GoPro Warns It May Not Continue as Going Concern; Shares Plummet 12%

GoPro (GPRO) disclosed in an SEC filing on June 1, 2026, that it may be unable to continue as a going concern, triggering a 12% stock plunge. Auditor PwC added a going-concern explanatory paragraph, citing “substantial doubt” about the camera maker’s viability. The crisis stems partly from a memory-chip supply squeeze as suppliers shifted to high-bandwidth memory for AI, driving component costs up 80% to 115%. A supply cut announced in April further eroded sales forecasts and caused GoPro to breach multiple loan covenants, risking default. The company is now seeking emergency financing. GoPro’s market share has collapsed from 84% in 2022 to 18% in the first three quarters of 2025, while Chinese rival DJI surged to 66% and Insta360 claimed 13%, according to JIUCONSULTING. First-quarter revenue dropped 26%. To survive, GoPro is cutting 23% of its workforce, exploring a sale or merger, and seeking new defense and aerospace markets.