GoPro's stock took a beating in early morning trading and is now down almost 25 percent on the day.
GoPro (gpro) had a rough Monday with its stock tumbling as much as 33% to $5.04 after the company confirmed that it would lay off 20% of its workforce, or about 250 people.
However, it appears clear the efforts to stop companies like DJI muscling in on its turf, have failed.
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GoPro is exploring a sale after a tumultuous couple of years that included multiple rounds of layoffs, shrinking sales, and a plummeting stock price. The GoPro Karma had managed to grab the number two spot in United States drone sales, the company pointed out, but warned that a "hostile regulatory environment" for the flying gadgets meant the segment was only going to get tougher to compete in. GoPro expects revenue to come in at just $340 million, a 37% year-over-year decline. GoPro put the Karma back on sale in February 2017.
A GoPro camera was engulfed by lava on Kilauea volcano. It also doesn't have the cash to make an acquisition and probably won't anytime soon.
GoPro will no longer market drones after it sells off remaining inventory, but will continue to provide services and support to Karma customers, it said. It's still early, but you can bet we'll start seeing analysts weigh in on companies that might buy GoPro by issuing their own lists of suggestions.
Data from financial analytics firm S3 Partners indicates that GoPro is the fourth-biggest short in the consumer electronics sector, according to managing director Ihor Dusaniwsky.
GoPro is looking to sell the company and CNBC is reporting that it hired JP Morgan to find a buyer.