Could GoPro See A Hostile Takeover?

According to tech stock expert Sean Udall, GoPro Inc GPRO’s market cap has now declined to the point at which it will likely face the prospect of a hostile takeover.

Udall told Benzinga that he believes GoPro’s business is far from dead when it can still sell $1-2 billion of products per year. However, with its market cap now down to under 1.7 billion, Udall believes that the quickest and easiest way for a buyout to take place would be a hostile takeover.

“My view is they probably won’t get that long of a runway,” he told Benzinga. “Instead, the company will probably be subject to a hostile takeover as that would be the cheapest way to acquire it.”

Related Link: Munster Says Apple Prefers Competition Rather Than Acquisition Of Fitbit, GoPro

Last week, Piper Jaffray analyst Gene Munster told Benzinga that cash-heavy Apple Inc AAPL will likely not be in the bidding for GoPro.

Disclosure: the author holds no position in the stocks mentioned.

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
date
ticker
name
Price Target
Upside/Downside
Recommendation
Firm
Posted In: Analyst ColorLong IdeasNewsAnalyst RatingsMoversTechTrading IdeasGene MunsterGoProSean Udall
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!