GoPro Inc. (NASDAQ: GPRO) shares tumbled 5.38% in intraday trading on Tuesday, following a drastic price target cut by Morgan Stanley. The investment bank lowered its target price for the action camera maker from $1.20 to $0.30, representing a 75% reduction and signaling growing concerns about the company's future prospects.

The sharp downward revision in GoPro's price target comes as the company faces mounting challenges in an increasingly competitive market. According to FactSet, the average rating for GoPro among analysts is Underweight, with a mean price target of $0.65. This pessimistic outlook reflects broader market sentiment and underscores the difficulties GoPro is encountering in its efforts to revitalize its business.

In an attempt to strengthen its leadership, GoPro announced the appointment of Mick Lopez to its Board of Directors, effective immediately. The company also nominated two additional candidates, Mike Dennison and Emily Culp, for election to the board at the upcoming annual stockholder meeting on June 3, 2025. While these moves aim to bring fresh perspectives and expertise to the company's governance, investors appear to be more focused on the immediate financial concerns highlighted by Morgan Stanley's bearish stance.