case here remains what it's been since 2017: APRN very well could head to zero, which means 100% returns on a short trade. Sell this stock if you don't want to be on the wrong end of it. Mattel (MAT)Source: Shutterstock Toy manufacturer Mattel (NASDAQ:MAT) has some positive attributes. Barbie and Hot Wheels may not be as popular as they once were, but both still drive enormous annual sales worldwide. Last year's bankruptcy of Toys 'R' Us hurt revenue. But the company has room to adapt to new channels, including online sales. The company has even shown signs of life of late, with headline beats in both fourth quarter 2018 and first quarter 2019 results.But the key problem for Mattel remains: a massive amount of debt. Mattel owes nearly $3 billion to creditors, yet Adjusted EBITDA over the past four quarters is just $330 million. That's a 9x leverage ratio. A hugely concerning figure, and one that explains why the company's long-dated debt trades at a substantial discount to par.Mattel likely isn't going bankrupt any time soon, admittedly. But the equity here still has a value of nearly $4 billion, and that figure can continue to come down unless the company somehow jumpstarts growth. Aggressive cost-cutting largely has been realized -- which means the company needs to see sales rebound. It's not likely to happen, and short sellers continue to bet that it won't. If they're right, MAT, which touched a 25-year low in December, has plenty of room to keep falling. GameStop (GME)Source: Shutterstock Last on our list of stocks to sell has been a target for a while. Short sellers have had their sights set on video-game retailer GameStop (NYSE:GME) for years now. The thesis has been simple: direct digital downloads of video games will end GameStop's business model. As Luke Lango put it on this site last month, GameStop will become the next Blockbuster Video, a chain decimated by technological shifts.GameStop management has seen the shift coming and tried to pivot in response. Through acquisitions, it built out its Technology Brands division, comprised of Simply Mac stores reselling Apple (NASDAQ:AAPL) products and a Spring Mobile business that operated wireless stores for AT&T (NYSE:T). In its namesake stores, the company tried pushing more collectibles, a way to serve the existing customer base even if those customers were buying their games directly from developers.The shift didn't work. GameStop has sold off both its Technology Brands businesses. In-store sales turned negative last year and are guided to plunge 5-10% this year, guidance that led GME to crumble after Q4 earnings.All that said, at this point GME might look like a dangerous short. The company closed the fourth quarter with roughly $800 million in net cash -- a figure roughly equivalent to its current market capitalization. It's maintained its dividend, which now yields a whopping 19%, and is looking to buy back shares. * 7 Stocks to Buy for Monster Growth But there's also nearly $1 billion in operating lease commitments on the books -- and a real possibility that GameStop will spend that capital in an effort to keep itself alive in one form or another. Companies very rarely quietly wind themselves down -- and short sellers are betting that GameStop won't, either. As cheap as GME looks right now, it looks like a value trap.As of this writing, Vince Martin has no positions in any securities mentioned. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Stocks to Buy for Monster Growth * Ranking the Top 10 Stock Buybacks of Last Year * 5 Stocks Under $10 With Big Upside Potential Compare Brokers The post 10 Heavily Shorted Stocks to Sell -- Because the Bears Are Right appeared first on InvestorPlace.
CEO, Chairman of the Board of Gopro Inc (NASDAQ:GPRO) Nicholas Woodman sold 1,400,000 shares of GPRO on 05/29/2019 at an average price of $6.78 a share.
Why Roku and GoPro Shares Fell on May 28(Continued from Prior Part)Revenue growth is a concernThough GoPro (GPRO) stock has gained an impressive 60.0% in 2019, it’s fallen close to 80% since its IPO in June 2014. GoPro could be immune to trade war
Why Roku and GoPro Shares Fell on May 28(Continued from Prior Part)GPRO’s returnsShares of consumer technology stock GoPro (GPRO) fell 5.8% on May 28 to close the day at $6.78. Despite the recent pullback, GoPro shares have outperformed the
Even the stock market's best stocks eventually break down. Top stock of 2015 Ambarella showed numerous signals of when to sell stocks as it peaked, then headed sharply lower.
Send in Any Older-Generation GoPro - or Any Other Digital Camera - and Receive EUR 100 off HERO7 Black or Fusion at GoPro.com SAN MATEO, Calif. , May 24, 2019 /PRNewswire/ -- GoPro, Inc. (NASDAQ: GPRO) today ...
As far as newly minted stocks go, China's electric car maker Nio (NYSE:NIO) is off to a miserable start. Nio stock, currently trading near $4.00, is now down more than 30% from its September IPO price. Perhaps the startup isn't the next Tesla (NASDAQ:TSLA) after all.Source: Shutterstock Or maybe it is -- and investors only now remember one doesn't simply turn a multi-billion dollar enterprise into a profitable success overnight.That is actually the case here, to be clear. As we've seen far too often within just the past several months, investors are willing to dive head-first into a euphoric initial public offering based on a story, ignoring the fact that it's a sales pitch. Only afterwards do those pesky fundamentals start to matter, deflating puffed-up public offerings. Nio is the real deal, though. Even analysts expect big things soon.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe period between the public offering and validation, however, could be a rough one. Been There, Done ThatMore than a few recent public offerings have turned out punitive for early believers.GoPro (NASDAQ:GPRO), for instance, now trades 70% lower than its 2014 IPO price. As it turns out, nobody disputes the company makes the world's best action cameras. It just so happens that most consumers don't care to own one.Snap (NYSE:SNAP) is presently valued about one-third less than its public-offering price (and 60% less than its post-IPO high) not because it's a poor social networking platform, but simply because consumers don't need another one other than Facebook. * 10 Small-Cap Stocks That Look Like Bargains Demand or marketability aren't the problem here, however. Electric carmaker Nio is, more than anything else, a name that went public too soon.Founded in 2014 and initially owned by Tencent Holdings (OTCMKTS:TCEHY), Hillhouse Capital and founder and CEO Bin Li just to name a few, the company was largely designed to recreate what Tesla had done to date -- but do it better, and do it in China. While at the time of its September IPO, it had only made a few hundred vehicles, by the end of last year the company made almost 13,000 of its one-and-only ES8. The company clearly did something productive with the $1 billion it raised in that initial round of fund-raising.Nio and the early buyers of Nio stock still learned a quick lesson the hard way, however. That is, its vehicles may be just as marketable as Tesla's, and nobody doubts the company can scale up (existing automaker JAC, in fact, has agreed to manufacture all the Nio-branded EVs the company wants), but Tesla had something back in 2010 that Nio didn't have last year -- something new (at the time) to tout that made a lot of sense (electric vehicles), addressing a market that nobody else was competing in (at the time), and making a pitch nobody else could make at the time.What Nio should have done is demonstrate a clear path to profitability first, and then asked for more money, positioning itself as the un-Tesla. With nothing new or novel to excite them, investors quickly lost interest.Welcome to the game. Looking Ahead for Nio StockNio may still lack the scale Tesla has at this time, but Nio is being built from the ground up to become and remain profitable. Indeed, it's being careful almost to fault. It's still unclear that's the case for Tesla, which would be a great talking point that so far's been underutilized.And for what it's worth, given China's aim of becoming the world leader in electric vehicles, it would be naive to think Nio isn't going to get all the help it needs as well to become a global alternative to Tesla… here, there, and everywhere else. Rival BYD, which is technically the world's biggest EV maker, certainly gets such support.It's just not going to all fall in place tomorrow.It may start to happen in earnest next year, though, and even more so the year after that.Analysts -- analysts in the U.S. -- forecast a top line of $720 million this year, which will grow to $2.2 billion next year, and continue to grow at this clip into 2021. By 2022, Nio should be in the black. Click to EnlargeThey're just guesses, to be fair, but they're guesses from professionals that get paid to keep their finger on the pulse of their respective markets and look past the near-term noise. As a group, they're usually in the ballpark. Bottom Line on NIOThe trick, as previously noted, is getting through the volatile period between now and then.Don't sweat it if you're kicking the proverbial tires and struggling to find anything to get excited about. The chart's current action isn't a reflection of the company, nor is the rhetoric surrounding it, but it's rough all the same. There's still a myriad of the usual post-IPO kinks to work out. Fair or not, traders are still in control of Nio stock, and without any clear-cut bullish history to tout -- the result of going public a tad too early -- there simply aren't enough fans and followers on the same page to change the current direction of the Nio stock price.This is just part of that clumsy transition from being a new stock to an established company. Not unlike one's teenage years, they're going to be awkward. * 7 Safe Stocks to Buy for Anxious Investors Give it time, though. It'll turn out fine. Remember, Facebook (NASDAQ:FB) was a train wreck coming out of its 2012 IPO, getting more than chopped in half within a few months. Five years later, it's up nearly 500% from its public-offering value.As of this writing, James Brumley did not hold a position in any of the aforementioned securities. You can learn more about James at his site, jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 4 Top American Penny Pot Stocks (Buy Before June 21) * 7 Safe Stocks to Buy for Anxious Investors * 4 Tech Stocks Looking Vulnerable * Should You Buy, Sell, Or Hold These 7 Hot IPO Stocks? Compare Brokers The post If Nio Stock Has Disappointed You, Read This appeared first on InvestorPlace.