Goldman Sachs analyst Doug Clark upgraded GoPro to Neutral and raised his price target for the shares to $10 from $6.75. The action camera maker closed yesterday down 14c to $9.75.

GoPro is on track to launch a new HERO6 camera in the second half of 2017, and product launches have historically been a positive catalyst for the stock, Clark tells investors in a research note. The analyst admits that he underestimated the company's ability to improve its capital structure and liquidity position.

He no longer sees downside in the near term to consensus estimates.