GPRO Stock Gains After-Hours On Possible Sale Or Merger: Retail Has Eyes On Meta And Garmin
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GoPro (GPRO) shares surged 10% in after-hours trading on Monday after the company announced a formal review of strategic alternatives despite disappointing first-quarter results and suspended full-year guidance. GoPro's Board of Directors has authorized the company to launch a strategic review process and to engage a financial advisor to assist. The Board will evaluate a range of strategic alternatives that could include a sale of the company or a merger. The review follows GoPro's recent engagement of Oliver Wyman to support its expansion into the defense and aerospace markets. Since announcing that initiative on April 13, the company has received several unsolicited inbound strategic inquiries. GoPro and its Board have not set a timetable for the evaluation, nor have they made any decisions on potential transactions. The company said there can be no assurances as to the outcome or timing of the review. Citing macroeconomic headwinds in consumer electronics and its newly launched strategic review, GoPro further withdrew its previously issued full-year outlook and said it will not provide forward-looking guidance. GoPro reported first-quarter revenue of $99 million, a 26% decline from the year-ago period as camera sell-through fell by about 29%. Adjusted net loss for the quarter came in at...
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