Oppenheimer Analysts Met With GoPro Management; Here's What Happened

Andrew Uerkwitz of Oppenheimer recently met with GoPro's Chief Financial Officer Jack Lazar and VP of Corporate Development Colin Born.

According to Uerkwitz, the overall tone of the meeting was "upbeat," as management was "positive" on GoPro's market position and opportunity. Specifically, the Hero4 Session is expected to be the company's "most prominent" piece of new hardware for 2014 given its smaller, rugged body with an improved battery life and user interface.

Related Link: Options Trader: GoPro May Catch A Bid If Markets Hold

Items Of Note

Uerkwitz also noted that management is likely to increase its investing activity, not only focusing on educating its users on how to use the product, but to reach out to a broader demographic.

The analyst further suggested that the latest GoPro releases are "more family-friendly," while management confirmed that family/kids is the top theme of user captured content.

Conservative View Remains

Nevertheless, despite a positive tone with management, Uerkwitz's "more conservative" view of the core capture-device market is unchanged.

Specifically, the analyst believes that GoPro's core products are "seeing slowing growth" within a "shrinking" market.

Looking Ahead

Uerkwitz expanded that GoPro's competitors offer a superior expertise in design, technology and user experience, while the company faces "limited" opportunities due to "ubiquitous" smartphone adoption while its software interface is "poor."

However, the company can deliver "significant" year-to-year growth in the short-term by expanding its distribution capabilities within Europe and Asia Pacific.