I was looking for GPRO. The lowest price for this company was $4.42 The outstanding shares are 138.06M I was thinking why the market decided the lowest value of $4.42 for this company ! I could see the revenue for the company to be 1.18B which mean $8.85 per share (1.18B/138M) I also checked the assets for the company and it was 573M. this means $4.15 per share! If I look to the company it was traded at $4.42 and the asset per share is $4.15, would this mean this is a very very very very very nice value for the company to buy and hold ?! wouldn't the $4.15 be the real value of the company ?! would that be a value investing ?!
Hard to imagine how to value GPRO. "That little camera"... when everybody already has one on their smart phone?? Then again, any issue can be played technically... as it should be.
Value investing is all about how you value a company. Financials are backwards looking. Hence your challenge is to extrapolate that forward. With technology, the extrapolation applies to financials and future trends.
They've lost money the last 3 quarters. Over $100m this year alone. Net assets are down to $27 million. I think gopro is a lost cause. It's way too cheap for competitors to get into that market and the only thing they have going for them right now is their name. Is their name worth a billion dollars. Nope. Just ask Kodak. They had a big name too.