Aswath Damodaran On GoPro Inc Valuation

Aswath Damodaran, a Professor of Finance at the Stern School of Business at NYU, published a blog on the subject of current valuation of GoPro Inc (NASDAQ:GPRO), and points out it’s difficult, though not impossible, to justify buying GoPro on an intrinsic value basis.

Aswath Damodaran in his blog published on October 16, 2014 titled: “Go Pro: Camera or Smartphone? Social Media or Electronics? Price or Value?” notes though the expected value across various simulations is only $33-32 per share, well below GoPro’s current market price of $70, there are outcomes that deliver values higher than the market price.

GoPro's $51 billion market size

Starting off with a brief background of GoPro,...