GoPro to cut 7% of workforce; shares plunge 25%

Stock SectorJanuary 12, 20163min6
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<div>GoPro said it would lay off 7% of its workforce after weak fourth-quarter camera sales.<br><br><br><a href="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/1/rc.htm" rel="nofollow"><img src="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/1/rc.img" border="0"></a><br><br><a href="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/2/rc.htm" rel="nofollow"><img src="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/2/rc.img" border="0"></a><br><br><a href="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/3/rc.htm" rel="nofollow"><img src="http://rc.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/rc/3/rc.img" border="0"></a><br><br><a href="http://da.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/a2.htm"><img src="http://da.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/a2.img" border="0"></a><br><a href="http://adchoice.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/ach.htm"><img src="http://adchoice.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/ach.img" border="0"></a><img width="1" height="1" src="http://pi.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/a2t.img" border="0"><img width="1" height="1" src="http://pi2.feedsportal.com/r/247388059422/u/197/f/677907/c/35493/s/4cd95188/sc/21/a2t2.img" border="0"><img width="1" height="1" src="http://rss.cnn.com/c/35493/f/677907/s/4cd95188/sc/21/mf.gif" border="0"></div>
GoPro Woodman CEO future competition_00022811
GoPro CEO Nick Woodman.

GoPro can’t catch a break.

The action camera company said it would cut 7% of its workforce, or roughly 100 employees. (The company said it had more than 1,500 workers at the end of 2015.)

Shares fell nearly 25% after hours.

GoPro also lowered its guidance for the fourth quarter of 2015 and the full year, saying fourth-quarter sales of its cameras were weaker than expected.

GoPro(GPRO, Tech30) has had a tumultuous run: The company’s stock surged after a blockbuster IPO in 2014 but has been freefalling in recent months. Shares have plunged 19% so far this year — and 73% in the last six months.

Related: Is the IPO market dead?

Many have questioned whether GoPro’s once-hot Hero cameras are actually just a fad. It’s also facing increased competition in the action camera market from companies like Sony(SNE), Xiaomi and Polaroid.

GoPro is expected to introduce the Karma, a drone, this year, which is yet another crowded space. The company released a video about the Karma on its YouTube channel last month.

CNNMoney (New York) First published January 13, 2016: 5:46 PM ET

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