GoPro Used to Drive This Supplier’s Shares. Now It’s Being Driven by Them

Investors once looked to GoPro Inc., the action camera and accessory maker, as a key indicator for a variety of its suppliers, including the high definition video semiconductor manufacturer Ambarella Inc. But times have changed. The San Mateo, California-based GoPro, which achieved a peak valuation close to $12 billion the year it went public in 2014, now has a market capitalization under $1 billion, and was off another 3.4 percent today. Ambarella gets 12 percent of its revenue from GoPro as of its latest annual report, the highest percentage among listed GoPro suppliers, and is GoPro’s second largest supplier based on cost-of-goods sold, according to data compiled by Bloomberg.