How Does The Smart Money Feel about This Former High Flier?

Hedge funds are divided on GoPro, although the overall sentiment is bullish. Of the around 730 elite funds we track, 21 funds owned $485.28 million of the company’s shares (representing 10.20% of the float) on June 30, versus 25 funds with stakes worth $284.33 million on March 31. Among the funds with long positions at the end of the second quarter were Edward Gilhuly’s Sageview Capital with around 2.30 million shares and Donald Chiboucis’ Columbus Circle Investors with 1 million shares. Jim Simons’ Renaissance Technologies owned a stake of 936,600 shares at the end of June as well. While several hedge funds increased their long positions in the second quarter, many investors have been reducing their exposure shorting the stock. According to NASDAQ, 21% of the action camera maker’s float is on ‘borrow’ by short sellers, with hedge funds likely making up the majority of the shorts.

Analysts are bullish on GoPro as well, since 18 analysts have a ‘Buy’ rating and three have a ‘Hold’ rating, while none of the analysts rated the stock as a ‘Sell’. Sterne Agee CRT has a ‘Buy’ rating with a $45 price target while Cowen and Company has a ‘Buy’ rating with a $60 price target. JPMorgan Chase & Co has a ‘Buy’ rating with a $75 price target. Overall, analysts have a consensus price target of $65.35 per share, giving shares an upside of 114.69% from current levels.

Disclosure: none