GoPro Inc (NASDAQ:GPRO) fell 10% in early trading Monday after reports linked Formula 1 legend Michael Schumacher’s last year accident to the company’s camera. According Jean-Louis Moncet, a French journalist, the retired race car driver wasn’t hurt by the hit, but by the camera that he had mounted on his head, ending up injuring his brain.
“The problem for Michael was not the hit, but the mounting of the GoPro camera that he had on his helmet that injured his brain,” Moncet told radio station Europe 1 over the weekend.
As the allegation flared Monday, the stock declined to close at $76.67 in New York, representing 9.9%.
The report led to heated discussions on how safe it is to use the mountable GoPro Inc (NASDAQ:GPRO) cameras for extreme sports or adventure. This was even worsened by the report that Schumacher’s son is blaming his father’s condition on the company’s camera.
The company’s spokesperson declined to comment saying that they’ll carry out their investigations before issuing an official statement.
“We are trying to get more information about the original report from Jean Louis Moncet. His tweet this morning suggests the comments didn’t come from a family member,” GoPro Inc (NASDAQ:GPRO) spokesman Jeff Brown wrote in an emailed response to Reuters.
The success of GoPro Inc (NASDAQ:GPRO) shares after its IPO in June is attributed to its small, but very powerful cameras. The stock has more than tripled in value from the $24 it registered during the IPO. The stock has also risen lately following the news that the company is set to release another high end camera, HERO 4, before the holiday season.
The latest significant fall the stock posted was a 6.9% decline early this month when reports came out that the company founders donated shares to establish a charitable foundation.
This article has been written by Victor Ochieng.