Piper Jaffray Analysts Downgrade GoPro To Underweight From Neutral

GoPro shares were down 19% Thursday morning after weaker than expected third-quarter results prompted a downgrade from Piper Jaffray. Piper Jaffray downgraded GoPro to underweight from neutra and lowered their price target to $20 from $25. Piper Jaffray analysts cited GoPro's high inventory and third-quarter sales miss, as well as lower sales guidance as reasons for the downgrade. They note that customer demand for the products appears to be dropping, which causes them to cast suspicion on GoPro's ability to meet its fourth quarter $500 to $550 sales guidance and earnings per share of 35 to 45 cents.