GoPro stock has declined more than 38% year-to-date. It has come down from the October 7 high of $94 to around $40 today. The steep decline within a matter of a few months has sparked a heated debate about whether you should buy on the dip or get rid of GoPro stock. GoPro’s durable and high-definition action cameras are changing lives. The San Mateo-based company’s devices have become must-haves for adventure enthusiasts, says Will Emerson of InvestorPlace.

GoPro Inc: The Stock Is Destined To Go Upward

Xiaomi’s Yi no big threat to GoPro

Of course, competition in the action camera is bound to increase as more players enter the market. But analysts have mostly focused on Chinese company Xiaomi’s Yi Action Camera, which costs just $64. Analysts believe Yi could be a major threat to GoPro’s Hero line, which starts at $130. But the U.S. action camera maker has some advantages over Xiaomi that put it in a different league.

Xiaomi’s device comes without any casing or rigging. Though Yi Action Camera boasts of pretty good specs on paper, it offers poor picture quality. One reviewer said Yi felt like a toy and was not even close to GoPro Hero in terms of sturdiness. Further, Yi will be sold only in China, whereas the U.S. company was expanding internationally. GoPro has opened sales & marketing office in Germany and plans to launch its products in China later this year.

GoPro is different from the crowd

The San Mateo-based company has differentiated itself by focusing on innovation. It is developing advanced imaging technologies to improve the quality of GoPro pictures and videos. Earlier this month, it was awarded a patent for image compression technology to make digital cameras better.

The San Mateo-based company is exploring ways to expand its addressable market. In January, GoPro inked a deal with Vislink to offer wireless streaming of live events. The deal enabled GoPro to send broadcast-quality live HD footage over the air during sporting events. The technology was put on display at the NHL All Star Weekend.

GoPro’s name has become synonymous with extreme sports. Shares of the company jumped 3.33% to $41.68 at 1:13 PM EDT on Tuesday.