NEW YORK (TheStreet) -- Shares of GoPro (GPRO - Get Report) were falling in late afternoon trading on Friday as KeyBanc called the company's recent launch of its Hero 5 wearable camera line a "head scratcher."
"Early Hero 5 checks point to in-line Hero 5 Black demand, spotty overall distribution, possible shelf space headwinds and weak Session demand," the firm said.
Only electronics seller Best Buy (BBY) has a steady stock of the wearable camera maker's Hero 5 products, the firm noted.
For retailers like Target (TGT), Walmart (WMT) and REI, KeyBanc said it is unclear if GoPro is "playing catch-up" on initial shipments or if the stores are "managing down GoPro's shelf space."
But KeyBanc added that it will "reserve judgment" until it can better determine customer demand for the Hero 5 Black and the still unreleased Karma drone.
"We'll need to see sell-through improve to sway us from our fair value of $9 to $10," KeyBanc noted.
The firm has a "sector weight" rating on San Mateo, CA-based GoPro shares.
Additionally, Piper Jaffray said yesterday that the company has temporarily stopped selling to e-commerce company Amazon.com (AMZN), but should resume shipments later this month.
The firm expressed concerns about GoPro's ability to meet sales guidance.
Piper has an "underweight" rating and $9 price target on GoPro stock, according to the Fly.
Separately, TheStreet Ratings objectively rated GoPro stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "sell" with a ratings score of D.
The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, weak operating cash flow and generally disappointing historical performance in the stock itself.
You can view the full analysis from the report here: GPRO