After spiking early Friday on the back of its first-quarter 2021 earnings, shares of GoPro (NASDAQ: GPRO) gave back most of their gains on the day. Double-digit gains pared down to a 3.4% increase on Friday. Today, investors continued to sell the action-camera maker's shares. As of 12:30 p.m. EDT on Monday, GoPro shares were down almost 10%.
The sharp short-term reversal makes more sense when looked at in a broader context. Shares of GoPro soared more than 50% in the month of March. The outsize move wasn't due to developments at the company, but likely rather because it was a favorite with the retail trading crowd associated with Reddit's WallStreetBets forum. There was actual positive news from the company's first-quarter results last week, but shares are already up almost 20% year to date even including today's drop.
Image source: GoPro.
Source Fool.com