NEW YORK (TheStreet) -- The shares of action camera maker GoPro (GPRO) - Get GoPro, Inc. Class A Report are climbing after Oppenheimer upgraded the stock to Perform from Underperform, saying that the company's shipments are poised to continue to increase this year.

WHAT'S NEW: Shipments of GoPro's cameras are poised to rise in fiscal 2015 and potentially 2016, as the company enters new international markets for the first time and ramps up in others, Oppenheimer analyst Andrew Uerkwitz wrote in a note to investors today. GoPro's branding efforts should generate significant demand among new customers in Europe, the Middle East, Africa, and some parts of Asia, the analyst stated. However, Uerkwitz remains pessimistic about the company's longer term outlook, citing increased competition from improved smartphone cameras and "serious" deficiencies in GoPro's cameras. Drones could also compete with GoPro over the longer term, the analyst believes. The company's cameras are "seriously lagging" in the areas of hardware/software user interface, services, and technological capabilities, Uerkwitz said, adding that GoPro's customers are likely to wait long periods of time before replacing the cameras they buy from the company with new ones.

WHAT'S NOTABLE: On April 28, GoPro reported much stronger than expected first quarter results.

PRICE ACTION: In early trading, GoPro climbed 3% to $51.60. Ambarella (AMBA) - Get Ambarella, Inc. Report, which sells chips to GoPro, added 1% to $80.75 and earlier touched a new 52-week high of $81.31.

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