Jim Cramer Shares His View On GoPro Inc

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On CNBC's Mad Money
, Jim Cramer spoke about recent stock price performance of
GoPro IncGPRO
. He said that the stock propelled higher after the company reported better than expected earnings, posting impressive revenue growth and great margins. He explained that the analysts expected to see a 38 percent increase in revenues and the company delivered an increase of 46 percent and guided for 56 percent revenue growth next quarter.
GoPro Inc
reported a margin of 44.5 percent and the market expected 42 percent. Cramer explained that this means that its customers are gravitating toward more expensive products. Cramer emphasized that the insiders won't be able to sell their stocks until December 2014 and when their stocks get unlocked the company will have a huge free float of 120 million shares. It currently has only 20 million of free float. Bullish investors believe that
GoPro Inc
has a potential to become a big social media player because its customers are sharing interesting video content, while the bears see it as an overpriced stock, said Cramer. He thinks that
GoPro Inc
could be really attractive on a very healthy pull back.
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Posted In: CNBCMediaJim CramerMad Money
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