GoPro Inc

GoPro shares closed up 40% on September 1 after the action-camera maker announced a definitive merger with Starman Optical, a privately held photonics company making optical transceivers for AI data-center networking. Starman will acquire roughly a 90% stake in the combined company for $285 million in cash, about $1.14 per share, while existing GoPro shareholders keep about 10% and the stock remains listed on Nasdaq. GoPro's roughly $92 million in debt will be repaid at closing, expected by the end of 2026 pending approvals. CEO Nicholas Woodman said the deal positions GoPro across consumer, commercial, and defense markets in imaging, optics, and AI infrastructure. The move follows a rough stretch: second-quarter revenue fell 31% year over year to $105 million, net loss widened to $51 million, cash had fallen to $27.3 million, stockholders' equity had turned negative, and auditors issued a going-concern warning in June.

GoPro has agreed to merge with Starman Optical, a privately held optical-photonics company, in a transaction that will pay GoPro shareholders an aggregate $285 million, or $1.14 per share. Existing shareholders will retain roughly 10% of the combined company's outstanding shares. The deal will also extinguish about $92 million in debt, leaving the company substantially debt-free, and GoPro will remain listed on the Nasdaq. The merger aims to expand GoPro beyond action cameras into AI data center infrastructure, defense, government, robotics, and aerospace markets, while continuing to invest in its consumer hardware and subscription services. The boards of both companies have approved the deal, which is expected to close by the end of 2026, subject to regulatory and stockholder approvals.

GoPro Inc stock surged 72.3% to $1.51 after Markiplier disclosed an 8.5% stake worth $9 million, driving 87,000 options contracts, 11.9 times the usual volume, with calls at 74%. Novartis AG rose 6.5% to $162.01 on positive late-stage trial results for its multiple sclerosis pill, with 13,000 options traded, 2.9 times the norm, and puts at 83%. Comstock Resources Inc gained 6% to $15.30 after announcing a $1.65 billion strategic partnership with SOCAR and a $450 million drilling joint venture with the Jones family, with options volume at 2.8 times the usual and calls at 96%. Howmet Aerospace Inc climbed 3.9% to $254.50, rebounding from a selloff triggered by Elon Musk's SpaceX turbine announcement, with 12,000 options traded, 2.5 times the norm, and puts at 93%. Fervo Energy Co jumped 23.7% to $19.03 after securing its largest-ever power agreement with Google for nearly 400 megawatts from its Utah project, with 8,779 options, 2.7 times the usual volume, and calls at 95%.

Stock futures traded lower early Tuesday, with Dow futures down 0.65%, S&P 500 futures down 0.62%, and Nasdaq-100 futures down 1.06%. GoPro shares surged over 82% premarket after YouTube creator Mark Fischbach, known as Markiplier, disclosed an 8.5% stake in the company, making him its largest individual shareholder. Robinhood rose 2.6% after Morgan Stanley upgraded it to Overweight with a $150 price target. Novartis climbed nearly 4% on positive late-stage trial data for its MS drug remibrutinib. Sono Group jumped about 55% after announcing a non-binding letter of intent to combine with Sports One, creating a publicly traded company that would acquire minority stakes in major sports leagues. Duolingo gained 3.8% after Evercore ISI raised its price target to $210.