What: Following a more than 12% rise Tuesday on no company-specific news, shares of GoPro (NASDAQ:GPRO) climbed another 11% as of 3:00 p.m. EST Wednesday with no clear catalyst.
So what: It's worth noting the Nasdaq Composite Index is up a solid 4.5% over the past two days as of this writing, so it's not entirely surprising to see a beaten-down stock like GoPro -- which still sits more than 28% lower than it started this year -- enjoying outsized gains as the broader market rebounds. And with more than 42% of GoPro's total float sold short as of January 29, 2016, it's also possible that the recent sustained rise is squeezing some short-sellers out of their bearish positions.
Now what: As I wrote yesterday, however, these big "no-news" swings have little to do with GoPro's underlying business. And until GoPro's initiatives to return the company to sustained, profitable growth begin to bear fruit -- including a recent workforce reduction, improvements to its content-management software, and impending new hardware-product launches -- I won't be the least bit surprised if investors are forced to endure more volatility going forward.
Steve Symington has no position in any stocks mentioned. The Motley Fool owns shares of and recommends GoPro. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.