5 Best Robinhood Stocks Under $20

3. GoPro, Inc. (NASDAQ:GPRO)

Number of Hedge Fund Holders: 28

Price as of September 16: $9.66

Action camera manufacturer GoPro, Inc. (NASDAQ:GPRO) ranks 3rd on the list of 10 best Robinhood stocks under $20. GoPro, Inc. (NASDAQ:GPRO) sells action cameras, drones, wearable mounts, and accessories globally. In addition, the California-based camera maker provides subscription-based services on its cloud-based storage solutions, mobile app, and video-editing app.

GoPro, Inc. (NASDAQ:GPRO) saw its stock rise 1.83% on August 31 after the action camera company received a license from the US Patent And Trademark Office for systems and methods for calculating projected risk for an unmanned drone vehicle’s flight route. 

The company has a market cap of $1.43 billion. In the second quarter of 2021, GoPro, Inc. (NASDAQ:GPRO) reported an EPS of $0.12, beating estimates by $0.08. The company’s revenue in the second quarter was $249.6 million, an increase of 86% year over year, and beat revenue estimates by $17.28 million. The stock has gained 148.5% in the past twelve months.

At the end of the second quarter of 2021, 28 hedge funds in the database of Insider Monkey held stakes worth $413 million in GoPro, Inc. (NASDAQ:GPRO), down from 36 in the previous quarter worth $395 million.

In its Q4 2020 investor letter, Roubaix Capital LLC stated that GoPro, Inc. (NASDAQ:GPRO) should benefit from the consumer rebound. Here is what the fund said:

“Companies like GoPro (GPRO) should benefit from the consumer rebound, but also have their own unique drivers of value over the next 2+ years. In the case of GPRO, the company launched its newest action camera, the GoPro9, under the umbrella of a new business model. The company offers a discount on the camera when customers purchase a subscription agreement that comes with additional services and benefits. The uptake of the subscription has been strong to date and offers the company a line of sight to a higher margin and more predictable revenue stream. The stock’s low double-digit earnings multiple remains undemanding. We have seen this type of transformation play out in numerous situations in software, hardware and even retail companies such as RH. We see GPRO the following suit and expect a return to travel later this year to be another reason for consumers to buy a new camera as they head back out on vacation.”