Markiplier's 8.5% Stake Fuels GoPro's 50% Monthly Surge
GPRO has more than doubled off its 52-week low of $0.57 on light trading volume (0.2× avg).
Summary
YouTube star Markiplier disclosed an 8.5% stake in GoPro, making him the largest outside shareholder with 13.5 million Class A shares. The stock jumped 46% on Aug. 31 and is up 50% this month, the best performer in the Russell 2000. Heavy short interest of 20.2% of float amplified the move as shorts covered. This follows the Sept. 1 merger agreement with Starman Optical, which values GoPro at $1.14 per share in cash plus 10% of the combined company. The rally is driven by retail enthusiasm and a short squeeze, not fundamentals—Q2 revenue fell 31% and the company lost $51 million.
At the time of this announcement, GPRO was trading at $1.34 on NASDAQ in the Technology sector, with a market capitalization of approximately $251.4M. The 52-week trading range was $0.57 to $3.05. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Benzinga.