GoPro Trading Higher; Barron's Mentioned Sony, Under Armour Could Be Interested In Acquisition

Shares of GoPro Inc GPRO were trading higher by more than 4.4 percent early Monday. An article on Barron's (dated February 6) detailed several companies that may be interested in acquiring the action camera maker.

Despite the large decline in GoPro's stock, Barron's suggested that GoPro still has "some financial cushion to regain its footing" as the company holds no debt and boasts $474 million in cash on the balance sheet and that its enterprise value is just under $1 billion.

"That's a pittance for big tech companies that might be interested in GoPro's still-powerful brand, especially strong with adventurers and athletes," Barron's noted.

Barron's continued that while "oft-mentioned" Apple Inc. AAPL is unlikely to make a move to acquire GoPro, Sony Corp (ADR) SNE "could take the plunge." In addition, a "more outside-the-box" candidate to acquire GoPro would be Under Armour Inc UA as the fitness apparel company has been "talking up its digital initiatives while launching new wearable technology."

On Friday, Microsoft Corporation MSFT announced it inked a patent licensing deal with the wearable cameras company. While terms of the deal were not disclosed, MarketWatch reported that the agreement was for “certain file storage and other system technologies."

Shares of GoPro recently traded up 3 percent at $10.25 in Monday's pre-market session.

Posted In: NewsRumorsM&APre-Market OutlookMoversTechBarron'sGoProGoPro Acquisition
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