GoPro files to go public
Here's the link to the actual SEC filing:
The founder may retire rich, and his venture-capital backers also make money, on the public offering. However, the actual return on capital in net present value, may turn out to be rather low, if one considers the unremunerated costs up to 2010 (the shareholder deficit) and the high risk factor.
Sales and profits shot up from 2010 to 2013, but profits are down from $35 million to $17 million between first quarter 2013 and first quarter 2014. Absent rock solid confidence that the POV market is not saturated, or that some stunning breakthrough will make existing owners buy new versions, the outlook may be little different than that of the small camera market at large.
Sooner or later, buyers learn that their POV footage will have none of the stunning wing-suit adventures or mermaids seen in the promotional videos, and efforts to best others' extreme stunts eventually lead to trauma. Famous last words: "Hey, your're just chicken. Just watch me do this!"
The venture capital backers, if savvy, may short-sell the stock soon after the issue date, when the price is at peak. As the price falls, they may make a handsome return.
Whatever the outcome, it is remarkable that a start-up "created" (or seized) market share in a niche in which large established companies that were too sluggish to roll out comparable products earlier.
Little guys, like me, stick to index funds or tripods.
- Canon EOS M58.8%
- Panasonic G85/G803.3%
- Panasonic FZ2500/FZ20001.9%
- Panasonic LX10/LX151.2%
- Panasonic GH5 development3.6%
- Sony a99 II15.9%
- Nikon KeyMission 170 and 801.0%
- Fujifilm GFX 50S development28.3%
- Olympus E-M1 II development18.7%
- Olympus E-PL80.1%
- Olympus 25mm F1.2 Pro1.5%
- Olympus 12-100mm F4 IS Pro1.9%
- Olympus 30mm F3.5 Macro0.1%
- Sigma 85mm F1.4 Art3.6%
- Sigma 12-24mm F4 Art2.6%
- Sigma 500mm F4 DG OS HSM Sport2.4%
- YI M12.2%
- GoPro Hero50.8%
- GoPro Karma drone2.2%