GoPro (GPRO) versus The Competition Financial Review

GoPro (NASDAQ:GPRO) is one of 150 publicly-traded companies in the “Household Durables” industry, but how does it weigh in compared to its rivals? We will compare GoPro to related businesses based on the strength of its earnings, risk, institutional ownership, dividends, profitability, analyst recommendations and valuation.

Risk and Volatility

GoPro has a beta of 2.42, suggesting that its stock price is 142% more volatile than the S&P 500. Comparatively, GoPro’s rivals have a beta of 1.73, suggesting that their average stock price is 73% more volatile than the S&P 500.

Valuation & Earnings

This table compares GoPro and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
GoPro	$651.54 million	-$93.49 million	-0.92
GoPro Competitors	$5.29 billion	$322.27 million	26.12

GoPro’s rivals have higher revenue and earnings than GoPro. GoPro is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares GoPro and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
GoPro	-20.70%	-161.44%	-22.87%
GoPro Competitors	-21.21%	-14.61%	1.16%

Insider and Institutional Ownership

70.1% of GoPro shares are owned by institutional investors. Comparatively, 53.7% of shares of all “Household Durables” companies are owned by institutional investors. 18.1% of GoPro shares are owned by insiders. Comparatively, 18.5% of shares of all “Household Durables” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent recommendations for GoPro and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
GoPro	2	0	0	0	1.00
GoPro Competitors	1713	7244	8025	296	2.40

As a group, “Household Durables” companies have a potential upside of 42.10%. Given GoPro’s rivals stronger consensus rating and higher probable upside, analysts plainly believe GoPro has less favorable growth aspects than its rivals.

Summary

GoPro rivals beat GoPro on 10 of the 13 factors compared.

GoPro Company Profile

GoPro, Inc. develops and sells cameras, mountable and wearable accessories, and subscription services and software in the Americas, Europe, the Middle East, Africa, the Asia and Pacific region, and internationally. The company provides cloud connected HERO12 Black, HERO11 Black, HERO11 Black Mini, HERO10 Black, HERO10 Black Bones, and HERO9 Black waterproof cameras; MAX, a 360-degree waterproof camera; Premium and Premium+ subscription services, which include full access to the Quik app, cloud storage supporting source video and photo quality, camera replacement, and damage protection; Quik subscription that offers access to editing tools, which allows users to edit photos, videos, and create cinematic stories; and Quik desktop and mobile apps that enable users to get their favorite photos and videos with footage from any phone or camera. It also offers mounts and accessories comprising equipment-based mounts consisting of helmet, handlebar, roll bar, and tripod mounts that enable consumers to wear the mount on their bodies, such as wrist housings, magnetic swivel clips, chest harnesses, and head straps; media, display, and light mods; spare batteries, dive filters, and charging accessories and cables; and lifestyle gear, such as bags, backpacks, cases, t-shirts, hats, and other soft goods. In addition, the company provides mobile, desktop, and web applications that provides media workflow for archiving, editing, multi-clip story creation, and sharing content on the fly. GoPro, Inc. sells its products through retailers and wholesale distributors, as well as through its GoPro.com website. The company was formerly known as Woodman Labs, Inc. and changed its name to GoPro, Inc. in February 2014. GoPro, Inc. was founded in 2002 and is headquartered in San Mateo, California.