GoPro, Inc. (GPRO)
Market price: $1.03
2 valuation methods
- EV / Gross Profit: $1.92 to $7.59 (midpoint $3.43)
- EV / Revenue: $3.56 to $12.33 (midpoint $5.10)
How each method works
EV / Gross Profit: $1.92 to $7.59 (midpoint $3.43)
Values the business at a peer multiple of gross profit — useful where reported operating costs vary a lot across peers but gross economics are comparable.
- How it’s calculated
- We take last-twelve-month gross profit (revenue minus the direct cost of the goods or services sold), multiply it by the peer range of EV/Gross-Profit multiples, subtract net debt and any minority interests or preferred stock ranking ahead of common shareholders, and divide by shares outstanding.
- Why it fits this industry
- Gross profit sits between revenue and operating earnings: it credits the margin a company's products earn while ignoring overhead and investment choices that legitimately differ across peers.
- Reading this bar
- The bar is the per-share value range this method implies: a conservative low, a central estimate, and an optimistic high. If the current price sits below the bar, the market is pricing the shares below what this method's inputs suggest; if it sits above, the market is pricing them higher. No single bar is a verdict — methods disagree for good reasons, so read the whole field together.
EV / Gross Profit = (2.38/3.99/8.41)× gross_profit 157,323,000 ≈ 374,887,867.59/627,459,832.85/1,323,484,030.09 (enterprise_value); enterprise_value -> per share: equity (320,456,867.59/573,028,832.85/1,269,053,030.09) / 167,243,000 shares [EV bridge: minus net debt 54,431,000]
EV / Revenue: $3.56 to $12.33 (midpoint $5.10)
Values the whole business at a peer multiple of sales — used when earnings are thin, volatile, or not yet meaningful, so revenue is the most reliable yardstick.
- How it’s calculated
- We multiply the company's last-twelve-month revenue by the range of EV/Revenue multiples its peer group trades at, subtract net debt and any minority interests or preferred stock ranking ahead of common shareholders, and divide by shares outstanding for a per-share range.
- Why it fits this industry
- When profits are thin, volatile, or still to come, revenue is the most dependable figure a company reports — this method values the business on the scale of what it actually sells.
- Reading this bar
- The bar is the per-share value range this method implies: a conservative low, a central estimate, and an optimistic high. If the current price sits below the bar, the market is pricing the shares below what this method's inputs suggest; if it sits above, the market is pricing them higher. No single bar is a verdict — methods disagree for good reasons, so read the whole field together. A pound of revenue is worth more at a high margin than a low one, so the peer group here is narrowed to companies earning a similar margin wherever enough of them exist. Where too few do, the bar falls back to the wider group and is the bluntest of the multiples — weigh it alongside the earnings-based bars.
EV / Revenue = (1.14/1.60/3.72)× revenue 568,590,000 ≈ 649,137,886.10/907,375,593.36/2,115,972,278.38 (enterprise_value); enterprise_value -> per share: equity (594,706,886.10/852,944,593.36/2,061,541,278.38) / 167,243,000 shares [EV bridge: minus net debt 54,431,000]
4 methods not shown
- EV / EBITDA: EBITDA is non-positive — an EBITDA multiple yields no meaningful enterprise value (loss-making at the EBITDA line)
- P / E: diluted EPS is non-positive — P/E is not meaningful for a loss-making period
- P / B: book value per share is non-positive (negative common equity) — P/B is not meaningful
- DCF (FCFF): base unlevered FCF is non-positive (-87,292,639.82) — nothing to discount; a standard FCFF DCF does not apply
Pre-profit company — earnings-based methods not meaningful.
Limited data — fewer than three valuation methods could be formed for this company; showing every method we can stand behind.