GoPro could mint millionaires by becoming a large-cap stock, but will it ever achieve that feat?
Whatever one thinks of GoPro (GPRO 3.25%) stock, one has to acknowledge its theoretical ability to turn small investors into millionaires.
Its market cap is only $265 million, making it barely a small-cap stock. If one invested $5,000 at today’s levels, it would need to grow by 200-fold to become $1 million. A 200-fold gain in the stock price would send its market cap to $53 billion, a level well into large-cap territory but hardly unusual for a tech growth stock.
However, not all stocks reach their peak at the same level, and achieving that level would take the stock far above its record highs. Knowing that, is the business positioned to mint millionaires? Let’s take a closer look.
Image source: Getty Images.
Understanding GoPro’s business
GoPro sells action cameras, along with offering the corresponding apps and video editing software.
This has given the company a competitive niche. While smartphone users have built-in cameras, they are typically not waterproof or able to withstand extreme conditions. They may also not offer the stabilization or wide-angle capabilities found on GoPro cameras.
Such abilities gave GoPro a significant competitive advantage when the company went public in 2014. Nonetheless, brands such as Sony, Garmin, and many others began to compete in this business over time, chipping away at GoPro’s competitive edge.
The stock had steadily declined for years, but it has found a possible catalyst in artificial intelligence (AI). In late July, it began allowing users to loan out content for AI training purposes, enabling users to monetize content. Under the terms of this voluntary program, users can make their content available and receive 50% of the revenue GoPro expects to generate from their content.
The strategy has generated significant buzz, with customers volunteering more than 125,000 hours of footage. As a result, the stock has more than doubled over the last two months.
Still, investors should keep in mind that GoPro’s competitors could offer the same type of AI initiative. CSIMarket estimated GoPro’s market share at 65% in 2024. However, other surveys show its peers are making competitive gains, sparking concern for investors.
GoPro’s financials
GoPro’s deteriorating finances blunt its ability to respond to competition. In the first half of 2025, revenue of $287 million declined by 16%. The company has responded by cutting its operating expenses. Consequently, in the first two quarters of 2025, it reported a loss of $63 million, an improvement from the $387 million loss in 2024.
Moreover, investors should expect the declines and losses to continue as management forecasts a non-GAAP (adjusted) loss per share, putting its $59 million in liquidity in focus. To that end, it secured a $50 million loan in August. Nonetheless, the company still must find a way to cover losses and fund research and development to improve its products and invest in this AI modeling venture.
Indeed, with the ongoing losses, it does not have a P/E ratio, though the price-to-sales (P/S) ratio of 0.35 may draw some investor interest.
Unfortunately, the financial troubles are likely why its P/S ratio is so low. Hence, even as its AI initiative attracts interest, the financial struggles could hamper the company’s ability to succeed, much less mint millionaires.
Will GoPro stock help you become a millionaire?
Given the company’s condition, GoPro stock is unlikely to turn small investors into millionaires.
Indeed, GoPro’s size makes for an intriguing entry point for investors seeking outsize returns. Nonetheless, the business will almost certainly have to generate massive growth to accomplish such a goal.
Admittedly, it could turn its revenue picture around over time. If users can generate revenue from content, it could revive interest in GoPro cameras. Still, with the likelihood that Sony, Garmin, and others may try the same approach, it is unclear to what degree this initiative will succeed.
While GoPro’s business and stock could improve significantly, investors should not expect million-dollar returns without making massive investments in GoPro stock.
