GoPro Flirting With Lows on China Production Move

GoPro will pull Chinese production on U.S.-bound cameras next year

Shares of GoPro Inc (NASDAQ:GPRO) traded mostly lower today, on news the company will be pulling production on cameras shipped to the U.S. out of China. Despite the 90-day trade truce between China and the U.S., the camera manufacturer has previously noted plans to be proactive amid increasing tariff concerns. At last check, GPRO stock was down 0.5% to trade at $4.94, though it briefly moved higher in afternoon trading.

GoPro stock is down 35% year-to-date, and has been in a channel of lower highs and lows since early October. The shares today fell as low as $4.76, within striking distance of their April 4 low of $4.42.

Analysts are wary of the camera manufacturer, with just one "strong buy" rating, compared to three "holds" and two "sells." What's more, the consensus 12-month price target of $6.93 still stands at a 40% premium to today's price.

Several short sellers are likely cheering, too, with short interest up 3.4% in the last two reporting periods, accounting for nearly 35 million shares, or 30.9% or the stock's available float. It would take over seven days, at GPRO's average daily trading volume, to repurchase all of their pessimistic positions.