Shares of GoPro, Inc. (NASDAQ:GPRO) [Detail Analytic Report] moved up 0.38% during pre-market trading session on Monday while sliding down continuously from previous year. In the midst of announcing a worse than expected loss, GoPro warned that it was delaying the release of its next big product, a drone called Karma that the firm and some investors are hoping will spark the firm’s revival. GoPro now intends to launch Karma in time for the holiday season; earlier it planned to start selling the drone in the first half of 2016.
Michael Pachter, analyst at Wedbush Securities stated in a research note that they believe that investor patience is frayed to the point that few investors will be willing to give the firm the benefit of the doubt. Adding to investors’ pain, GoPro’s revenue was about half of what it was a year earlier and its bottom line went from a $16.8 million profit in previous year’s Q1 to a $107.5 million loss in the just-completed period. GoPro has been spiraling downward since the middle of 2015, when it released the Hero4 Session camera.
GoPro axed the price twice to try to juice sales, but the net effect was to lower both its sales and profits. In 2016, GoPro has cut jobs, twice posted earnings below Wall Street’s estimates twice, and seen its chief financial officer depart. GoPro has been promising that Karma would offer breakthrough technology and help turn things around.
Tyson Foods, Inc. (NYSE:TSN) [Detail Analytic Report] announced net income of $432 million in its fiscal second quarter. On a per-share basis, the Arkansas-located firm reported that it had profit of $1.10. Earnings, revised for pretax gains, came in $1.07 a share. Tyson Foods declared its second quarter revenue of $9.17 billion.
Tyson expects full-year earnings to be $4.20 to $4.30 a share. Shares of Tyson have soared 26 percent since the starting of the year, while the S&P 500 index has risen nearly 1 percent. The stock has climbed 67 percent in the previous twelve months. Donnie Smith, CEO of Tyson Foods commented that their business continues to perform very well, delivering record Q2 operating income and return on sales, in what is typically the most challenging quarter of their fiscal year.
Smith added sales are growing in major retail product lines. The pricing and marketing investments they’ve made are paying off in increased volumes in strategic products including Hillshire Farm smoked sausage and lunchmeat, Jimmy Dean breakfast sausage and Ball Park hot dogs. With a focus on the longer term, they have a three-year pipeline of innovation across all segments with thrilling new product launches to keep their offerings in the retail, food service and global channels relevant to customers.