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717100.0
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2017-02-28 00:00:00 UTC
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Technology Sector Update for 02/28/2017: WDAY,WUBA,DDD
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DDD
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https://www.nasdaq.com/articles/technology-sector-update-02282017-wdaywubaddd-2017-02-28
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nan
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nan
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Top Tech Stocks
MSFT -0.54%
AAPL -0.16%
IBM +0.18%
CSCO -0.44%
GOOG -0.98%
Technology stocks remain mostly lower in late trade, with shares of tech companies in the S&P 500 dropping just over 0.6% today.
In company news, Workday ( WDAY ) was lower in late Tuesday trading despite the cloud applications company today reporting a surprise Q4 profit and revenue beating analyst estimates.
The company earned $0.07 per share during the three months ended Jan. 31, topping the Capital IQ Consensus looking for a $0.01 per share net loss. Revenue climbed 35% over the same quarter last year to $436.7 million, also topping the $430.5 million Street view.
Looking ahead to FY18, Workday is projecting revenue in a range of $2.01 billion to $2.03 billion compared with the $1.99 billion consensus.
WDAY shares were down nearly 8% at $83.12 apiece, recovering somewhat from a session low of $82.20 a share.
In other sector news,
(+) WUBA, Non-GAAP Q4 net loss of $0.01 per share is $0.13 smaller than Capital IQ consensus. Revenue climbs 20.1% over last year to $306.6 mln, exceeding the $303.26 mln consensus. Guides Q1 revenue in-line with Street view.
(-) DDD, Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. Earns $0.15 per share during the October-to-December period, $0.02 better than Street view. Projected FY17 revenue of $643 mln to $684 mln lags the $693.19 mln analyst mean.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
(-) DDD, Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. Technology stocks remain mostly lower in late trade, with shares of tech companies in the S&P 500 dropping just over 0.6% today. In company news, Workday ( WDAY ) was lower in late Tuesday trading despite the cloud applications company today reporting a surprise Q4 profit and revenue beating analyst estimates.
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(-) DDD, Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. Technology stocks remain mostly lower in late trade, with shares of tech companies in the S&P 500 dropping just over 0.6% today. In company news, Workday ( WDAY ) was lower in late Tuesday trading despite the cloud applications company today reporting a surprise Q4 profit and revenue beating analyst estimates.
|
(-) DDD, Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. The company earned $0.07 per share during the three months ended Jan. 31, topping the Capital IQ Consensus looking for a $0.01 per share net loss. Projected FY17 revenue of $643 mln to $684 mln lags the $693.19 mln analyst mean.
|
(-) DDD, Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. The company earned $0.07 per share during the three months ended Jan. 31, topping the Capital IQ Consensus looking for a $0.01 per share net loss. Guides Q1 revenue in-line with Street view.
|
88bd70d2-1aec-4cb4-b7d9-b66f9d3d3e60
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717101.0
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2017-02-28 00:00:00 UTC
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Why 3D Systems Corporation (DDD) Stock Is Falling Today
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-corporation-ddd-stock-falling-today-2017-02-28
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nan
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nan
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips
3D Systems Corporation (NYSE: DDD ) stock was down on Tuesday following the release of its earnings report for the fourth quarter of 2016.
3D Systems Corporation reported revenue of $165.94 million for the fourth quarter of 2016. This is a drop from its revenue of $183.36 million that was reported during the same time last year. It also didn't reach Wall Street's revenue estimate of $176.76 million for the quarter.
Earnings per share reported by 3D Systems Corporation for the fourth quarter of the year was 15 cents. This is down from its earnings per share of 19 cents reported in the fourth quarter of 2015. However, it did manage to come in two cents above analysts' estimate for fourth quarter of 2016.
3D Systems Corporation reported net income of $5.18 million in the fourth quarter of 2016. This is an increase over the 3D printing company's net loss of $596.67 million that was reported in the same period of the year prior.
3D Systems Corporation also released its guidance for the full year of 2017 in its most recent earnings report. The company is expecting revenue for the year to range from $643 million to $684 million. Wall Street is expecting DDD to report revenue of $684.80 million for the year.
3D Systems Corporation earnings per share expectations for the full year of 2017 fall between 51 cents and 55 cents. Analysts are expecting the company to report earnings per share of 51 cents for the year.
"Continued demand for our production printers and materials reaffirms our belief that our industry is at an inflection point in the transition from prototyping to production," Vyomesh Joshi , CEO of 3D Systems Corporation, said in a statement .
DDD stock was down 10% as of noon Tuesday, but is up 15% year-to-date.
More From InvestorPlace
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10 Super-Safe Dividend Growth Stocks to Buy Today
The post Why 3D Systems Corporation (DDD) Stock Is Falling Today appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock was down on Tuesday following the release of its earnings report for the fourth quarter of 2016. Wall Street is expecting DDD to report revenue of $684.80 million for the year. DDD stock was down 10% as of noon Tuesday, but is up 15% year-to-date.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock was down on Tuesday following the release of its earnings report for the fourth quarter of 2016. More From InvestorPlace 7 Dividend Stocks for the Retirement You Deserve 7 Marvelous Mid-Cap Stocks to Buy for the Best of All Worlds 10 Super-Safe Dividend Growth Stocks to Buy Today The post Why 3D Systems Corporation (DDD) Stock Is Falling Today appeared first on InvestorPlace . Wall Street is expecting DDD to report revenue of $684.80 million for the year.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock was down on Tuesday following the release of its earnings report for the fourth quarter of 2016. More From InvestorPlace 7 Dividend Stocks for the Retirement You Deserve 7 Marvelous Mid-Cap Stocks to Buy for the Best of All Worlds 10 Super-Safe Dividend Growth Stocks to Buy Today The post Why 3D Systems Corporation (DDD) Stock Is Falling Today appeared first on InvestorPlace . Wall Street is expecting DDD to report revenue of $684.80 million for the year.
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InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock was down on Tuesday following the release of its earnings report for the fourth quarter of 2016. Wall Street is expecting DDD to report revenue of $684.80 million for the year. DDD stock was down 10% as of noon Tuesday, but is up 15% year-to-date.
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8105e2d1-69d0-43db-81b9-da12fc36b57c
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717102.0
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2017-02-28 00:00:00 UTC
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Technology Sector Update for 02/28/2017: EBIX,WUBA,DDD
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DDD
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https://www.nasdaq.com/articles/technology-sector-update-02282017-ebixwubaddd-2017-02-28
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nan
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nan
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Top Tech Stocks
MSFT -0.67%
AAPL +0.08%
IBM +0.16%
CSCO -0.53%
GOOG -0.93%
Technology stocks were mostly lower Tuesday, with shares of tech companies in the S&P 500 dropping almost 0.6%.
In company news, Ebix ( EBIX ) jumped out to a record high on Tuesday after the enterprise software firm today reported Q4 financial results that beat Wall Street expectations.
The company earned $0.76 per share during the three months ended Dec. 31, up from a $0.66 per share profit during the same quarter last year and topping the two-analyst consensus by $0.11 per share.
Revenue grew 14% over year-ago levels to $80.05 million, also surpassing the $76.44 million two-analyst mean.
EBIX shares were up nearly 5% at $62.81 each, previously today reach its best level ever at $63.95 a share.
In other sector news,
(+) WUBA, (+13.6%) Non-GAAP Q4 net loss of $0.01 per share is $0.13 smaller than Capital IQ consensus. Revenue climbs 20.1% over last year to $306.6 mln, exceeding the $303.26 mln consensus. Guides Q1 revenue in-line with Street view.
(-) DDD, (-10.5%) Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. Earns $0.15 per share during the October-to-December period, $0.02 better than Street view. Projected FY17 revenue of $643 mln to $684 mln lags the $693.19 mln analyst mean.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
(-) DDD, (-10.5%) Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. Technology stocks were mostly lower Tuesday, with shares of tech companies in the S&P 500 dropping almost 0.6%. In company news, Ebix ( EBIX ) jumped out to a record high on Tuesday after the enterprise software firm today reported Q4 financial results that beat Wall Street expectations.
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(-) DDD, (-10.5%) Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. In company news, Ebix ( EBIX ) jumped out to a record high on Tuesday after the enterprise software firm today reported Q4 financial results that beat Wall Street expectations. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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(-) DDD, (-10.5%) Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. The company earned $0.76 per share during the three months ended Dec. 31, up from a $0.66 per share profit during the same quarter last year and topping the two-analyst consensus by $0.11 per share. Projected FY17 revenue of $643 mln to $684 mln lags the $693.19 mln analyst mean.
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(-) DDD, (-10.5%) Q4 revenue drops 9.5% from last year to $165.9 mln, trailing the $177.1 mln Capital IQ consensus. The company earned $0.76 per share during the three months ended Dec. 31, up from a $0.66 per share profit during the same quarter last year and topping the two-analyst consensus by $0.11 per share. EBIX shares were up nearly 5% at $62.81 each, previously today reach its best level ever at $63.95 a share.
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b068d2a5-8570-4e39-8db3-54c7644daf49
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717103.0
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2017-02-28 00:00:00 UTC
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3D Systems' Earnings Reflect a Continued Challenging Market; Stock Drops 10%
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DDD
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https://www.nasdaq.com/articles/3d-systems-earnings-reflect-continued-challenging-market-stock-drops-10-2017-02-28
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nan
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nan
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3D Systems (NYSE: DDD) reported its fourth-quarter and full-year 2016 earnings before the market opened on Tuesday. For the quarter, the largest publicly traded pure-play diversified 3D printing company posted a year-over-year revenue decline of 9.5%, while adjusted earnings per share fell 21%.
Along with fellow industry leader Stratasys , the company has struggled to grow revenue since a widespread slowdown in demand for its 3D printers began two years ago. Excess capacity in the field and a lengthening of sales cycles due to increased competition are likely two main factors at play.
This was the third quarterly report that covers a period for which Vyomesh Joshi -- appointed last April -- has been CEO.
Shares of 3D Systems dropped nearly 10% soon after the market opened and have been struggling throughout the day, as of this writing on midday Tuesday. The market's reaction is likely due to the company's fourth-quarter revenue and 2017 revenue guidance coming in lighter than Wall Street analysts were expecting. The stock has gained about 46% for the one-year period through midday on Tuesday, versus the S&P 500's total return of approximately 24%.
3D Systems' quarterly key numbers
Data source: 3D Systems. GAAP = generally accepted accounting principles.
For the quarter, 3D Systems' gross profit margin improved to 50%, up from 47.7% in the year-ago period, excluding charges related to discontinued consumer products. The company generated $18.7 million of cash from operations during the quarter and $56.9 million for the full year, and it ended the year with $184.9 million of cash on hand compared to $155.6 million at the end of 2015.
For the full year 2016, revenue decreased 5% to $633.0 million compared to $666.2 million in 2015, which included approximately $20 million of revenue from consumer products that the company discontinued at the end of 2015. Excluding 2015's revenue from consumer products, 2016 revenue dipped about 2% year over year. GAAP loss per share narrowed significantly to $0.35 from $5.85, and adjusted earnings per share increased more than 70% to $0.46 from $0.27 in 2015.
3D Systems didn't provide guidance for 2016. For some context -- though investors shouldn't pay much attention to Wall Street's near-term estimates -- analysts were looking for fourth-quarter adjusted EPS of $0.13 on revenue of $176.76 million. So, 3D Systems beat the earnings estimate by $0.02, but it came in light on revenue.
Segment results
Data source: 3D Systems.
Overall in the quarter, revenue declined 9.5% as demand from industrial customers combined with growth in software and healthcare services were not enough to offset the impact of weaker sales of professional printers and on-demand services.
For the full year 2016, year-over-year revenue change by business was as follows:
Healthcare (spans both products and services): up 5%
Materials (within products segment): up 4%
Software (within products): up 12%
3D printers (within products): down 21%
On-demand parts (within services): down 18%
What management had to say
CFO John McMullen had this to say in the press release:
2017 guidance
3D Systems provided full-year 2017 guidance as follows:
Data source: 3D Systems.
3D Systems also said it expects to continue to generate positive cash flow from operations in 2017.
Going into earnings, analysts were looking for 3D Systems to post adjusted EPS of $0.51 on revenue of $684.8 million. So, Wall Street was likely pleased with the company's adjusted EPS guidance and disappointed with the revenue guidance. Nonetheless, the revenue does reflect a modest improvement from 2016. Moreover, it's good news that the company expects to return to profitability from a GAAP standpoint in 2017.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now...and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 6, 2017.
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems (NYSE: DDD) reported its fourth-quarter and full-year 2016 earnings before the market opened on Tuesday. For the quarter, the largest publicly traded pure-play diversified 3D printing company posted a year-over-year revenue decline of 9.5%, while adjusted earnings per share fell 21%. Along with fellow industry leader Stratasys , the company has struggled to grow revenue since a widespread slowdown in demand for its 3D printers began two years ago.
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3D Systems (NYSE: DDD) reported its fourth-quarter and full-year 2016 earnings before the market opened on Tuesday. The company generated $18.7 million of cash from operations during the quarter and $56.9 million for the full year, and it ended the year with $184.9 million of cash on hand compared to $155.6 million at the end of 2015. For the full year 2016, revenue decreased 5% to $633.0 million compared to $666.2 million in 2015, which included approximately $20 million of revenue from consumer products that the company discontinued at the end of 2015.
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3D Systems (NYSE: DDD) reported its fourth-quarter and full-year 2016 earnings before the market opened on Tuesday. The company generated $18.7 million of cash from operations during the quarter and $56.9 million for the full year, and it ended the year with $184.9 million of cash on hand compared to $155.6 million at the end of 2015. For the full year 2016, revenue decreased 5% to $633.0 million compared to $666.2 million in 2015, which included approximately $20 million of revenue from consumer products that the company discontinued at the end of 2015.
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3D Systems (NYSE: DDD) reported its fourth-quarter and full-year 2016 earnings before the market opened on Tuesday. For some context -- though investors shouldn't pay much attention to Wall Street's near-term estimates -- analysts were looking for fourth-quarter adjusted EPS of $0.13 on revenue of $176.76 million. For the full year 2016, year-over-year revenue change by business was as follows: Healthcare (spans both products and services): up 5% Materials (within products segment): up 4% Software (within products): up 12% 3D printers (within products): down 21% On-demand parts (within services): down 18% What management had to say CFO John McMullen had this to say in the press release: 2017 guidance 3D Systems provided full-year 2017 guidance as follows: Data source: 3D Systems.
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8062c4ee-1856-415a-9023-3295b1e152b1
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717104.0
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2017-02-27 00:00:00 UTC
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3D Systems Earnings Preview: All Eyes on 3D Printer Sales
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DDD
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https://www.nasdaq.com/articles/3d-systems-earnings-preview-all-eyes-3d-printer-sales-2017-02-27
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nan
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nan
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3D Systems (NYSE: DDD) is slated to report its fourth-quarter and full-year 2016 earnings before the market opens on Tuesday, Feb. 28. The leading diversified 3D printing company will be the first of the two big players to report, as rival Stratasys has not yet reported.
This will be the third quarterly report released that covers a period for which Vyomesh Joshi has been CEO.
While 3D Systems' stock is still down considerably from its all-time high, it began climbing in early 2016. It's gained more than 64% for the one-year period through Feb. 24, versus Stratasys' 14.1% gain and the S&P 500's total return of nearly 26%. While 3D Systems' business is still struggling, there have been some improvements in the company's financials in 2016 compared with 2015, which is probably the main reason for the stock's more recent performance.
Benchmark quarterly numbers
Here are the year-ago quarterly results to use as benchmarks.
Data source: 3D Systems.
Investors have no guidance from 3D Systems upon which to gauge its headline numbers. In an atypical move, the company didn't provide full-year guidance when it traditionally does -- early in the year when it releases full-year results for the prior year -- or later in the year either. This made some sense, given the company's reported poor visibility into the market environment coupled with the change in CEOs. (The former CEO abruptly exited in late October 2015, so 3D Systems was without a permanent CEO for five months.)
For the quarter, analysts expect 3D Systems to deliver adjusted EPS of $0.13 on revenue of $176.76 million, representing year-over-year declines of 31.6% and 3.6%, respectively. While long-term investors shouldn't give too much credence to Wall Street's near-term estimates, they can be helpful to know, since, together with forward guidance, they often help explain market reactions.
Along with the headline numbers, here's what to focus on in the report.
Sales of 3D printers
Like Stratasys, 3D Systems continues to struggle to grow 3D printer revenue, amid what's been a challenging market environment for two years. Stratasys' management has long attributed the widespread slowdown in demand among businesses for 3D printers to a glut of 3D printing capacity in the field because of the large number of machines sold in the years preceding the slowdown. Increased competition has also probably resulted in a lengthening of the sales cycle.
In the third quarter, 3D Systems' revenue generated from sales of 3D printers declined 6% year over year. Ideally, fourth-quarter results will show some improvement.
Progress on Figure 4
Hopefully, management will provide some color during the conference call following the earnings release on the company's progress in developing Figure 4. This is a speedy, robotic, modular, stereolithography 3D printing system designed for the production of plastic parts.
3D Systems introduced Figure 4 in early 2016 and demonstrated it at a major industry trade show in the fall. Joshi said on the last conference call that it was then roughly two years away from commercialization.
2017 guidance
It seems likely that 3D Systems will provide some type of guidance -- if not for the full year 2017, then at least for the first quarter. After all, we'll be two-thirds of the way through the first quarter when the company reports its 2016 results.
Final thoughts
Investors can hopefully expect continued solid performance from 3D Systems' golden child -- its healthcare business, whose sales rose 23.2% in the third quarter versus 3.2% for the overall business. However, the even better news would be an improvement in revenue generated from sales of 3D printers, as this is the company's core business. Moreover, 3D printer sales are central to 3D System' razor-and-blade business strategy, as they fuel sales of 3D printing material.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 6, 2017
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems (NYSE: DDD) is slated to report its fourth-quarter and full-year 2016 earnings before the market opens on Tuesday, Feb. 28. While 3D Systems' business is still struggling, there have been some improvements in the company's financials in 2016 compared with 2015, which is probably the main reason for the stock's more recent performance. For the quarter, analysts expect 3D Systems to deliver adjusted EPS of $0.13 on revenue of $176.76 million, representing year-over-year declines of 31.6% and 3.6%, respectively.
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3D Systems (NYSE: DDD) is slated to report its fourth-quarter and full-year 2016 earnings before the market opens on Tuesday, Feb. 28. In an atypical move, the company didn't provide full-year guidance when it traditionally does -- early in the year when it releases full-year results for the prior year -- or later in the year either. Sales of 3D printers Like Stratasys, 3D Systems continues to struggle to grow 3D printer revenue, amid what's been a challenging market environment for two years.
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3D Systems (NYSE: DDD) is slated to report its fourth-quarter and full-year 2016 earnings before the market opens on Tuesday, Feb. 28. In an atypical move, the company didn't provide full-year guidance when it traditionally does -- early in the year when it releases full-year results for the prior year -- or later in the year either. Sales of 3D printers Like Stratasys, 3D Systems continues to struggle to grow 3D printer revenue, amid what's been a challenging market environment for two years.
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3D Systems (NYSE: DDD) is slated to report its fourth-quarter and full-year 2016 earnings before the market opens on Tuesday, Feb. 28. This will be the third quarterly report released that covers a period for which Vyomesh Joshi has been CEO. In the third quarter, 3D Systems' revenue generated from sales of 3D printers declined 6% year over year.
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351b0d5c-28d3-4cf3-8a62-ec27f646f707
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717105.0
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2017-02-24 00:00:00 UTC
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What's in the Cards for 3D Systems (DDD) in Q4 Earnings?
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DDD
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https://www.nasdaq.com/articles/whats-in-the-cards-for-3d-systems-ddd-in-q4-earnings-2017-02-24
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nan
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nan
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3D Systems CorporationDDD is slated to report fourth-quarter 2016 results,before the opening bell on Feb 28.
3D Systems has an extremely volatile earnings history, oscillating between incredible beats and abysmal misses. Over the trailing four quarters, the company has posted three huge beats and missed estimates drastically once. Last quarter, it had posted an incredible beat of 900%.
Let's see how things are shaping up for this announcement.
Factors to Consider
3D Systems' broad portfolio of healthcare offerings is likely to continue its momentum and we expect it to be one of the strongest profit churners in the upcoming quarterly results. During third-quarter 2016, revenue from healthcare and related applications jumped an impressive 23% year over year, driven by solid demand for the company's extensive offerings, as well as expansion by clients printing medical and dental devices.
Particularly, precision healthcare offerings like printers and materials, surgical simulation and planning, and printing of devices and tools contributed to growth. This apart, the company's other four growth channels, namely expansion of quickparts services, accelerating 3D printer penetration through channel expansion, launch of integrated 3D authoring solutions platform and strengthening of partnerships are likely to drive growth for the soon-to-be-reported quarter.
Its recent partnership with PTC, where the two leaders joined forces to integrate 3D Systems' 3D Sprint SDK into PTC's flagship Creo CAD platform, should also have a positive impact on results.
During the quarter to be reported, 3D Systems rolled out 3D Sprint 2.0, a productivity-enhancing print management and print optimization software, developed for 3D Systems' plastic 3D printers. In addition, the company's operational restructuring initiatives, such as improving the sales network as well as undertaking lean manufacturing initiatives in supply-chain operations are likely to supplement results. We believe that these steps will significantly reduce 3D Systems' cost of sales and operating expenses, thereby driving profits.
Over the past one year, 3D Systems' shares recorded an average return of 66.5%, outperforming the Zacks classified Computer Mini-Market industry's average of 41% over the same time period.
However, for the past few quarters, the company has been witnessing particularly unfavorable broader market conditions that have hit its financial performance severely. It has been grappling with macroeconomic headwinds, including economic slowdown, inflation, currency fluctuations, commodity prices and credit availability. Further, sustained softness in prototyping, stiff competition and general macro headwinds which are affecting the sector, will likely also hurt 3D Systems' results.
In the previous quarter, revenues from 3D printing products and services were significantly undermined due to prolonged challenging market conditions that hampered customers' capital investment cycles and reduced demand across all geographies.
Also, cut-throat competition in the industry, along with factors like escalating research & development and selling & administrative expenses, are likely to impair the financials to some extent. However, the company's restructuring initiatives might curtail costs and provide a much needed boost to profits.
3D Systems Corporation Price, Consensus and EPS Surprise
3D Systems Corporation Price, Consensus and EPS Surprise | 3D Systems Corporation Quote
Earnings Whispers
Our proven model does not conclusively indicate an earnings beat for 3D Systems this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) for this to happen. But that is not the case here as you will see below.
Zacks ESP: Earnings ESP for the company is currently pegged at 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate are pegged at 4 cents.You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: 3D Systems' Zacks Rank #3 increases the predictive power of ESP. However, we need to have a positive ESP as well to be confident about an earnings beat.
Note that we caution against stocks with Zacks Rank #4 or 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks That Warrant a Look
Here are some companies that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat in their upcoming results:
Burlington Stores, Inc. BURL has a positive Earnings ESP of +1.18% and a Zacks Rank #1. You can see the complete list of today's Zacks #1 Rank stocks here.
AECOM ACM has an Earnings ESP of +1.41% and a Zacks Rank #3.
Headwaters Incorporated HW has an Earnings ESP of +13.33% and a Zacks Rank #3.
Zacks' Top 10 Stocks for 2017
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Headwaters Incorporated (HW): Free Stock Analysis Report
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3D Systems Corporation (DDD): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems CorporationDDD is slated to report fourth-quarter 2016 results,before the opening bell on Feb 28. Click to get this free report Headwaters Incorporated (HW): Free Stock Analysis Report AECOM (ACM): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Burlington Stores, Inc. (BURL): Free Stock Analysis Report To read this article on Zacks.com click here. Factors to Consider 3D Systems' broad portfolio of healthcare offerings is likely to continue its momentum and we expect it to be one of the strongest profit churners in the upcoming quarterly results.
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Click to get this free report Headwaters Incorporated (HW): Free Stock Analysis Report AECOM (ACM): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Burlington Stores, Inc. (BURL): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD is slated to report fourth-quarter 2016 results,before the opening bell on Feb 28. 3D Systems Corporation Price, Consensus and EPS Surprise 3D Systems Corporation Price, Consensus and EPS Surprise | 3D Systems Corporation Quote Earnings Whispers Our proven model does not conclusively indicate an earnings beat for 3D Systems this quarter.
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Click to get this free report Headwaters Incorporated (HW): Free Stock Analysis Report AECOM (ACM): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Burlington Stores, Inc. (BURL): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD is slated to report fourth-quarter 2016 results,before the opening bell on Feb 28. 3D Systems Corporation Price, Consensus and EPS Surprise 3D Systems Corporation Price, Consensus and EPS Surprise | 3D Systems Corporation Quote Earnings Whispers Our proven model does not conclusively indicate an earnings beat for 3D Systems this quarter.
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3D Systems CorporationDDD is slated to report fourth-quarter 2016 results,before the opening bell on Feb 28. Click to get this free report Headwaters Incorporated (HW): Free Stock Analysis Report AECOM (ACM): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Burlington Stores, Inc. (BURL): Free Stock Analysis Report To read this article on Zacks.com click here. Particularly, precision healthcare offerings like printers and materials, surgical simulation and planning, and printing of devices and tools contributed to growth.
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d8db2bfb-2632-42d4-8610-24c8d034b8d1
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717106.0
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2017-02-11 00:00:00 UTC
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The 1 3D Printing Stock I Want to Own in 2017
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DDD
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https://www.nasdaq.com/articles/1-3d-printing-stock-i-want-own-2017-2017-02-11
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nan
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nan
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3D printing has been a hot topic for four or five years, but most of the discussion has been around hype of what 3D printing could be. There's talk of 3D printed cars or redefining how manufacturing works, but the reality is that 3D printing is still used in many of the same ways it was a decade ago. Product developers love 3D printing because they can design a part and in a matter of hours have a physical part to show to management or a potential customer. But manufacturing applications are small.
So, while Stratasys, Ltd. (NASDAQ: SSYS) and 3D Systems Corporation (NYSE: DDD) may get a lot of attention for their desktop 3D printing products or 3D printed metals, the increase in productivity is happening at companies like Proto Labs Inc (NYSE: PRLB) , which is why it's the one 3D printing stock I want to own in 2017.
What Proto Labs does
The primary business of companies like Stratasys or 3D Systems is to sell 3D printers and the material they run on. More equipment in the field is good and more utilization of that equipment is also good.
Proto Labs takes a different approach to the entire rapid prototyping industry. It offers a service that automates production of small runs of parts on a variety of platforms. Parts may be 3D printed, injection molded, or produced on a CNC machine, any of which are fine with Proto Labs. This offloads the equipment cost from developers to Proto Labs and gives developers the ability to produce parts on demand -- there's no need to be an expert in running the equipment. The company just needs customers to demand rapid production of parts.
This makes Proto Labs technology and materials agnostic for their customers. Where their advantage comes in is the software that parts are uploaded to, quoted from, and then produced off of. Once someone knows how to use the system, it's easy to come back with new product ideas or parts to prototype. That leads to a sustainable advantage for Proto Labs compared to companies that need to keep selling equipment to stay afloat.
Why Proto Labs is different than 3D rivals
It sounds crazy, but I want to own companies that can make money. And when comparing 3D Systems, Stratasys, and Proto Labs the one thing that stands out is their bottom line. You can see below that Proto Labs isn't the biggest company of the three, but it's by far the most profitable and consistent operator in the group.
DDD Revenue (TTM) data by YCharts
Proto Lab's better financial performance isn't by accident. It isn't depending on selling equipment each quarter and it didn't have to go on an expensive acquisition spree to fill out the product portfolio. It just needs product developers to want more rapid prototyping capability, which is indeed growing long term.
3D printing may not be the only thing Proto Labs does, but it's adding 3D printing capabilities to molding and CNC processing and fitting it into a profitable business model. That's something equipment manufacturers don't currently have, and it's why Proto Labs is the one 3D printing stock I want to buy in 2017.
10 stocks we like better than Proto Labs
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Proto Labs wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 6, 2017
Travis Hoium has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DDD Revenue (TTM) data by YCharts Proto Lab's better financial performance isn't by accident. So, while Stratasys, Ltd. (NASDAQ: SSYS) and 3D Systems Corporation (NYSE: DDD) may get a lot of attention for their desktop 3D printing products or 3D printed metals, the increase in productivity is happening at companies like Proto Labs Inc (NYSE: PRLB) , which is why it's the one 3D printing stock I want to own in 2017. What Proto Labs does The primary business of companies like Stratasys or 3D Systems is to sell 3D printers and the material they run on.
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So, while Stratasys, Ltd. (NASDAQ: SSYS) and 3D Systems Corporation (NYSE: DDD) may get a lot of attention for their desktop 3D printing products or 3D printed metals, the increase in productivity is happening at companies like Proto Labs Inc (NYSE: PRLB) , which is why it's the one 3D printing stock I want to own in 2017. DDD Revenue (TTM) data by YCharts Proto Lab's better financial performance isn't by accident. And when comparing 3D Systems, Stratasys, and Proto Labs the one thing that stands out is their bottom line.
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So, while Stratasys, Ltd. (NASDAQ: SSYS) and 3D Systems Corporation (NYSE: DDD) may get a lot of attention for their desktop 3D printing products or 3D printed metals, the increase in productivity is happening at companies like Proto Labs Inc (NYSE: PRLB) , which is why it's the one 3D printing stock I want to own in 2017. DDD Revenue (TTM) data by YCharts Proto Lab's better financial performance isn't by accident. This offloads the equipment cost from developers to Proto Labs and gives developers the ability to produce parts on demand -- there's no need to be an expert in running the equipment.
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So, while Stratasys, Ltd. (NASDAQ: SSYS) and 3D Systems Corporation (NYSE: DDD) may get a lot of attention for their desktop 3D printing products or 3D printed metals, the increase in productivity is happening at companies like Proto Labs Inc (NYSE: PRLB) , which is why it's the one 3D printing stock I want to own in 2017. DDD Revenue (TTM) data by YCharts Proto Lab's better financial performance isn't by accident. The company just needs customers to demand rapid production of parts.
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ce571533-eed0-4346-8318-eb5e77c4865b
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717107.0
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2017-02-07 00:00:00 UTC
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Why Stratasys Stock Popped 19% in January
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DDD
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https://www.nasdaq.com/articles/why-stratasys-stock-popped-19-january-2017-02-07
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nan
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nan
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What happened
Shares of Stratasys (NASDAQ: SSYS) jumped 19.2% in January, according to data from S&P Global Market Intelligence . The diversified 3D printing company's stock has gained 16.4% in the one-year period through Feb. 6.
To provide some context, shares of prime rival 3D Systems (NYSE: DDD) climbed 24.1% in January and are up a whopping 85.6% for the same one-year period. The S&P 500 has returned 24.6% over the past year.
Data by YCharts .
So what
The only material news about Stratasys during January, in my view, was that it announced the appointment of two new top executives. A new CFO came on board at the start of the year, while a new CEO took over at MakerBot, the company's desktop subsidiary, in mid-January.
Both execs who previously held these positions reportedly resigned on their own, though we can't know for sure what went on behind the scenes. The fact that the former CFO is staying on in an advisory capacity does lend support to the theory that he voluntarily stepped down. Indeed, my impression is that former CFO Erez Simha was well regarded. I can't speak to the former CEO of MakerBot, which is in the midst of a turnaround.
So I don't think Stratasys stock's strong performance in January had much, if anything, to do with the changing of the guard in these two key positions. That said, both newly appointed executives seem well qualified.
Athletic shoe model 3D-printed on a Stratasys 3D printer.
So why the 19% stock pop? It seems likely that a fair number of investors bought shares because they believed that Stratasys' stock has simply been too beaten up, especially when compared with shares of 3D Systems, which soared 53% in 2016. Shares of Stratasys declined sharply in 2016 -- nearly 30%. The two companies' respective business performances didn't justify the nearly 83-percentage-point spread in their stock performances in 2016, in my opinion.
At first glance, this "normalizing with the primary peer" theory might appear weak, since shares of 3D Systems moderately outperformed those of Stratasys in January -- 24.1% to 19.2%. However, there was a reason behind the bulk of 3D Systems' pop: Shares soared nearly 16% after rumors surfaced that General Electric had approached Triple D about a buyout.
Now what
Investors shouldn't change course based on the rise in Stratasys' share price. The company's business performance and outlook remain the same as they were before the start of 2017.
Investors will, however, be getting some material news soon, as Stratasys is expected to report its fourth-quarter and full-year 2016 earnings in early March. The company hasn't set an exact date and time, as of this writing.
10 stocks we like better than Stratasys
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and Stratasys wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of February 6, 2017
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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To provide some context, shares of prime rival 3D Systems (NYSE: DDD) climbed 24.1% in January and are up a whopping 85.6% for the same one-year period. At first glance, this "normalizing with the primary peer" theory might appear weak, since shares of 3D Systems moderately outperformed those of Stratasys in January -- 24.1% to 19.2%. However, there was a reason behind the bulk of 3D Systems' pop: Shares soared nearly 16% after rumors surfaced that General Electric had approached Triple D about a buyout.
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To provide some context, shares of prime rival 3D Systems (NYSE: DDD) climbed 24.1% in January and are up a whopping 85.6% for the same one-year period. However, there was a reason behind the bulk of 3D Systems' pop: Shares soared nearly 16% after rumors surfaced that General Electric had approached Triple D about a buyout. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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To provide some context, shares of prime rival 3D Systems (NYSE: DDD) climbed 24.1% in January and are up a whopping 85.6% for the same one-year period. So I don't think Stratasys stock's strong performance in January had much, if anything, to do with the changing of the guard in these two key positions. It seems likely that a fair number of investors bought shares because they believed that Stratasys' stock has simply been too beaten up, especially when compared with shares of 3D Systems, which soared 53% in 2016.
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To provide some context, shares of prime rival 3D Systems (NYSE: DDD) climbed 24.1% in January and are up a whopping 85.6% for the same one-year period. So what The only material news about Stratasys during January, in my view, was that it announced the appointment of two new top executives. So I don't think Stratasys stock's strong performance in January had much, if anything, to do with the changing of the guard in these two key positions.
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5f476da8-dbc9-45fc-a19d-b87d5adf65aa
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717108.0
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2017-02-05 00:00:00 UTC
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Why 3D Systems Stock Soared 24% in January
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-stock-soared-24-january-2017-02-05
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nan
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Image source: Getty Images.
What happened
Shares of 3D Systems (NYSE: DDD) jumped 24.1% in January according to data from S&P Global Market Intelligence . The diversified 3D printing company's stock has gained 117% in the one-year period though Feb. 2.
Data by YCharts .
So what
There was no material news about 3D Systems' business performance or outlook in January. The stock's big jump can largely be attributed to buyout rumors. On Jan. 9, shares of 3D Systems shot up 15.7% on buzz that General Electric (NYSE: GE) had approached the company about a buyout and that it had hired an investment banker to explore a possible deal.
Only time will tell -- per the hit '80s tune -- whether the rumors are true and whether a deal is in the pipeline. Rumors about buyouts in the 3D printing space have been rampant for many years. That said, as far as rumors go, this one isn't far out, as many of them have been.
General Electric has long been a major user of 3D printing. Moreover, late last year, it spent approximately $1.4 billion acquiring controlling stakes in two European metal 3D printing companies. These moves marked the digital industrial giant's entrance into the 3D printing supplier business. GE's goal is to generate $1 billion in 3D printing revenue by 2020. So, it's certainly possible that GE could view 3D Systems -- which has a diversified business, though it's heavily slanted toward polymer 3D printing -- as useful in helping it achieve its goal.
Now what
Most investors shouldn't buy a stock based only on buyout rumors. If the rumors turn out not to be true, the stock will likely give back the rumor-fueled pop in price.
Of course, there's no downside for existing 3D Systems investors, with January's rise a welcome surprise. And if the rumor turns out to be true, investors will likely be getting a bigger pop.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now...and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 4, 2017.
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened Shares of 3D Systems (NYSE: DDD) jumped 24.1% in January according to data from S&P Global Market Intelligence . On Jan. 9, shares of 3D Systems shot up 15.7% on buzz that General Electric (NYSE: GE) had approached the company about a buyout and that it had hired an investment banker to explore a possible deal. Moreover, late last year, it spent approximately $1.4 billion acquiring controlling stakes in two European metal 3D printing companies.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. What happened Shares of 3D Systems (NYSE: DDD) jumped 24.1% in January according to data from S&P Global Market Intelligence . The diversified 3D printing company's stock has gained 117% in the one-year period though Feb. 2.
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What happened Shares of 3D Systems (NYSE: DDD) jumped 24.1% in January according to data from S&P Global Market Intelligence . Now what Most investors shouldn't buy a stock based only on buyout rumors. 10 stocks we like better than 3D Systems When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen.
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What happened Shares of 3D Systems (NYSE: DDD) jumped 24.1% in January according to data from S&P Global Market Intelligence . So, it's certainly possible that GE could view 3D Systems -- which has a diversified business, though it's heavily slanted toward polymer 3D printing -- as useful in helping it achieve its goal. The Motley Fool owns shares of General Electric.
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cee57398-083d-412d-87b6-cd3313ed5e64
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717109.0
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2017-02-03 00:00:00 UTC
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The Best Stock in 3D Printing to Buy for 2017 and Beyond
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DDD
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https://www.nasdaq.com/articles/best-stock-3d-printing-buy-2017-and-beyond-2017-02-03
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nan
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Most of the pure-play 3D printing companies -- including industry heavyweights 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) -- have been struggling over the last few years to grow revenue and to turn a profit due to a widespread slowdown in demand for their products.
Nonetheless, projected long-term growth dynamics for the industry remain very rosy. You might believe, as I do, that this means it's likely that at least one of the current crop of pure-play 3D printing stocks will be a long-term winner, despite increased competition from compelling new entrants such as HP Inc.,General Electric (NYSE: GE) , and venture-backed Carbon.
If so, and you want exposure to this space, which 3D printing stock should you buy?
Arcam's revenue and net income growth dynamics over the last several years have been better than those of 3D Systems and Stratasys (as well as the other pure-play 3D printing companies not shown). Data by YCharts .
Another reason to favor Arcam is that it focuses solely on metals. Metal 3D printing has been the fastest-growth space within the 3D printing industry. Moreover, this specialization better insulates Arcam from competition from HP and Carbon, both of which launched speedy polymer 3D printers for the enterprise market in 2016.
Arcam has risks
Arcam has just one 3D-printing technology. So, if another metal 3D-printing tech advances more quickly than EBM, Arcam could face difficulties. This risk, though, has been greatly reduced by GE's purchase of a controlling stake in the company.
Additionally, the stock is extremely pricey, sporting a trailing-12-month price-to-earnings ratio of 748. That's nosebleed territory, with much future growth already priced in. So, only investors comfortable with volatility and truly long-term focused should consider investing in Arcam.
Data by YCharts .
What about 3D Systems, Stratasys, and the others?
Investors should pass on ExOne and voxeljet, as neither company has yet to demonstrate that it can profitably grow its business. Materialise, which was profitable before its 2014 IPO and soon thereafter, remains a company to watch. It sells 3D printing software and provides 3D-printing services.
Some folks may wonder about Proto Labs : This is a solid company that seems to have good long-term growth potential. However, the quick-turn manufacturing service provider is far from a pure-play 3D printing stock, so it wasn't included in this analysis. In the third quarter, just 12% of Proto Labs' revenue was generated from 3D printing.
As for 3D Systems and Stratasys, while there are no guarantees, their industry-leading sizes and valuable intellectual property should help provide them with staying power. Notably, 3D Systems has the largest combined 3D printing personalized surgery and medical device services and production operation in the industry. One of Stratasys' top strengths, in my opinion, is its highly regarded line of multicolor, multimaterial 3D printers.
3D Systems' healthcare business is its crown jewel. Image source: 3D Systems.
However, both companies -- especially 3D Systems -- have made big missteps in recent years. Stratasys' desktop subsidiary, MakerBot, imploded after the company released the fifth-generation Replicator with widespread quality issues. 3D Systems' manic acquisition activity over several years likely resulted in the company failing to adequately nurture its existing businesses.
The leadership teams under which these and other notable missteps occurred are gone. Both companies appointed new CEOs in 2016, while a new CFO joined 3D Systems last year and Stratasys this year. At this early stage, however, we don't know how successful either top management team will be.
In short, 3D Systems and Stratasys both have the potential to be solid long-term winners. But Arcam -- which has been led by the same CEO and CFO for many years -- has more successfully demonstrated that it has what it takes in the here and now to be a long-term winner.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now...and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 4, 2017.
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Most of the pure-play 3D printing companies -- including industry heavyweights 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) -- have been struggling over the last few years to grow revenue and to turn a profit due to a widespread slowdown in demand for their products. You might believe, as I do, that this means it's likely that at least one of the current crop of pure-play 3D printing stocks will be a long-term winner, despite increased competition from compelling new entrants such as HP Inc.,General Electric (NYSE: GE) , and venture-backed Carbon. Arcam's revenue and net income growth dynamics over the last several years have been better than those of 3D Systems and Stratasys (as well as the other pure-play 3D printing companies not shown).
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Most of the pure-play 3D printing companies -- including industry heavyweights 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) -- have been struggling over the last few years to grow revenue and to turn a profit due to a widespread slowdown in demand for their products. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool owns shares of General Electric.
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Most of the pure-play 3D printing companies -- including industry heavyweights 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) -- have been struggling over the last few years to grow revenue and to turn a profit due to a widespread slowdown in demand for their products. Arcam's revenue and net income growth dynamics over the last several years have been better than those of 3D Systems and Stratasys (as well as the other pure-play 3D printing companies not shown). Both companies appointed new CEOs in 2016, while a new CFO joined 3D Systems last year and Stratasys this year.
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Most of the pure-play 3D printing companies -- including industry heavyweights 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) -- have been struggling over the last few years to grow revenue and to turn a profit due to a widespread slowdown in demand for their products. Metal 3D printing has been the fastest-growth space within the 3D printing industry. Arcam has risks Arcam has just one 3D-printing technology.
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933567b1-7fa2-4834-a06c-4bd93b187044
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717110.0
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2017-01-31 00:00:00 UTC
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Technology Sector Update for 01/31/2017: DDD,AVID,RMBS
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DDD
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https://www.nasdaq.com/articles/technology-sector-update-01312017-dddavidrmbs-2017-01-31
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nan
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Top Tech Stocks
MSFT -0.88%
AAPL -0.34%
IBM -0.78%
CSCO -0.47%
GOOG -0.65%
Technology stocks declined again as worries over the potential impact of new U.S. immigration regulations continued to weigh on an industry with a large number of foreign-born employees. At last look, shares of tech companies in the S&P 500 were down about 0.5%.
In company news, 3D Systems ( DDD ) pared its earlier slide and turned narrowly higher this afternoon after the 3-D printer and accessories company today said it has purchased Verte-Global Holding BV, a Dutch provider of dental materials sold under the Vertex and NextDent brands, for an undisclosed price.
The company said it expects the acquisition to immediately add to its non-GAAP per-share earnings and cash generation. NextDent already has developed a dozen 3D printing materials for dental applications and has obtained regulatory approvals to use those materials in more than 70 countries.
It also plans on continuing to sell and service the acquired company's existing customers with CEO Rik Jacobs and several other NextDent and Vertex Dental executive staying with the combined operations after the deal closes.
DDD shares were up about 0.5% in late trade at $16.49 apiece, or just a penny off their session high after earlier sinking to an intra-day low of $16.04 a share during the first hour of Tuesday trading.
In other sector news,
(+) AVID, Begins new three-year partnership with channel partner Beijing Jetsen Technology, which becomes the exclusive distributor of Avid products in much of China and will invest $18.1 mln through a private placement priced at current market levels.
(-) RMBS, Reports GAAP Q4 net loss of $0.03 per share, reversing $0.11 per share profit last year and upstaging Q4 revenue rising 27% to $97.6 mln, beating analyst mean by $1.6 mln. Non-GAAP EPS of $0.16 matches Street view. Guides Q1 results in-line with expectations.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In company news, 3D Systems ( DDD ) pared its earlier slide and turned narrowly higher this afternoon after the 3-D printer and accessories company today said it has purchased Verte-Global Holding BV, a Dutch provider of dental materials sold under the Vertex and NextDent brands, for an undisclosed price. DDD shares were up about 0.5% in late trade at $16.49 apiece, or just a penny off their session high after earlier sinking to an intra-day low of $16.04 a share during the first hour of Tuesday trading. Technology stocks declined again as worries over the potential impact of new U.S. immigration regulations continued to weigh on an industry with a large number of foreign-born employees.
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In company news, 3D Systems ( DDD ) pared its earlier slide and turned narrowly higher this afternoon after the 3-D printer and accessories company today said it has purchased Verte-Global Holding BV, a Dutch provider of dental materials sold under the Vertex and NextDent brands, for an undisclosed price. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. DDD shares were up about 0.5% in late trade at $16.49 apiece, or just a penny off their session high after earlier sinking to an intra-day low of $16.04 a share during the first hour of Tuesday trading.
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In company news, 3D Systems ( DDD ) pared its earlier slide and turned narrowly higher this afternoon after the 3-D printer and accessories company today said it has purchased Verte-Global Holding BV, a Dutch provider of dental materials sold under the Vertex and NextDent brands, for an undisclosed price. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. DDD shares were up about 0.5% in late trade at $16.49 apiece, or just a penny off their session high after earlier sinking to an intra-day low of $16.04 a share during the first hour of Tuesday trading.
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In company news, 3D Systems ( DDD ) pared its earlier slide and turned narrowly higher this afternoon after the 3-D printer and accessories company today said it has purchased Verte-Global Holding BV, a Dutch provider of dental materials sold under the Vertex and NextDent brands, for an undisclosed price. DDD shares were up about 0.5% in late trade at $16.49 apiece, or just a penny off their session high after earlier sinking to an intra-day low of $16.04 a share during the first hour of Tuesday trading. At last look, shares of tech companies in the S&P 500 were down about 0.5%.
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717111.0
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2017-01-29 00:00:00 UTC
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3 Top 3D Printing Stocks to Buy Now
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https://www.nasdaq.com/articles/3-top-3d-printing-stocks-buy-now-2017-01-29
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The 3D printing industry may not have advanced as quickly as some observers hoped over the last decade, but it's quickly changing the way companies and consumers think about manufactured products. It's now possible for a designer to print a part over lunch or for a manufacturer to make a short run of 5 or 10 parts without going through a costly tooling upgrade.
Materials advances in plastics and metals are also making 3D printing more attractive for everything from aircraft manufacturing to medical components. So who is leading in the space and where should investors put their money? Here are three companies investors looking to buy as the industry grows.
The two giants in 3D printing
3D Systems Corporation (NYSE: DDD) and Stratasys, Ltd. (NASDAQ: SSYS) are now the two giants of the 3D printing industry. A series of large acquisitions essentially consolidated the industry into these two companies, which both have very diverse sets of capabilities to offer customers. They make 3D plastic printers in sizes that range from those suited to an office desktop to large production equipment that can do small manufacturing runs.
Future growth could be driven by 3D printing of metals for small production runs or parts that would be impossible to make in a traditional casting or machining method. Despite the promise the industry holds, however, financial results have been anything but inspiring.
DDD Revenue (TTM) data by YCharts
You can see above that growth has slowed and net losses have been rampant in the last two years. But the losses have primarily been driven by writing down acquisitions made at astronomically high prices. What investors should be judging is what they're buying today in these companies.
Above, I included the gross profit figures for 3D Systems and Stratasys. I think this shows that even with the losses on the bottom line, gross profits have been strong. With tremendous growth opportunities ahead, if the companies can keep operating costs under control they could see bottom line improvement in the future. It's also worth noting that neither company has any debt on its balance sheet, lowering risks for operations going forward.
The rapid prototyping leader
While 3D Systems and Stratasys were fighting over the 3D printing equipment market, Protolabs Inc (NYSE: PRLB) was building a model based on rapidly producing parts for product designers and short run manufacturing. Some parts are 3D printed, some are machined, and others are injection molded.
Technology flexibility allows Protolabs to provide the solutions customers need without being tied into a single process or material. And that flexibility has led to much better financial results than those of competitors, as you can see below.
PRLB Revenue (TTM) data by YCharts
The advantage in Protolabs' business model is that it can provide different solutions using different technologies as companies develop it. That's especially useful because the volume of rapid prototype parts should continue to increase even as the technology being used changes. As more companies begin to use quick turnaround parts, Protolabs will be there -- and that makes it my favorite stock in the 3D printing space.
10 stocks we like better than Proto Labs
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Travis Hoium has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The two giants in 3D printing 3D Systems Corporation (NYSE: DDD) and Stratasys, Ltd. (NASDAQ: SSYS) are now the two giants of the 3D printing industry. DDD Revenue (TTM) data by YCharts You can see above that growth has slowed and net losses have been rampant in the last two years. They make 3D plastic printers in sizes that range from those suited to an office desktop to large production equipment that can do small manufacturing runs.
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The two giants in 3D printing 3D Systems Corporation (NYSE: DDD) and Stratasys, Ltd. (NASDAQ: SSYS) are now the two giants of the 3D printing industry. DDD Revenue (TTM) data by YCharts You can see above that growth has slowed and net losses have been rampant in the last two years. Future growth could be driven by 3D printing of metals for small production runs or parts that would be impossible to make in a traditional casting or machining method.
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The two giants in 3D printing 3D Systems Corporation (NYSE: DDD) and Stratasys, Ltd. (NASDAQ: SSYS) are now the two giants of the 3D printing industry. DDD Revenue (TTM) data by YCharts You can see above that growth has slowed and net losses have been rampant in the last two years. The rapid prototyping leader While 3D Systems and Stratasys were fighting over the 3D printing equipment market, Protolabs Inc (NYSE: PRLB) was building a model based on rapidly producing parts for product designers and short run manufacturing.
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The two giants in 3D printing 3D Systems Corporation (NYSE: DDD) and Stratasys, Ltd. (NASDAQ: SSYS) are now the two giants of the 3D printing industry. DDD Revenue (TTM) data by YCharts You can see above that growth has slowed and net losses have been rampant in the last two years. Here are three companies investors looking to buy as the industry grows.
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721b5317-8315-43cb-9a4d-f71262182c5b
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717112.0
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2017-01-20 00:00:00 UTC
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3D Systems (DDD) Catches Eye: Stock Moves 5.6% Higher
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DDD
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https://www.nasdaq.com/articles/3d-systems-ddd-catches-eye%3A-stock-moves-5.6-higher-2017-01-20
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3D Systems CorporationDDD was a big mover last session, as the company saw its shares rise almost 6% on the day. The move came on solid volume with far more shares changing hands than in a normal session. This breaks the recent trend of the company, as the stock is now trading above the volatile price range of $13.29 to $16.73 in the past one-month time frame.
In the last 30 days, the company has seen no estimate revision and the Zacks Consensus Estimate also remained unchanged. The recent price action is encouraging though, so make sure to keep a close watch on this firm in the near future.
3D Systems currently carries a Zacks Rank # 3 (Hold) while its Earnings ESP is 0.00%.
3D Systems Corp. Price
3D Systems Corp. Price | 3D Systems Corp. Quote
A better-ranked stock from the broader Computer & Technology sector is Applied Optoelectronics, Inc. AAOI , which sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Is DDD going up? Or down? Predict to see what others think: Up or Down
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Applied Optoelectronics Inc. (AAOI): Free Stock Analysis Report
3D Systems Corp. (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems CorporationDDD was a big mover last session, as the company saw its shares rise almost 6% on the day. Is DDD going up? Click to get this free report Applied Optoelectronics Inc. (AAOI): Free Stock Analysis Report 3D Systems Corp. (DDD): Free Stock Analysis Report To read this article on Zacks.com click here.
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Click to get this free report Applied Optoelectronics Inc. (AAOI): Free Stock Analysis Report 3D Systems Corp. (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD was a big mover last session, as the company saw its shares rise almost 6% on the day. Is DDD going up?
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Click to get this free report Applied Optoelectronics Inc. (AAOI): Free Stock Analysis Report 3D Systems Corp. (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD was a big mover last session, as the company saw its shares rise almost 6% on the day. Is DDD going up?
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3D Systems CorporationDDD was a big mover last session, as the company saw its shares rise almost 6% on the day. Is DDD going up? Click to get this free report Applied Optoelectronics Inc. (AAOI): Free Stock Analysis Report 3D Systems Corp. (DDD): Free Stock Analysis Report To read this article on Zacks.com click here.
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426d81fa-2157-448b-99aa-60d7b4c3d867
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717113.0
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2017-01-19 00:00:00 UTC
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3D Systems Corporation (DDD) Stocks Jumps on Takeover Rumors
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DDD
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https://www.nasdaq.com/articles/3d-systems-corporation-ddd-stocks-jumps-takeover-rumors-2017-01-19
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips
3D Systems Corporation (NYSE: DDD ) stock is up following the spread of a series of rumors concerning a takeover.
3D Systems Corporation is the subject of rumors that claim the company will be taken over. These rumors are being spread through social media and are likely to be what is causing the stock to rise today.
According to CNA Finance , the takeover rumors surrounding 3D Systems Corporation have no solid backing. This means that it is possible that the rumors of a DDD takeover will be shot down in the near future.
DDD was trading for about the same at today's start as it was when the closing bell rang on Wednesday. However, the stock quickly shot up after markets opened. It reached a peak of about 8% over yesterday's closing price at around 10:30 a.m. Eastern Time today.
3D Systems Corporation was also the subject of takeover rumors last week . There was speculation that General Electric Company (NYSE: GE ) was interested in buying the 3D printing company.
General Electric Company is looking to add $1 billion in additive manufacturing revenues to its balance sheet by 2020. It also purchased two companies that specialize in 3D metal printing last year, reports Charlotte Business Journal .
3D Systems Corporation is a 3D printing company that is based in Rock Hill, South Carolina. Its headquarters is located in the Waterford Business Park and it employs roughly 300 people at it. The company has a total of 2,700 employees spread throughout the world.
DDD stock was up 4% as of Thursday morning and is up 25% year-to-date.
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The post 3D Systems Corporation (DDD) Stocks Jumps on Takeover Rumors appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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More From InvestorPlace The 7 Best High-Yield Investments for Retirement 10 Dividend Growth Stocks That Simply Print Money 10 Companies That Should Fear Donald Trump's "America First" Plans The post 3D Systems Corporation (DDD) Stocks Jumps on Takeover Rumors appeared first on InvestorPlace . InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock is up following the spread of a series of rumors concerning a takeover. This means that it is possible that the rumors of a DDD takeover will be shot down in the near future.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock is up following the spread of a series of rumors concerning a takeover. More From InvestorPlace The 7 Best High-Yield Investments for Retirement 10 Dividend Growth Stocks That Simply Print Money 10 Companies That Should Fear Donald Trump's "America First" Plans The post 3D Systems Corporation (DDD) Stocks Jumps on Takeover Rumors appeared first on InvestorPlace . This means that it is possible that the rumors of a DDD takeover will be shot down in the near future.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock is up following the spread of a series of rumors concerning a takeover. More From InvestorPlace The 7 Best High-Yield Investments for Retirement 10 Dividend Growth Stocks That Simply Print Money 10 Companies That Should Fear Donald Trump's "America First" Plans The post 3D Systems Corporation (DDD) Stocks Jumps on Takeover Rumors appeared first on InvestorPlace . This means that it is possible that the rumors of a DDD takeover will be shot down in the near future.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock is up following the spread of a series of rumors concerning a takeover. This means that it is possible that the rumors of a DDD takeover will be shot down in the near future. DDD was trading for about the same at today's start as it was when the closing bell rang on Wednesday.
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717114.0
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2017-01-19 00:00:00 UTC
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Noteworthy Thursday Option Activity: TSLA, DDD, CL
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https://www.nasdaq.com/articles/noteworthy-thursday-option-activity-tsla-ddd-cl-2017-01-19
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in Tesla Motors Inc (Symbol: TSLA), where a total volume of 89,537 contracts has been traded thus far today, a contract volume which is representative of approximately 9.0 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 183.4% of TSLA's average daily trading volume over the past month, of 4.9 million shares. Particularly high volume was seen for the $250 strike call option expiring January 20, 2017 , with 9,844 contracts trading so far today, representing approximately 984,400 underlying shares of TSLA. Below is a chart showing TSLA's trailing twelve month trading history, with the $250 strike highlighted in orange:
3D Systems Corp. (Symbol: DDD) options are showing a volume of 27,965 contracts thus far today. That number of contracts represents approximately 2.8 million underlying shares, working out to a sizeable 100% of DDD's average daily trading volume over the past month, of 2.8 million shares. Especially high volume was seen for the $14 strike put option expiring May 19, 2017 , with 8,631 contracts trading so far today, representing approximately 863,100 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $14 strike highlighted in orange:
And Colgate-Palmolive Co. (Symbol: CL) options are showing a volume of 18,685 contracts thus far today. That number of contracts represents approximately 1.9 million underlying shares, working out to a sizeable 65.1% of CL's average daily trading volume over the past month, of 2.9 million shares. Especially high volume was seen for the $70 strike put option expiring February 17, 2017 , with 8,865 contracts trading so far today, representing approximately 886,500 underlying shares of CL. Below is a chart showing CL's trailing twelve month trading history, with the $70 strike highlighted in orange:
For the various different available expirations for TSLA options , DDD options , or CL options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Especially high volume was seen for the $14 strike put option expiring May 19, 2017 , with 8,631 contracts trading so far today, representing approximately 863,100 underlying shares of DDD. Below is a chart showing TSLA's trailing twelve month trading history, with the $250 strike highlighted in orange: 3D Systems Corp. (Symbol: DDD) options are showing a volume of 27,965 contracts thus far today. That number of contracts represents approximately 2.8 million underlying shares, working out to a sizeable 100% of DDD's average daily trading volume over the past month, of 2.8 million shares.
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Below is a chart showing TSLA's trailing twelve month trading history, with the $250 strike highlighted in orange: 3D Systems Corp. (Symbol: DDD) options are showing a volume of 27,965 contracts thus far today. That number of contracts represents approximately 2.8 million underlying shares, working out to a sizeable 100% of DDD's average daily trading volume over the past month, of 2.8 million shares. Especially high volume was seen for the $14 strike put option expiring May 19, 2017 , with 8,631 contracts trading so far today, representing approximately 863,100 underlying shares of DDD.
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That number of contracts represents approximately 2.8 million underlying shares, working out to a sizeable 100% of DDD's average daily trading volume over the past month, of 2.8 million shares. Below is a chart showing TSLA's trailing twelve month trading history, with the $250 strike highlighted in orange: 3D Systems Corp. (Symbol: DDD) options are showing a volume of 27,965 contracts thus far today. Especially high volume was seen for the $14 strike put option expiring May 19, 2017 , with 8,631 contracts trading so far today, representing approximately 863,100 underlying shares of DDD.
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Especially high volume was seen for the $14 strike put option expiring May 19, 2017 , with 8,631 contracts trading so far today, representing approximately 863,100 underlying shares of DDD. Below is a chart showing TSLA's trailing twelve month trading history, with the $250 strike highlighted in orange: 3D Systems Corp. (Symbol: DDD) options are showing a volume of 27,965 contracts thus far today. That number of contracts represents approximately 2.8 million underlying shares, working out to a sizeable 100% of DDD's average daily trading volume over the past month, of 2.8 million shares.
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717115.0
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2017-01-17 00:00:00 UTC
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Has the Split Worked for HP & Hewlett Packard Enterprise?
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DDD
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https://www.nasdaq.com/articles/has-the-split-worked-for-hp-hewlett-packard-enterprise-2017-01-17
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It has been over a year since HP Inc.HPQ and Hewlett Packard Enterprise CompanyHPE split into two separate entities. Hence, this may be a good time to analyze whether the split has helped these two companies to post a turnaround.
The split took effect on Nov 2, 2015, which led to the creation of two companies namely HP, which focuses on the consumer-facing computer and printer business and HPE, which focuses on the enterprise-facing hardware and cloud business.
Since the split, the two entities have made it clear that they will focus on restructuring and realigning their businesses to drive long-term sustainable growth and improve margins. In keeping with this effort, the two companies have made a series of restructuring initiatives, which includes trimming down businesses, lowering costs through job cuts and making some strategic acquisitions.
Here's a recap of the turnaround efforts undertaken by both the companies since Nov 2015.
HP's Turnaround Efforts
Post the split, HP adopted a strategy of focusing on product innovation and differentiation as well as on enhancing the capabilities of its printing business, which will help stabilize the top line.
Over the past one year, the company has launched various new models under its PC product lines of EliteBook, Spectre and Pavilion Wave. The impact of these launches was reflected clearly in the company's last two earnings releases, wherein the Personal Systems segment witnessed stabilization to a certain extent, and even recorded a slight year-over-year improvement after several quarters. Keeping the trend alive, at CES 2017 , HP announced Spectre 13 - the thinnest and most powerful iteration of laptops - that are anticipated to enhance the web experience and provide high-quality visuals.
The company's efforts to revamp the printing business have also been commendable. Note that HP signed a deal to acquire Samsung Electronics' printer business last year for a purchase price of $1.05 billion. The acquisition is a strategic fit for HP as it will expand the company's printing business, with the addition of 6,500-plus printing patents owned by Samsung.
In addition, the company is now focusing on enhancing its 3D printing business capabilities. However, unlike 3D Systems DDD and Stratasys SSYS , which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions. It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems and Stratasys.
On the cost front too, HP has taken commendable steps, which includes divestment of its content management software tools and Customer Communications Management (CCM) assets to Open Text Corporation and elimination of 3,000 to 4,000 jobs.
Per the company, the divestment of CCM will lead to cost reduction and enhance productivity, thus helping the company to boost profitability. The job cuts are anticipated to generate annualized cost savings of approximately $200 million to $300 million from fiscal 2020 onward.
HPE is Not Far Behind
Over the last one year, HPE has undergone massive restructuring too. The company, in 2016, decided to spin-off its Software and IT Services businesses and entered into deals to merge these with Micro Focus International Plc and Computer Sciences Corporation CSC , respectively.
In our opinion, by trimming its size, the company intends to focus more on fast growing and high margin businesses such as high performance computing (HPC), private cloud, all-flash arrays and hyper-converged computing.
This is also evident from the fact that HPE has bought Silicon Graphics in Nov 2016, which provides HPC services such as servers, storage, and data center solutions to clients in the cloud computing, oil & gas, e-commerce, social networking, and other industries.
Furthermore, to lower its costs, HPE announced layoffs in Oct 2016.
Bottom Line
We believe that the split has allowed a customized approach to two different businesses, which may not have been possible while they operated as a single entity. Although, the independent entities are still struggling to determine their true business focus, we opine that their turnaround strategies are in the right direction.
This is evident from the last four quarterly reports of the two companies. It should be noted that in all the quarters of fiscal 2016, earnings of HP and HPE have either met or surpassed the Zacks Consensus Estimate.
Investors have also appreciated the initiatives undertaken by both the companies, as reflected from the share price appreciation in the last one year period.
In the said period, shares of HP gained 46.1%, outperforming the Zacks categorized Computer-Mini industry's gain of 23.7%
During the same time frame, shares of HPE gained 82.9%, outperforming the Zacks categorized Computer-Integrated Systems industry's gain of 40.9%.
On the valuation front, the stocks look attractive as both have low P/E ratio when compared with their respective industry averages. The ratio, which is obtained by dividing a stock's current market price with its historical or estimated earnings, measures how much an investor needs to shell out per dollar of earnings. Therefore, lower the P/E of a stock, the better for a value investor.
Considering the companies' strong fundamentals along with impressive P/E ratio and Zacks VGM Style Scores of "A", we believe that the stocks are worth retaining in one's portfolio. Currently both the stocks carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?
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HP Inc. (HPQ): Free Stock Analysis Report
Computer Sciences Corporation (CSC): Free Stock Analysis Report
Stratasys, Ltd. (SSYS): Free Stock Analysis Report
3D Systems Corporation (DDD): Free Stock Analysis Report
Hewlett Packard Enterprise Company (HPE): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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However, unlike 3D Systems DDD and Stratasys SSYS , which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions. Click to get this free report HP Inc. (HPQ): Free Stock Analysis Report Computer Sciences Corporation (CSC): Free Stock Analysis Report Stratasys, Ltd. (SSYS): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Hewlett Packard Enterprise Company (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. Keeping the trend alive, at CES 2017 , HP announced Spectre 13 - the thinnest and most powerful iteration of laptops - that are anticipated to enhance the web experience and provide high-quality visuals.
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Click to get this free report HP Inc. (HPQ): Free Stock Analysis Report Computer Sciences Corporation (CSC): Free Stock Analysis Report Stratasys, Ltd. (SSYS): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Hewlett Packard Enterprise Company (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. However, unlike 3D Systems DDD and Stratasys SSYS , which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions. In keeping with this effort, the two companies have made a series of restructuring initiatives, which includes trimming down businesses, lowering costs through job cuts and making some strategic acquisitions.
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Click to get this free report HP Inc. (HPQ): Free Stock Analysis Report Computer Sciences Corporation (CSC): Free Stock Analysis Report Stratasys, Ltd. (SSYS): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Hewlett Packard Enterprise Company (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. However, unlike 3D Systems DDD and Stratasys SSYS , which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions. The split took effect on Nov 2, 2015, which led to the creation of two companies namely HP, which focuses on the consumer-facing computer and printer business and HPE, which focuses on the enterprise-facing hardware and cloud business.
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However, unlike 3D Systems DDD and Stratasys SSYS , which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions. Click to get this free report HP Inc. (HPQ): Free Stock Analysis Report Computer Sciences Corporation (CSC): Free Stock Analysis Report Stratasys, Ltd. (SSYS): Free Stock Analysis Report 3D Systems Corporation (DDD): Free Stock Analysis Report Hewlett Packard Enterprise Company (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. The split took effect on Nov 2, 2015, which led to the creation of two companies namely HP, which focuses on the consumer-facing computer and printer business and HPE, which focuses on the enterprise-facing hardware and cloud business.
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2017-01-14 00:00:00 UTC
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What's Hot and What's Not From CES 2017
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DDD
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https://www.nasdaq.com/articles/whats-hot-and-whats-not-ces-2017-2017-01-14
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nan
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The huge annual tech show in Las Vegas known as CES is now history . . . and it's time to start breaking down the winners and losers.
The spectacle in the desert obviously serves as a bellwether for which trends we can expect to dominate the mainstream technology narrative over the coming year. With more than 175,000 attendees and nearly 4,000 exhibitors at CES, we set out to uncover what those trends mean for investors both right now and in the years beyond.
Unsurprisingly, the defining story of this year's show was last year's top buzzword: artificial intelligence. But the breakaway branch of computer science shows no signs of losing steam in the new year, as it increasingly makes its way into more and more applications across both the consumer and enterprise space.
And at the center of the storm is NVIDIA (NASDAQ: NVDA) , which in addition to running a sprawling home entertainment business is also designing some of the most in-demand chips used for both developing and applying artificial intelligence today.
In an exciting keynote, the company's enigmatic CEO, Jen-Hsun Huang, announced a slew of important AI-centered ventures -- perhaps the most exciting of which sees the company expanding its partnership with Audi in order to "put the world's most advanced [self-driving] AI car on the road by 2020". It should be noted NVIDIA works with Baidu , Tesla , BMW , and a host of other automakers already. The company also announced a surprise partnership with Google in another massive AI frontier -- virtual assistants, though this time on the hardware end of the equation. The companies are teaming up to bring Google Assistant into multiple rooms of your home, following the lead of Amazon 's massively successful Echo and Echo Dot devices.
But for every hit at this year's CES, there were many more misses -- quite literally. Two of the biggest names in 3D printing were missing from this year's show, with 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) qualifying as no-shows. Perhaps that doesn't bode well the industry at large -- or perhaps they're simply concentrating their resources as the tumultuous industry prepares to finally break free from the bottom of the hype cycle, as some experts are predicting it soon will. There's no clear answer at this point, but It's something we'll definitely be keeping our eye on throughout the year.
A full transcript follows the video.
10 stocks we like better than NVIDIA
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Rex Moore: Hi everyone, I'm Motley Fool analyst Rex Moore along with our tech expert at the Fool, Armun Asgari. And CES starting to wind down a bit now, we've seen a lot of things, and we're going to talk a little bit about what is hot here, what is not. What have you seen that maybe is the biggest thing at the show this year?
Armun Asgari: So far, honestly, we've seen two big stories starting to come out, and one is self-driving cars are really hitting the scene hard. We've had almost every automaker come out here, even smaller ones, at least in self-driving, like Hyundai . We got a ride in a Hyundai self-driving car for the first time -- that was awesome.
Another big story that we've seen starting to emerge is virtual assistance. You may know Amazon's Echo and Alexa, even Siri on your phone. But we're starting to see a lot of other players kind of infringe into that scene, but I think the common thread between those things is artificial intelligence. The biggest player we know about in artificial intelligence -- clearly NVIDIA starting to dig their fingers more and more, kind of in both those things. NVIDIA with some big shocker announcements from CEO Jen-Hsun Huang last night took a lot of people by storm. Too many partnerships, too many product announcements to go over now, biggest story I've seen so far.
As far as what's not so hot, Rex, I think you had a little bit of something there.
Moore: Well do you remember 3D printing everyone?
Asgari: I think everybody remembers 3D printing, maybe not in the happiest light.
Moore: It's been a rough period for them. This year at CES, one of the big stories is that the two biggest players, 3D Systems and Stratasys are no-shows. There's been a leadership change at 3D Systems -- I guess both players just decided they wanted to spend resources elsewhere other than coming here to CES. I did talk to some experts who have covered this industry for almost 30 years, TCT Magazine , and they're saying maybe this is a good thing. The boom is over; the bust may be over now. Stock prices have leveled off and even outpaced the S&P in recent months. So maybe 3D printing is a place we can, dare I say it, look at again some time in the future.
Asgari: Maybe, maybe, maybe.
Moore: Alright folks. Thanks for joining us here at CES. We'll have lots of stuff in the weeks to come as we break down this massively huge conference. Thanks for joining us.
Asgari: Fool on!
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Armun Asgari has no position in any stocks mentioned. Rex Moore owns shares of Alphabet (A shares) and Alphabet (C shares). The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), Amazon.com, Baidu, Nvidia, and Tesla Motors. The Motley Fool recommends 3D Systems, BMW, and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Two of the biggest names in 3D printing were missing from this year's show, with 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) qualifying as no-shows. But the breakaway branch of computer science shows no signs of losing steam in the new year, as it increasingly makes its way into more and more applications across both the consumer and enterprise space. And at the center of the storm is NVIDIA (NASDAQ: NVDA) , which in addition to running a sprawling home entertainment business is also designing some of the most in-demand chips used for both developing and applying artificial intelligence today.
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Two of the biggest names in 3D printing were missing from this year's show, with 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) qualifying as no-shows. *Stock Advisor returns as of January 4, 2017 Rex Moore: Hi everyone, I'm Motley Fool analyst Rex Moore along with our tech expert at the Fool, Armun Asgari. Rex Moore owns shares of Alphabet (A shares) and Alphabet (C shares).
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Two of the biggest names in 3D printing were missing from this year's show, with 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) qualifying as no-shows. *Stock Advisor returns as of January 4, 2017 Rex Moore: Hi everyone, I'm Motley Fool analyst Rex Moore along with our tech expert at the Fool, Armun Asgari. This year at CES, one of the big stories is that the two biggest players, 3D Systems and Stratasys are no-shows.
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Two of the biggest names in 3D printing were missing from this year's show, with 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) qualifying as no-shows. *Stock Advisor returns as of January 4, 2017 Rex Moore: Hi everyone, I'm Motley Fool analyst Rex Moore along with our tech expert at the Fool, Armun Asgari. What have you seen that maybe is the biggest thing at the show this year?
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c43783e9-f490-47df-a346-edc2a462a5b6
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717117.0
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2017-01-13 00:00:00 UTC
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Razor-and-Blade Model: What Is It? What Companies Have One?
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DDD
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https://www.nasdaq.com/articles/razor-and-blade-model-what-it-what-companies-have-one-2017-01-13
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Companies that have a razor-and-blade model use a pricing strategy that involves selling a durable product, or "razor," at a low profit margin (sometimes even giving it away) to help drive sales of the higher-margin proprietary consumable or disposable products, or "blades."
The goal of companies that have this type of business model, which reportedly owes its name to Gillette's introduction of safety razors with disposable blades in the early 1900s, is to sell as many "razors" as possible in order to generate an increasing stream of recurring income from "blade" sales over the life of the "razor."
Here are some diverse examples of companies that use a razor-and-blade strategy to varying degrees.
Data source: Yahoo! Finance for market caps. Data to Jan. 11. *No longer publicly traded. **Some financial sites classify 3D Systems and Stratasys in the technology sector.
Let's examine the first four of the above companies.
Procter & Gamble
Keurig took steps to counter the challenges presented by the expiring patents. These included launching other brewers and beverage makers and equipping the Keurig 2.0 brewer with technology to lock out unauthorized coffee pods. These efforts were met with mixed success, however.
3D Systems and Stratasys
3D Systems and Stratasys both have razor-and-blade-like business models in their core products businesses, where the 3D printers that they sell are the "razors" and the print materials they sell are the "blades." These print materials are entirely polymers in Stratasys' case, and primarily polymers in 3D Systems' case.
Both leading diversified 3D printing companies also have service businesses that do not use razor-and-blade strategies, so neither is a pure play. Moreover, some might not consider the business models they follow in their products businesses to be pure razor-and-blade models (which is why I used the term "razor-and-blade-like" above). A pure model of this type usually involves selling the "razor" at cost or just a little above cost, or even slightly below cost. 3D Systems and Stratasys price their 3D printers to make solid profits on them. However, they make considerably higher profit margins on the consumable print materials, which are proprietary.
Plastic filaments -- the "blades" -- for Stratasys' MakerBot's 3D printers. Image source: Stratasys.
The effectiveness of these business models is illustrated by the fact that, while the revenue 3D Systems generated from 3D printer sales declined 6% year over year in the third quarter, the revenue it took in from sales of print materials climbed 9%.
In short
Razor-and-blade business models can be lucrative when they're working well, but they can stumble when competitors enter the market with a compelling "razor" that uses less-expensive "blades" -- or, as in Keurig's case, competitors launch "blades" that fit the company's "razor," as often occurs when patents expire.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 4, 2017
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Amazon.com. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Both leading diversified 3D printing companies also have service businesses that do not use razor-and-blade strategies, so neither is a pure play. However, they make considerably higher profit margins on the consumable print materials, which are proprietary. In short Razor-and-blade business models can be lucrative when they're working well, but they can stumble when competitors enter the market with a compelling "razor" that uses less-expensive "blades" -- or, as in Keurig's case, competitors launch "blades" that fit the company's "razor," as often occurs when patents expire.
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Companies that have a razor-and-blade model use a pricing strategy that involves selling a durable product, or "razor," at a low profit margin (sometimes even giving it away) to help drive sales of the higher-margin proprietary consumable or disposable products, or "blades." 3D Systems and Stratasys 3D Systems and Stratasys both have razor-and-blade-like business models in their core products businesses, where the 3D printers that they sell are the "razors" and the print materials they sell are the "blades." The effectiveness of these business models is illustrated by the fact that, while the revenue 3D Systems generated from 3D printer sales declined 6% year over year in the third quarter, the revenue it took in from sales of print materials climbed 9%.
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The goal of companies that have this type of business model, which reportedly owes its name to Gillette's introduction of safety razors with disposable blades in the early 1900s, is to sell as many "razors" as possible in order to generate an increasing stream of recurring income from "blade" sales over the life of the "razor." 3D Systems and Stratasys 3D Systems and Stratasys both have razor-and-blade-like business models in their core products businesses, where the 3D printers that they sell are the "razors" and the print materials they sell are the "blades." In short Razor-and-blade business models can be lucrative when they're working well, but they can stumble when competitors enter the market with a compelling "razor" that uses less-expensive "blades" -- or, as in Keurig's case, competitors launch "blades" that fit the company's "razor," as often occurs when patents expire.
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3D Systems and Stratasys 3D Systems and Stratasys both have razor-and-blade-like business models in their core products businesses, where the 3D printers that they sell are the "razors" and the print materials they sell are the "blades." After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market. The Motley Fool recommends 3D Systems and Stratasys.
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c2dfb839-93ee-4f6b-a3eb-2430555391cf
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717118.0
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2017-01-10 00:00:00 UTC
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DDD Crosses Above Average Analyst Target
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DDD
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https://www.nasdaq.com/articles/ddd-crosses-above-average-analyst-target-2017-01-10
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $16.73/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 11 different analyst targets contributing to that average for 3D Systems Corp. , but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $9.00. And then on the other side of the spectrum one analyst has a target as high as $25.00. The standard deviation is $5.168.
But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover 3D Systems Corp. :
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on DDD - FREE .
10 ETFs With Most Upside To Analyst Targets »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $16.73/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $16.73/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $16.73/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $16.73/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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4aff4f09-ae7c-431f-aa7b-8de52f0eca89
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717119.0
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2017-01-09 00:00:00 UTC
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Why 3D Systems' Stock Soared 53% in 2016, Even as the Company Was Unprofitable
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-stock-soared-53-2016-even-company-was-unprofitable-2017-01-09
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3D Systems ' (NYSE: DDD) stock soared 52.9% in 2016, making it the second-best-performing 3D printing stock of the year. (Shares of Swedish industrial metal 3D printing specialist Arcam rocketed up 56.5%, thanks largely to General Electric 's acquisition of a controlling stake in the company.)
Data by YChart.
Moreover, 2016 was the first year since 2013 that 3D Systems' stock has closed out a year with a gain. The stock of the industry's largest player, along with most others in the group, was slaughtered in 2014 and 2015, falling 90.6% during this two-year period. Since Jan. 1, 2014 -- which roughly corresponds to the stock's all-time high -- shares are down 84.4% through Jan. 6.
Before we dive into the likely reasons that 3D Systems' stock outperformed in 2016, it's important to know that the company's business is still struggling.
3D Systems' business is still struggling
3D Systems grew year-over-year revenue at just 3.2% in the most recently reported quarter, Q3, and earnings on a basis of generally accepted accounting principles (GAAP) remain negative, as they have been throughout 2015 and 2016.
Among other challenges, 3D Systems' key challenge since 2015 has been trying to grow total revenue, despite a persistent slowdown in demand for its enterprise 3D printers, most especially its polymer 3D printers. (3D Systems doesn't break out its metal business' revenue anymore, but comments made during earnings calls suggest that the quite small metal 3D printer business has been holding up better.) Fellow diversified 3D printing industry leader Stratasys has also been facing the same challenge.
Here are the top three reasons, in my opinion, that the market drove 3D Systems' stock up nearly 53% in 2016.
Image source: 3D Systems.
1. Improvement in financial results
While 3D Systems' business is still struggling, the there have been some improvements in the company's financials in 2016 compared with 2015. So it makes sense that the market has rewarded the stock to some degree.
The third quarter was the first time since the second quarter of 2015 that 3D Systems' year-over-year revenue increased. The increase was just 3.2%, but that's much better than revenue continuing its downward spiral, and it likely suggests to some market participants that the worst is over.
More important, earnings have also improved, as is often the case when things pick up on the top line. In Q2 and Q3 2016, the earnings losses (on a GAAP basis) narrowed from the year-ago periods. Additionally, adjusted earnings in both quarters crushed Wall Street's estimates.
That said, while 3D Systems' overall revenue did manage a modest year-over-year climb in the third quarter, year-over-year revenue generated from sales of 3D printers is still declining. It fell 6% in Q3. This is concerning because 3D Systems employs a razor-and-blade-like business model. Sales of 3D printers, the "razors," drive future sales of the more lucrative print materials, or "blades."
2. Exit of former CEO
Another big reason the market likely pushed up 3D Systems' stock in 2016 was the collective exuberance over the fact that former CEO Avi Reichental abruptly left the company in late 2015. There is little doubt that market sentiment about the longtime CEO was strongly negative during his last couple of years. During the last few years of his tenure, 3D Systems was on an acquisition binge that seemed shotgun-like at times. Buying more than 50 companies in about three years probably resulted in not devoting enough resources to nurturing the company's existing businesses.
It remains to be seen how well CEO Vyomesh Joshi, who took the helm in April, will perform at the job. At the very least, investors have no doubt liked hearing from Joshi, a longtime top 2D printing exec at the former Hewlett-Packard before it split into two companies, that he'll be focusing on growing the company's existing businesses, rather than on acquisitions.
3. Development of next-generation 3D printing technologies for production applications
Another likely notable reason for the market's optimism about 3D Systems in 2016 was the company's introduction early in the year of Figure 4, a development-stage technology that Joshi has said is at least two years away from commercialization. Figure 4 is a robotic, modular, stereolithography (SLA) 3D printing tech that the company claims is 50 times faster than conventional SLA technology.
Investors following the 3D printing space know there were two compelling new entrants to the enterprise market in 2016 - HP Inc. and Carbon. Both companies launched their much-anticipated flagship polymer 3D printers in the spring. These machines are reportedly much faster than any models offered by 3D Systems, Stratasys, and the other existing market participants.
Speed is a huge factor holding 3D printing back from making greater inroads into production applications. So investors are surely pleased that 3D Systems is working on developing its own speedy 3D printing tech so that it can make printers that can compete with respect to speed with those launched by HP and Carbon.
And 2017?
3D Systems' stock has some momentum. Not only was it up big in 2016, but it's also jumped 8.6% in the first four trading days of 2017, while the S&P gained 1.7% in this period, ended Jan. 6. Early 2017 market enthusiasm is industrywide, as just about all the 3D printing stocks are off to speedy starts in 2017, with Stratasys' stock up 8.7%, voxeljet up 17.7%, ExOne up 7.3%, and Arcam up 6.3%.
It's not surprising that the market lifted shares of 3D Systems in 2016, as the company's financials did improve from 2015. Nonetheless, the improved business performance is still in the very nascent stages, earnings remain negative, and the company is still struggling to sell its enterprise 3D printers.
The stock's price-to-sales valuation looks potentially attractive at 2.5 -- a level that hasn't been seen since before its big run-up started in 2012. However, if I were considering investing in 3D Systems for the long haul, I wouldn't pull the trigger yet. At a minimum, I'd want to see at least a couple of more quarters of year-over-year improvements from a revenue and earnings standpoint. I'd also be looking for year-over-year sales of 3D printers to at least stop declining, without gross margins being sacrificed. I might also wait until there was some shred of support that Figure 4 has a good shot at being successful, such as 3D Systems' announcement of a meaningful partnership with an industry leader.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems ' (NYSE: DDD) stock soared 52.9% in 2016, making it the second-best-performing 3D printing stock of the year. (Shares of Swedish industrial metal 3D printing specialist Arcam rocketed up 56.5%, thanks largely to General Electric 's acquisition of a controlling stake in the company.) So investors are surely pleased that 3D Systems is working on developing its own speedy 3D printing tech so that it can make printers that can compete with respect to speed with those launched by HP and Carbon.
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3D Systems ' (NYSE: DDD) stock soared 52.9% in 2016, making it the second-best-performing 3D printing stock of the year. 3D Systems' business is still struggling 3D Systems grew year-over-year revenue at just 3.2% in the most recently reported quarter, Q3, and earnings on a basis of generally accepted accounting principles (GAAP) remain negative, as they have been throughout 2015 and 2016. Development of next-generation 3D printing technologies for production applications Another likely notable reason for the market's optimism about 3D Systems in 2016 was the company's introduction early in the year of Figure 4, a development-stage technology that Joshi has said is at least two years away from commercialization.
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3D Systems ' (NYSE: DDD) stock soared 52.9% in 2016, making it the second-best-performing 3D printing stock of the year. 3D Systems' business is still struggling 3D Systems grew year-over-year revenue at just 3.2% in the most recently reported quarter, Q3, and earnings on a basis of generally accepted accounting principles (GAAP) remain negative, as they have been throughout 2015 and 2016. Development of next-generation 3D printing technologies for production applications Another likely notable reason for the market's optimism about 3D Systems in 2016 was the company's introduction early in the year of Figure 4, a development-stage technology that Joshi has said is at least two years away from commercialization.
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3D Systems ' (NYSE: DDD) stock soared 52.9% in 2016, making it the second-best-performing 3D printing stock of the year. Here are the top three reasons, in my opinion, that the market drove 3D Systems' stock up nearly 53% in 2016. Development of next-generation 3D printing technologies for production applications Another likely notable reason for the market's optimism about 3D Systems in 2016 was the company's introduction early in the year of Figure 4, a development-stage technology that Joshi has said is at least two years away from commercialization.
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ed12773b-7bf3-41cd-88af-9dc4f602c437
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717120.0
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2017-01-09 00:00:00 UTC
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Why 3D Systems Corporation's Shares Popped 17% on Monday
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-corporations-shares-popped-17-monday-2017-01-09
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Image source: Getty Images.
What happened
Shares of 3D Systems Corporation (NYSE: DDD) jumped as much as 17.2% in trading Monday after buyout rumors swirled around the market. At 3:00 p.m. EST, shares were still up 16.2% for the day.
So what
The rumor is that General Electric (NYSE: GE) has approached 3D Systems about a buyout, and the company in turn hired an investment banker to look into the deal. These are just rumors, but there's often some nugget of truth in rumors like this, whether a deal comes to fruition or not.
We don't know what's true about GE's potential interest in 3D Systems, but we do know that GE is a big consumer of 3D-printed parts and spent $1.4 billion buying metal 3D printer companies last year . With a goal of generating $1 billion in 3D revenue by 2020, GE could see 3D Systems as an ideal target.
Now what
Buying a stock on rumor alone isn't a good idea, because the pop can burst if the rumors don't out to be true. But if you're an owner of 3D Systems, this is a nice pop in the stock today, and if the rumor turns out to be true, there could be further upside.
It'll be worth watching what both companies have to say about this rumor in the next few days because they'll likely have to respond. That will give us an idea of whether or not 3D Systems or GE is interested in a deal, but until then, trading on this rumor is risky business.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now...and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of January 4, 2017.
Travis Hoium owns shares of General Electric. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems. The Motley Fool has a disclosure policy .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) jumped as much as 17.2% in trading Monday after buyout rumors swirled around the market. So what The rumor is that General Electric (NYSE: GE) has approached 3D Systems about a buyout, and the company in turn hired an investment banker to look into the deal. But if you're an owner of 3D Systems, this is a nice pop in the stock today, and if the rumor turns out to be true, there could be further upside.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) jumped as much as 17.2% in trading Monday after buyout rumors swirled around the market. So what The rumor is that General Electric (NYSE: GE) has approached 3D Systems about a buyout, and the company in turn hired an investment banker to look into the deal. The Motley Fool owns shares of General Electric.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) jumped as much as 17.2% in trading Monday after buyout rumors swirled around the market. So what The rumor is that General Electric (NYSE: GE) has approached 3D Systems about a buyout, and the company in turn hired an investment banker to look into the deal. We don't know what's true about GE's potential interest in 3D Systems, but we do know that GE is a big consumer of 3D-printed parts and spent $1.4 billion buying metal 3D printer companies last year .
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What happened Shares of 3D Systems Corporation (NYSE: DDD) jumped as much as 17.2% in trading Monday after buyout rumors swirled around the market. So what The rumor is that General Electric (NYSE: GE) has approached 3D Systems about a buyout, and the company in turn hired an investment banker to look into the deal. We don't know what's true about GE's potential interest in 3D Systems, but we do know that GE is a big consumer of 3D-printed parts and spent $1.4 billion buying metal 3D printer companies last year .
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4bb82a32-6219-4890-8410-a46eff2b9b4a
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717121.0
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2016-12-30 00:00:00 UTC
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3D Systems Corporation's Best Business Segment in 2016
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DDD
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https://www.nasdaq.com/articles/3d-systems-corporations-best-business-segment-2016-2016-12-30
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3D Systems '(NYSE: DDD) business has continued to struggle in 2016, with year-over-year revenue contracting 3.3% to $467.0 million in the first nine months of the year. This struggle at the top line continues to negatively affect the diversified 3D printing leader's bottom line, with earnings per share remaining negative. Positively, however, the earnings loss for the first three quarters of 2016 narrowed to $0.39 per share, from $0.53 per share in the year-ago period.
Despite overall weak results in 2016, there have been a few bright spots, specifically the healthcare business, software, and materials. The brightest beacon continues to be the company's healthcare business, which is no doubt one big reason for 3D Systems stock's scorching 63.1% gain in 2016, through Dec. 27.
Let's take a closer look at 3D Systems' crown-jewel.
Looking ahead
In short, 3D Systems has built a complete suite of 3D imaging and printing offerings for the healthcare industry that apparently meets the needs of many customers as this business continues to grow nicely. Aiming to replicate this success across all target verticals is a good strategy. Whether or not the company will be successful is the million-dollar question.
In 2017 and beyond, investors should look for indications that this replication strategy is on track. Early indications are likely to include things like meaningful partnerships with leaders in the target verticals.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems '(NYSE: DDD) business has continued to struggle in 2016, with year-over-year revenue contracting 3.3% to $467.0 million in the first nine months of the year. The brightest beacon continues to be the company's healthcare business, which is no doubt one big reason for 3D Systems stock's scorching 63.1% gain in 2016, through Dec. 27. Looking ahead In short, 3D Systems has built a complete suite of 3D imaging and printing offerings for the healthcare industry that apparently meets the needs of many customers as this business continues to grow nicely.
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3D Systems '(NYSE: DDD) business has continued to struggle in 2016, with year-over-year revenue contracting 3.3% to $467.0 million in the first nine months of the year. This struggle at the top line continues to negatively affect the diversified 3D printing leader's bottom line, with earnings per share remaining negative. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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3D Systems '(NYSE: DDD) business has continued to struggle in 2016, with year-over-year revenue contracting 3.3% to $467.0 million in the first nine months of the year. The brightest beacon continues to be the company's healthcare business, which is no doubt one big reason for 3D Systems stock's scorching 63.1% gain in 2016, through Dec. 27. 10 stocks we like better than 3D Systems When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen.
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3D Systems '(NYSE: DDD) business has continued to struggle in 2016, with year-over-year revenue contracting 3.3% to $467.0 million in the first nine months of the year. The brightest beacon continues to be the company's healthcare business, which is no doubt one big reason for 3D Systems stock's scorching 63.1% gain in 2016, through Dec. 27. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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c199be0a-7d2d-441b-b032-536488f41d2e
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717122.0
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2016-12-29 00:00:00 UTC
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3D Systems Stock in 8 Charts
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DDD
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https://www.nasdaq.com/articles/3d-systems-stock-8-charts-2016-12-29
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nan
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nan
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Are you an existing or potential investor in 3D Systems (NYSE: DDD) ? Then don't miss these eight charts, which should get you up to speed quickly on the leading diversified 3D printing company and its stock.
Volatile stock performance
The first thing a potential investor in 3D Systems should know is that the company's stock is highly volatile. The following chart shows how 3D Systems' stock has performed over the one-year period through Dec. 23. For context, included are primary rival Stratasys' (NASDAQ: SSYS) stock performance and the S&P 500's total return.
Data by YCharts .
A stock price rise of 36.3% -- three times the broader market's total return -- is the type of volatility that investors like to see.
However, the story is ugly if we go back a few years. 3D printing stocks hit all-time highs in very late 2013 through very early 2014, so the following three-year chart essentially shows about how much 3D Systems' stock has declined since peaking. (Once again, Stratasys and the S&P 500 are included for context.) The stock's decline in 2014 was largely due to its sky-high valuation coming back down to Earth, while the decline since 2015 has primarily been due to poor business performance.
Data by YCharts .
The 10-year picture is prettier for 3D Systems, but not so for Stratasys.
Data by YCharts .
Business broken down by segment and further
The following chart provides a snapshot of the relative sizes and revenue growth dynamics of 3D Systems' two business units for the first three quarters of 2016. The on-demand 3D printing services operation has held up better than the products business, with 2016 year-over-year revenue contracting 2.1% versus 4% for products. (Unfortunately, 3D Systems doesn't report segment operating income.)
YOY = year over year. Data source: 3D Systems.
In the third quarter, 3D Systems reported the following year-over-year revenue changes. Healthcare solutions, software, and materials were the growth drivers.
Data by YCharts .
As is typical, 3D Systems' struggle at the top line has negatively impacted its bottom line, leading to earnings losses on a generally accepted accounting principles (GAAP) basis throughout 2015 and 2016.
Data by YCharts .
Stock valuation
3D Systems' stock currently doesn't have a price-to-earnings (PE) ratio on a trailing-twelve-month (TTM) basis because the company isn't profitable from a GAAP standpoint. The last time the stock had a trailing PE was in Q1 2015 -- and that was a whopping 225 times earnings! Investors were betting big on a 3D printer boom that failed to materialize, at least as quickly as some expected.
Positively, however, 3D Systems is currently generating a positive free cash flow and cash is a more accurate measure of how well a company's business is performing than earnings, which is just an accounting measure. That said, the stock's P/FCF of 55.9 times is high -- but not nearly as high as rival Stratasys P/FCF of 674!
Data by YCharts .
Looking ahead
While 3D Systems' business in 2016 has shown signs of improvement since 2015, the company's stock price has gotten ahead of its fundamentals, in my opinion. However, this is fairly typical, as the market is a forward-looking machine. What investors are collectively saying is that they see more improvements in 3D Systems' business performance on the horizon.
Part of this optimism likely stems from the fact that relatively new CEO Vyomesh Joshi, who came on board in April, has been making changes aimed at getting the company's growth engine going again. These include exiting certain lines of business (such as desktop 3D printers) and reallocating resources to where top management sees the most potential for long-term growth. This includes the metal 3D printing business and development stage Figure 4 technology, which is a robotic, modular, stereolithography (SLA) 3D printing system that the company claims is 50 times faster than conventional SLA technology.
Going into 2017, what investors and potential investors in 3D Systems should look for when the company reports quarterly earnings is year-over-year improvements in revenue generated from 3D printer sales. This needs to happen for the company's overall revenue growth to get back on a meaningful growth trajectory, in my view. Once revenue growth is back on track, 3D Systems should once again start earning a profit, assuming that it doesn't sacrifice profit margins for revenue growth. Investors can gauge if it might be doing so by monitoring gross margins; we want to see year-over-year gross margins remain at least steady.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Are you an existing or potential investor in 3D Systems (NYSE: DDD) ? A stock price rise of 36.3% -- three times the broader market's total return -- is the type of volatility that investors like to see. Part of this optimism likely stems from the fact that relatively new CEO Vyomesh Joshi, who came on board in April, has been making changes aimed at getting the company's growth engine going again.
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Are you an existing or potential investor in 3D Systems (NYSE: DDD) ? For context, included are primary rival Stratasys' (NASDAQ: SSYS) stock performance and the S&P 500's total return. (Unfortunately, 3D Systems doesn't report segment operating income.)
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Are you an existing or potential investor in 3D Systems (NYSE: DDD) ? Volatile stock performance The first thing a potential investor in 3D Systems should know is that the company's stock is highly volatile. Stock valuation 3D Systems' stock currently doesn't have a price-to-earnings (PE) ratio on a trailing-twelve-month (TTM) basis because the company isn't profitable from a GAAP standpoint.
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Are you an existing or potential investor in 3D Systems (NYSE: DDD) ? Going into 2017, what investors and potential investors in 3D Systems should look for when the company reports quarterly earnings is year-over-year improvements in revenue generated from 3D printer sales. This needs to happen for the company's overall revenue growth to get back on a meaningful growth trajectory, in my view.
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79003cdd-6de0-4e72-bb7e-8f54ba6c947d
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717123.0
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2016-12-27 00:00:00 UTC
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Why HP Inc. (HPQ) Deserves a Place in Investors' Portfolio?
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DDD
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https://www.nasdaq.com/articles/why-hp-inc.-hpq-deserves-a-place-in-investors-portfolio-2016-12-27
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nan
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nan
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Stocks showing momentum and having enough prospects are the ones that investors like to add to their portfolio. Below we have evaluated one such technology company - HP Inc.HPQ - which has gained solid momentum in the year, so far, and seems to have potential for further growth.
Notably, HP is one of the two publicly traded entities that were formed after the Nov 2015 split of Hewlett-Packard Company. The other company formed in the process was Hewlett Packard Enterprise Company HPE . HP focuses on PC and printing products and services.
The stock has been clocking solid returns since the beginning of 2016 and has gained approximately 27.6%, outperforming the Zacks categorized Computer-Mini Computers industry return of 11.8%.
What's Driving the Stock?
We believe that the parent company's (Hewlett-Packard Company) decision to split the business has been a boon for HP. This is because a split allows a customized approach to two different businesses, which may not have been possible while they operated as a single entity.
Since its split, HP has been restructuring its business to reap long-term benefits. The company has divested its content management software tools and Customer Communications Management (CCM) assets to Open Text Corporation, in a move which will facilitate the business realignment and enable it to focus better on the PC and printing businesses. Apart from this, it will also facilitate cost reduction and enhance productivity, thus helping the company boost profitability.
Furthermore, post the split, HP has been focused on product innovation and differentiation to maintain its leading position in the space. Keeping with this, during fiscal 2016, the company launched EliteBook Folio, the world's thinnest and lightest business class notebook.
Meanwhile, the company is also undertaking pricing actions, and marketing and sales activities in a bid to drive demand, in turn, giving some price stability to the market. Moreover, HP is trying to shift its product mix to the high end and move away from the low-and negative-margin businesses.
The impact of these efforts was reflected clearly in the company's last two earnings releases, wherein the Personal Systems segment witnessed stabilization to a certain extent, and even recorded a slight year-over-year improvement after several quarters.
The company's efforts to revamp the printing business have also been commendable. Note that HP recently signed a deal to acquire Samsung Electronics' printer business , for a purchase price of $1.05 billion.
The acquisition is a strategic fit for HP, as it will be able to expand the company's printing business, with the addition of 6,500-plus printing patents owned by Samsung. The move will provide support to the development and manufacturing of HP printers, going forward.
In addition, the company is now focusing on enhancing its 3D printing business capabilities, in an effort to revive the tumbling sales. It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS .
Thus, in order to fortify its presence in the market, HP recently unveiled its Jet Fusion 3D Printing Solution, with two models to choose from - 4200 and 3200. Unlike 3D Systems and Stratasys, which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions.
To satisfy customers in this space, HP inked collaborations with the likes of BMW, Nike and Autodesk, in order to develop more advanced 3D printing technologies for diverse industrial uses.
Bottom Line
HP's efforts to turn around the business have been commendable. The company has adopted a strategy of focusing on product innovations and differentiation as well as on enhancing the printing business' capabilities, which will help stabilize the top line.
Furthermore, looking at the data compiled by two independent research firms - Gartner and International Data Corporation - we believe that the downtrend in the PC shipments moderated in third-quarter 2016, compared with the previous quarters.
Notably, for HP, this was the second consecutive quarter of year-over-year shipment growth following five back-to-back quarters of underperformance. The company witnessed a 2.3% increase in PC shipments. We believe that the spin-off from Hewlett-Packard Company and restructuring initiatives, such as focus on product innovations, pricing, marketing and sales activities, divestment of non-core assets, and job cuts to lower costs, are paying off, at last.
On valuation perspective too, the stock looks attractive. The company currently trades at trailing 12-month (TTM) P/E multiple of 9.4x, a huge discount to the Zacks categorized Computer-Mini Computers industry's average P/E multiple of 13.6x. The stock's forward P/E of 9.4x is also lower than the Computer-Mini industry's average P/E multiple of 13.5x.
The ratio, which is obtained by dividing a stock's current market price with its historical or estimated earnings, measures how much an investor needs to shell out per dollar of earnings. Therefore, lower the P/E of a stock, the better for a value investor.
Hence, we believe there is still much momentum left in this Zacks Rank #3 (Hold) stock, which is quite evident from its VGM Style Score of "A". You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Zacks' Top 10 Stocks for 2017
In addition to the stocks discussed above, would you like to know about our 10 finest tickers for the entirety of 2017?
Who wouldn't? These 10 are painstakingly hand-picked from 4,400 companies covered by the Zacks Rank. They are our primary picks to buy and hold. Be among the very first to see them >>
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HP INC (HPQ): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
HEWLETT PKD ENT (HPE): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. The impact of these efforts was reflected clearly in the company's last two earnings releases, wherein the Personal Systems segment witnessed stabilization to a certain extent, and even recorded a slight year-over-year improvement after several quarters.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . We believe that the spin-off from Hewlett-Packard Company and restructuring initiatives, such as focus on product innovations, pricing, marketing and sales activities, divestment of non-core assets, and job cuts to lower costs, are paying off, at last.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . We believe that the parent company's (Hewlett-Packard Company) decision to split the business has been a boon for HP.
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It should be noted that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. HP focuses on PC and printing products and services.
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2a3900c3-d0e3-49c2-808e-3e1d851ff8a0
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717124.0
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2016-12-21 00:00:00 UTC
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The Best 3D Printing Stock of 2016
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DDD
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https://www.nasdaq.com/articles/best-3d-printing-stock-2016-2016-12-21
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nan
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nan
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As 2016 comes to an end, it looks like the industry's largest player, 3D Systems (NYSE: DDD) , will be the best-performing 3D printing stock this year. It's up nearly 74% as of Dec. 19.
3D Systems is the best-performing 3D printing stock of 2016 to date. Data by YCharts.
Moreover, unless something cataclysmic happens in the next eight trading days, 2016 will mark the first year since 2013 that 3D Systems has closed in the green; 2014 and 2015 were train wrecks for almost all of the 3D printing stocks, especially 3D Systems and fellow industry bigwig Stratasys (NASDAQ: SSYS) .
Swedish industrial 3D printing specialist Arcam (NASDAQOTH: AMAVF) is also on track to post a whopping gain in 2016, as it's up 64% to date. Arcam will likely take the silver medal, but there's a slight possibility that it could sprint past 3D Systems before the year closes. Arcam -- which is up a smoking 149% since I called it the best 3D printing stock to buy in September 2015 -- was the only pure-play 3D printing stock that had an up year last year. (Since that call, Arcam had been up 46% through early September and has tacked on the rest of its big gain since then due to General Electric announcing it intended to acquire the company; GE has since acquired a controlling stake in Arcam.)
As to the other pure plays that trade on U.S. stock exchanges, Belgian software and service specialist Materialise is up 10.1% -- a little short of the S&P 500's total return of 13.1% -- ExOne, which makes industrial 3D printers, is hugging the flat line; Stratasys is down nearly 19%; and German voxeljet -- which makes polymer 3D printers and has a service operation -- is nearly 32% in the red. (For the curious: Non-pure play Proto Labs is down 14.9% in 2016 through Dec. 19.)
So while the group's performance as a whole is far from the heady years of 2012 and 2013, there is some 3D printing stock momentum as we head into 2017.
3D Systems' stock performance: The bigger picture
Before we discuss why 3D Systems stock is having a great year, investors should remember that it's still far off its all-time high. Here's the picture since Jan. 1, 2014 (the 3D printing stocks hit all-time highs in very late 2013 through very early 2014), with Stratasys included for context.
Data by YCharts .
The chart below shows the big picture. Despite getting clobbered in 2014 and 2015, 3D Systems' stock has still outperformed the broader market by more than a factor of two over the 10-year period, though Stratasys has significantly underperformed the market over this period.
Data by YCharts .
Why Is 3D Systems' stock up big in 2016?
Investors should be very clear about this point: While 3D Systems' stock is up big in 2016, the company's business is still struggling.
Since early 2015, 3D Systems -- along with Stratasys and some of the other players -- has struggled to grow revenue amid a widespread slowdown in demand for its enterprise 3D printers. The struggle at the top line has flowed through to the bottom line, leading to earnings losses on a generally accepted accounting principles (GAAP) basis throughout 2015 and 2016.
While I do think the stock price has gotten ahead of 3D Systems' business performance this year, there are some legitimate reasons behind the market's optimism. These include:
Improvement in revenue and earnings results from 2015
CEO change
Shake-up of the C-suite
Pullout from the desktop 3D printer market
Development of a new tech (called Figure 4) geared toward production applications
Image source: 3D Systems.
The third quarter was the first time since Q2 2015 that revenue increased on a year-over-year basis. While this increase was a modest 3.2%, at least it halted the year-over-year revenue declines. In the second and third quarters of 2016, the earnings losses on a GAAP basis narrowed from the year-ago periods. Moreover, adjusted earnings in both quarters blew by Wall Street's estimates.
Another likely reason the market has been more optimistic about 3D Systems this year is the change at the top. The market was likely satisfied with the choice of Vyomesh Joshi -- who came on board in April -- as the new CEO, since he has relevant big-company experience: He was a top 2D-printing exec at the former Hewlett-Packard before it split into two companies. However, in my view, the exit of the previous CEO was a much bigger reason for the market's optimism. Avi Reichenthal, who left late last year, had taken 3D Systems on an acquisition binge for the few years previous to his departure, which likely resulted in not enough resources being devoted to nurturing the company's existing businesses.
I think it's likely that many market participants viewed Joshi's shake-up of the C-suite positively because the company has long had a poor corporate culture, according to Glassdoor ratings . Within a few months of being named CEO, Joshi replaced the previous CFO with a former finance colleague at Hewlett-Packard. He also apparently let the COO and CMO go; neither of those positions has been filled.
3D Systems completely exited the desktop 3D printer market -- mainly aimed at consumers and professionals -- in the third quarter. The desktop market is generally a lower-margin business than the enterprise business, and competition is fierce, which means there will likely continue to be major pricing pressures. So this seems like a good move.
Early in the year, 3D Systems introduced Figure 4, a development-stage new tech geared toward manufacturing applications. This is a robotic, modular, stereolithography (SLA) 3D printing tech that the company touts as 50 times faster than conventional SLA technology. Joshi said on the third-quarterearnings callthat Figure 4 is at least two years away from commercialization.
Takeaway
Things are looking brighter for 3D Systems in 2016 than they did in 2015. However, investors should remain cautious, as the company is still struggling to grow revenue due to tepid demand for its enterprise 3D printers, and earnings on a GAAP basis remain negative.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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As 2016 comes to an end, it looks like the industry's largest player, 3D Systems (NYSE: DDD) , will be the best-performing 3D printing stock this year. These include: Improvement in revenue and earnings results from 2015 CEO change Shake-up of the C-suite Pullout from the desktop 3D printer market Development of a new tech (called Figure 4) geared toward production applications Image source: 3D Systems. The market was likely satisfied with the choice of Vyomesh Joshi -- who came on board in April -- as the new CEO, since he has relevant big-company experience: He was a top 2D-printing exec at the former Hewlett-Packard before it split into two companies.
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As 2016 comes to an end, it looks like the industry's largest player, 3D Systems (NYSE: DDD) , will be the best-performing 3D printing stock this year. These include: Improvement in revenue and earnings results from 2015 CEO change Shake-up of the C-suite Pullout from the desktop 3D printer market Development of a new tech (called Figure 4) geared toward production applications Image source: 3D Systems. However, investors should remain cautious, as the company is still struggling to grow revenue due to tepid demand for its enterprise 3D printers, and earnings on a GAAP basis remain negative.
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As 2016 comes to an end, it looks like the industry's largest player, 3D Systems (NYSE: DDD) , will be the best-performing 3D printing stock this year. Moreover, unless something cataclysmic happens in the next eight trading days, 2016 will mark the first year since 2013 that 3D Systems has closed in the green; 2014 and 2015 were train wrecks for almost all of the 3D printing stocks, especially 3D Systems and fellow industry bigwig Stratasys (NASDAQ: SSYS) . Arcam -- which is up a smoking 149% since I called it the best 3D printing stock to buy in September 2015 -- was the only pure-play 3D printing stock that had an up year last year.
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As 2016 comes to an end, it looks like the industry's largest player, 3D Systems (NYSE: DDD) , will be the best-performing 3D printing stock this year. Arcam -- which is up a smoking 149% since I called it the best 3D printing stock to buy in September 2015 -- was the only pure-play 3D printing stock that had an up year last year. Why Is 3D Systems' stock up big in 2016?
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8025b5e8-1725-41a9-a33f-5e68fd0b4b46
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717125.0
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2016-12-20 00:00:00 UTC
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3D Systems Rolls Out 3D Sprint 2.0 for Industrial Customers
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DDD
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https://www.nasdaq.com/articles/3d-systems-rolls-out-3d-sprint-2.0-for-industrial-customers-2016-12-20
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nan
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nan
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Premium 3D products and services provider, 3D Systems CorporationDDD , recently launched a print management and optimization software called 3D Sprint 2.0 for its plastic printers.
After a portfolio pruning over the past one year, the company has been focusing on expanding its industrial client base by providing solutions that support rapid prototyping and advanced digital manufacturing. 3D Sprint 2.0 has been specially designed for fortifying its foothold in the industrial domain.
Touted as productivity-enhancing software - 3D Sprint 2.0 - has been designed to offer end-to-end digital manufacturing solutions and eliminate the use of multiple software programs. It will simplify the 3D printing workflow, allowing the users of 3D Systems' plastic printers to save time and money. It can further help users edit and prepare 3D models for printing directly from the software interface.
Leveraging on this software, users can perform a host of actions, including part splitting, cutting & keying, offsetting, shelling & thickening, part quality checks and so on. 3D Sprint 2.0 will commence shipment immediately and will be supported by 3D Systems' proprietary printers, such as ProJet 1200 and ProJet MJP 2500 Series. Going forward, the company has announced plans to launch an upgraded version of the software, with advanced editing and additional CAD format support.
3D Systems portfolio streamlining, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned 73.7%, miles ahead of the Zacks categorized Computer Mini industry average of 11.3%. Positive industry trends are proving conducive to growth. According to the research reports of Markets and Markets, the global 3D printing market is projected to grow to $30.2 billion by 2022, reflecting an anticipated compound annual growth rate of 28.5% from 2016 to 2022.
Transition from prototypes to end-user products, mass customization, production of complex parts and government investments in 3D printing projects are estimated to stoke the growth of this billion-dollar industry. For instance, sectors like automotive, consumer products, government and defense, industrial/business machines, education research and others (arts and architecture), are expected to raise demand for 3D printing products. Apart from this, aerospace and the trillion-dollar oil & gas industry are showing a penchant for 3D printing too, that will aid the Zacks Rank #3 (Hold) company's growth in future.
Stocks to Consider
Some better-ranked stocks in the same space include Science Applications International Corporation SAIC , Amdocs Ltd. DOX and CDK Global, Inc. CDK , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Science Applications International has a striking earnings surprise history for the trailing four quarters, having beaten estimates in each of them, for a remarkable average of 9.2%.
Amdocs has a decent earnings history, with an average positive surprise of 2.8%, for the trailing four quarters.
CDK Global has an impressive earnings surprise history for the trailing four quarters, beating estimates all through for an average of 9.2%.
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3D SYSTEMS CORP (DDD): Free Stock Analysis Report
SCIENCE APP INT (SAIC): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Premium 3D products and services provider, 3D Systems CorporationDDD , recently launched a print management and optimization software called 3D Sprint 2.0 for its plastic printers. Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report SCIENCE APP INT (SAIC): Free Stock Analysis Report To read this article on Zacks.com click here. After a portfolio pruning over the past one year, the company has been focusing on expanding its industrial client base by providing solutions that support rapid prototyping and advanced digital manufacturing.
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Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report SCIENCE APP INT (SAIC): Free Stock Analysis Report To read this article on Zacks.com click here. Premium 3D products and services provider, 3D Systems CorporationDDD , recently launched a print management and optimization software called 3D Sprint 2.0 for its plastic printers. Stocks to Consider Some better-ranked stocks in the same space include Science Applications International Corporation SAIC , Amdocs Ltd. DOX and CDK Global, Inc. CDK , each carrying a Zacks Rank #2 (Buy).
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Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report SCIENCE APP INT (SAIC): Free Stock Analysis Report To read this article on Zacks.com click here. Premium 3D products and services provider, 3D Systems CorporationDDD , recently launched a print management and optimization software called 3D Sprint 2.0 for its plastic printers. Transition from prototypes to end-user products, mass customization, production of complex parts and government investments in 3D printing projects are estimated to stoke the growth of this billion-dollar industry.
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Premium 3D products and services provider, 3D Systems CorporationDDD , recently launched a print management and optimization software called 3D Sprint 2.0 for its plastic printers. Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report SCIENCE APP INT (SAIC): Free Stock Analysis Report To read this article on Zacks.com click here. After a portfolio pruning over the past one year, the company has been focusing on expanding its industrial client base by providing solutions that support rapid prototyping and advanced digital manufacturing.
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717126.0
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2016-12-09 00:00:00 UTC
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3D Printing Taps 4th Industrial Revolution; HP Discusses Big Ambitions
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https://www.nasdaq.com/articles/3d-printing-taps-4th-industrial-revolution-hp-discusses-big-ambitions-2016-12-09
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Stephen Nigro, president of HP Inc.'s 3D printer business, says we're on the cusp of the Fourth Industrial Revolution.
It's a message that falls on wary ears. The industry developing additive, or three dimensional, printers burned hot on the stock market several years ago. But demand for the developing technologies fell short of expectations. The highflying 3D printing stocks crashed as investors fled. After two years of earnings declines, names including Stratasys ( SSYS ) and 3D Systems ( DDD ) are once again piecing together rising profits.
In the meantime, the industry has experienced some massive alterations. First, the entry to the 3D print game of both HP Inc. ( HPQ ) and General Electric ( GE ) has raised the competitive bar and shifted expectations from consumer to industrial markets.
Computer giant HP joined the effort in May, introducing its first 3D printers, the HP Jet Fusion 3200 and Jet Fusion 4200 printers. These are machines priced upward from $130,000 and aimed at serious commercial use. Nigro contends the equipment will revolutionize the design, prototyping and manufacturing processes.
IBD'S TAKE: HP shares ended Friday's session toying with 19-month highs, and up 77% from a February low.
He also says the 3D print trade faces an array of challenges, ranging from the type and price of potential materials, to rethinking entire supply chains for portions of the industrial landscape.
The technology has broad, deep implications for design, productivity and labor, as well as distribution of global manufacturing capacity. Nigro sees the development as part of the Fourth Industrial Revolution, a view of economic and industrial history argued by Klaus Schwab, founder of the World Economic Forum.
Nigro offered IBD a status report on HP's role in the progress toward that manufacturing revolution, and on some of the near-term challenges faced by HP and by the industry.
IBD: In a blog post, you said the world needs a new industrial revolution. How so?
Nigro: The first industrial revolution was all about the invention of steam power, which really impacted the textile industry, going from cottages to factories. The second was about the invention of electricity and the division of labor. This created mass production assembly lines and changed again how the world manufactured. The third industrial revolution was relatively recent. It was about the invention of electronics and information technology. It allowed this whole concept of mass production of assembly lines to go global.
We think that we're on the cusp of this fourth industrial revolution, which is about digitization, ones and zeros basically driving everything in the world, including your factories. These factories will become incredibly efficient but they will also become incredibly flexible. It will allow the creation of new products and completely new product categories. And once again it will change the world. It's inevitable and certainly will have a lot of benefits associated with it.
IBD: In what way is HP's new 3D technology disruptive and part of this change?
Nigro: Let's take a step back. The 3D printing industry right now is tiny. In 2015 we estimate it was a $3.4 billion industry, and projected to grow at a 30% compound annual growth rate. You hear that it's going to become an $18 billion industry by 2021, which in one sense is big but, relative to global manufacturing being a $12 trillion industry, it's still tiny. And really today there a lot of limitations with current 3D printing solutions. They are too slow. They're really kind of expensive to use, quality can be a challenge, especially the consistency and level of quality.
Where 3D printing actually makes its penetration into manufacturing and production today is in very high-value, specialized applications and with extremely short product runs. 3D printing today is mainly for prototyping. But the promise is with production and manufacturing.
The abilities we bring with HP's multijet fusion and voxel-printing technology is speed and more production. We're going to be up to 10 times more productive relative to other solutions and we also have some compelling economics. 3D printing is going to be a key element of the fourth industrial revolution.
Our voxel printing technology is pretty unique because it creates functional, or mechanically strong parts at high speeds. There are other voxel-level 3D printing technologies out there but they are very limited in speed and production quality. But it's not the only 3D printing technology that's going to be out there in the world. Just like there are many molding technologies, many plastic technologies, this industry will be made up of many 3D printer technologies and products.
IBD: What's the key to seeing a big expansion in the use of 3D printers?
Nigro: There are six things that need to happen. No. 1 is the product, like the products we just introduced. We need 3D printers that get higher productivity, plus consistent quality. A second key for the industry to grow its materials. Today in the 3D printer market, the number of materials available is limited and needs to expand dramatically.
Also, if you take a material today that goes into a 3D printer it's very expensive relative to that same material for a traditional manufacturing process. So the material prices really need to come down.
Another key will be getting products designed for 3D printing. That creates new design boundaries. You can create completely new designs that were not possible before. Another key is supply changes. When you are now able to have factories that are incredibly flexible, on demand, with no inventory, you have to rethink whole supply chains. And as you get more automated, labor becomes a different factor. And the last item that will help the market truly grow will be standards and regulations. The industry will have to develop 3D standards for different applications and different industries that are regulated. We see those as six keys unlocking the market.
IBD: What printing materials are most widely used?
Nigro: The two major 3D print technologies are plastics and metals. Plastic is by far the largest portion of the market today, with metals second. All others are quite small.
IBD: What industries have been the most aggressive in applying 3D technology?
Nigro: Where you see 3D printing being used is where the application really takes advantage of its unique capabilities. Typically it's in the area of very high performance, where cost is less important. So where you see it today is in aerospace, where you're willing to pay for that performance. And the other is medical. More industries are getting involved. We announced a partnership with BMW, that's automotive. We announced a partnership with Johnson & Johnson ( JNJ ), that's medical. We announced a partnership with Nike (NKE), which is consumer products. We also announced a partnership with Jabil Circuit (JBL). Now Jabil is interesting because they're the third-largest contract manufacturer in the world.
IBD: You said the long-term success of 3D printing requires an open platform. How so?
Nigro: The world has to embrace 3D printing. In May of this year when we announced our product what we said is that the biggest innovation we are bringing today is not a product. It's bringing our open materials platform. The only way you're going to get this transformation is you need the whole world working with you, which is why we announced an open materials platform. We announced four partners at the time - Arkema (ARKAY), BASF (BASFY), Evonik and Lehmann & Voss. They are developing materials for use in multijet fusion printers. They determine what materials need to be developed. They determine the pricing of the materials. Now, today, they need to work closely with us because the system is very complex. Over time what we want to get to is we want to be able to give them a development kit and say go at it. Do your thing.
What we've created is this material app store where you, as a user, have the choice of buying HP-branded materials or any other material that's been certified for use. We started with four partners but we've had more than 100 other specialty materials companies contacting us and wanting to develop materials on our platform. We think that's the key to unlocking large production in manufacturing.
IBD: GE acquired two 3D printer manufacturers in Europe for $1.4 billion in September. How do you view their participation in the market?
Nigro: I think it's fantastic. They're validating the power of 3D technology. It's complementary to what we're doing. We are very much going after plastics- or polymer-based 3D printing. They are focused on metals. Now, we have aspirations for metal, too. I think GE will be complementary and accelerate the industry.
IBD: The two largest independent 3D printer makers, Stratasys and 3D Systems, saw their stock price collapse because the industry expectations were too high. Was it overhyped?
Nigro : I won't say anything about them, but I'll speak to the market as whole. Yes, definitely, the market was overhyped. It did set the industry back some, but the promise is there. The industry has experienced some disillusionment. But with HP getting in, GE getting in, having large corporations involved is great, not just from the resources they bring but also a little more sophistication in terms of how they think about it, and quite frankly, bigger aspirations.
RELATED:
HP Posts Surprise Revenue Gain In Q4 On Strong PC Sales
3D Systems, Stratasys, Show Signs Of Turnaround In 3D Printer Market
Stratasys, 3D Systems Plot Turnaround As 3D Printer Field Grows
GE Buys European 3D Printing Firms, Lifting 3D Systems, Stratasys
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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After two years of earnings declines, names including Stratasys ( SSYS ) and 3D Systems ( DDD ) are once again piecing together rising profits. First, the entry to the 3D print game of both HP Inc. ( HPQ ) and General Electric ( GE ) has raised the competitive bar and shifted expectations from consumer to industrial markets. He also says the 3D print trade faces an array of challenges, ranging from the type and price of potential materials, to rethinking entire supply chains for portions of the industrial landscape.
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After two years of earnings declines, names including Stratasys ( SSYS ) and 3D Systems ( DDD ) are once again piecing together rising profits. Computer giant HP joined the effort in May, introducing its first 3D printers, the HP Jet Fusion 3200 and Jet Fusion 4200 printers. This created mass production assembly lines and changed again how the world manufactured.
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After two years of earnings declines, names including Stratasys ( SSYS ) and 3D Systems ( DDD ) are once again piecing together rising profits. Nigro sees the development as part of the Fourth Industrial Revolution, a view of economic and industrial history argued by Klaus Schwab, founder of the World Economic Forum. Just like there are many molding technologies, many plastic technologies, this industry will be made up of many 3D printer technologies and products.
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After two years of earnings declines, names including Stratasys ( SSYS ) and 3D Systems ( DDD ) are once again piecing together rising profits. But it's not the only 3D printing technology that's going to be out there in the world. Another key will be getting products designed for 3D printing.
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2016-12-09 00:00:00 UTC
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What Does 2017 Hold for 3D Printing Stocks?
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DDD
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https://www.nasdaq.com/articles/what-does-2017-hold-3d-printing-stocks-2016-12-09
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Image source: Getty Images.
Even Nostradamus would likely have trouble predicting with accuracy what 2017 holds for 3D printing stocks, including the two largest players, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) .
It's very difficult to predict how any company's stock will perform over the relatively short term because there are often disconnects between how a company's business is performing and how its stock is performing. Long-term investors should focus on how well their company's business is doing, as the stock's performance will take care of itself eventually if the underlying business is moving in the right direction.
That said, we're going to look at some possible happenings in the 3D printing industry in 2017 that have the potential to affect companies' financial performances, and hence, their stock-price performances. But first, here's a look at how the pure-play 3D printing stocks have performed in 2016, through Dec. 5.
Data by YCharts . DDD = 3D Systems, SSYS = Stratasys, AMAVF = Arcam, MTLS = Materialise, XONE = ExOne, VJET = voxeljet.
While 2016 isn't over yet, it's looking like it will mark the first year since 2013 that any of the pure-play 3D printing companies except Arcam -- which gained nearly 19% last year -- have had an up year. So, there's some stock momentum as we head into 2017.
Here are some predictions for the coming year that could affect these stocks.
1. Macroeconomic headwinds will likely continue.
It seems more likely than not to me that the widespread slowdown in demand for enterprise 3D printers that 3D Systems and Stratasys have encountered since early 2015 will continue in 2017. However, I don't think things will get worse from an overall industry demand standpoint -- as long as the economy holds up.
Stratasys' management has attributed this major slowdown to overcapacity in the field due to the large number of 3D printers that were purchased during the previous few years. It has also opined that another factor is that sales cycles have lengthened because of the increased number of product choices. I continue to believe that a third factor is that some customers had been delaying purchases to see what compelling new offerings might soon come to market.
This last factor is likely to somewhat abate as we make our way through 2017 because the two companies whose planned entrances into the market were widely anticipated -- HP Inc. (NYSE: HPQ) and start-up Carbon -- both launched their flagship 3D printers this year.
2. Strength of leadership should become more clear at 3D Systems and Stratasys.
In investing, it's usually wise to bet on the jockey -- the CEO -- while also giving some weight to his or her top team, particularly the CFO, and the company's board of directors.
However, the betting-on-the-jockey strategy was upended for much of 2016 with respect to the two largest publicly traded players. 3D Systems' entire C-suite was shaken up in 2016, while Stratasys got a new CEO. 3D Systems CEO Vyomesh Joshi -- a longtime top 2D printing exec at Hewlett-Packard before it split into two companies -- came on board in April, while Stratasys CEO Ilan Levin -- a longtime board member -- took the helm in July. So, investors have had only a couple of quarterly conference calls in which to get acquainted with these new leaders.
Joshi brought on board John McMullen as CFO in July, after having parted ways with the former COO and CMO in June, neither of whom has been replaced. McMullen, who previously held the top financial spot at Eastman Kodak, worked with Joshi at the former Hewlett-Packard.
3. HP should reveal some 3D printer sales data.
In May, HP Inc. launched two 3D printers powered by its proprietary Multi Jet Fusion technology. The more powerful Jet Fusion 4200 was scheduled to begin shipping in the fall, while the 3200 will be available in 2017. At launch, the company renowned for its 2D-printing tech named several top-tier partners, including Nike and BMW.
HP claims that its 3D printers, which print in polymers, are up to 10 times as fast and twice as cost-efficient as 3D printers powered by the leading technologies. Given these and other features, HP's goal -- like Carbon's -- is to make deeper inroads into the manufacturing sector than 3D printing has thus far been able to do.
As a publicly traded company that's been touting 3D printing as one of its largest growth opportunities, HP should reveal 3D printer sales data at some point relatively soon. Investors shouldn't expect to hear much or even any data early on, as companies often like to nurture their new ventures for a while without the critical glare that can result from providing financial stats. That's a reasonable stance for a while, but if we reach the end of 2017 and HP hasn't shared any data on 3D printer sales, I'd take that to mean they likely aren't going that well.
4. Carbon might reveal additional 3D printer subscription stats.
In April, venture capital-backed Carbon launched its M1 3D printer powered by its speedy Continuous Liquid Interface Production (CLIP) 3D printing technology. The M1, which prints in polymers, was immediately available via a three-year subscription -- a unique distribution model in the industry.
Image source: Carbon.
Carbon co-founder and CEO Joseph DeSimone's demo of CLIP at the TED 2015 conference surely lent weight to Carbon's claim that CLIP is 25 to 100 times faster than the leading 3D printing technologies. Moreover, Carbon touts CLIP as possessing immense materials possibilities and as being capable of producing polymer parts with mechanical properties and surface finishes on par with injection-molded ones.
Carbon is privately held, so it's not required to release any sales data. That said, it seems likely that it will periodically disclose how many 3D printer subscriptions it has sold, because it's already done so. By mid-September, Carbon had leased out 50 of its machines and expected to have 100 operating in the field by the end of the year, and at least 500 within the next year, according to TechCrunch.
Carbon is shaping up to be a formidable player in the industry. It's raised $222 million in venture capital, with backers including Google Ventures and GE Ventures, the VC arms of Alphabet and General Electric (NYSE: GE) , respectively. Carbon is partnering with Ford , while former Ford CEO Alan Mulally is on its board, as is former DuPont CEO Ellen Kullman.
5. There will potentially be more M&A activity.
On the heels of General Electric's recent aggressive move into the metal 3D printing space, we could see some more merger and acquisition activity in the 3D printing industry in the future.
In September, the industrial titan announced plans to acquire two metal 3D printing companies, Sweden-based Arcam and Germany's SLM Solutions, for a total of $1.4 billion. After the takeover of SLM fell through, GE acquired a controlling stake in another German maker of metal 3D printers, Concept Laser, with a right to purchase the entire company within a few years. The combined approximately $1.3 billion deal -- the largest ever in the 3D printing industry -- is part of GE's plan to generate $1 billion in 3D printing revenue by 2020.
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Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool's board of directors. Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Alphabet (A and C shares), Ford, and Nike. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems, BMW, and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Even Nostradamus would likely have trouble predicting with accuracy what 2017 holds for 3D printing stocks, including the two largest players, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) . DDD = 3D Systems, SSYS = Stratasys, AMAVF = Arcam, MTLS = Materialise, XONE = ExOne, VJET = voxeljet. This last factor is likely to somewhat abate as we make our way through 2017 because the two companies whose planned entrances into the market were widely anticipated -- HP Inc. (NYSE: HPQ) and start-up Carbon -- both launched their flagship 3D printers this year.
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Even Nostradamus would likely have trouble predicting with accuracy what 2017 holds for 3D printing stocks, including the two largest players, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) . DDD = 3D Systems, SSYS = Stratasys, AMAVF = Arcam, MTLS = Materialise, XONE = ExOne, VJET = voxeljet. In April, venture capital-backed Carbon launched its M1 3D printer powered by its speedy Continuous Liquid Interface Production (CLIP) 3D printing technology.
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Even Nostradamus would likely have trouble predicting with accuracy what 2017 holds for 3D printing stocks, including the two largest players, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) . DDD = 3D Systems, SSYS = Stratasys, AMAVF = Arcam, MTLS = Materialise, XONE = ExOne, VJET = voxeljet. It's very difficult to predict how any company's stock will perform over the relatively short term because there are often disconnects between how a company's business is performing and how its stock is performing.
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Even Nostradamus would likely have trouble predicting with accuracy what 2017 holds for 3D printing stocks, including the two largest players, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) . DDD = 3D Systems, SSYS = Stratasys, AMAVF = Arcam, MTLS = Materialise, XONE = ExOne, VJET = voxeljet. HP should reveal some 3D printer sales data.
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717128.0
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2016-12-07 00:00:00 UTC
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3D Systems Benefiting from Restructuring & Positive Trends
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DDD
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https://www.nasdaq.com/articles/3d-systems-benefiting-from-restructuring-positive-trends-2016-12-07
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nan
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3D Systems ' DDD robust healthcare portfolio, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned over 14 times the Zacks categorized Computer Mini-Market industry average of 5.1%.
Here's highlighting few of the strongest growth drivers of the company that signal bright days ahead.
Factors Fueling Growth
Sturdy demand for production printers, materials and software, as well as healthcare solutions have been acting as key profit churners. Moreover, 3D Systems is well on track toward transitioning itself from prototyping to production domain in order to boost profitability. Unveiling products, including the 3DXpert software solution for direct metal 3D printing as well as upgrading the Stereolithography system highlights some of these initiatives.
Currently, the company is focusing on expanding its quickparts services, facilitating channel expansion, developing new products, boosting growth of its healthcare solution and providing integrated 3D platform for customers. In addition, we believe that the company's concerted streamlining actions bode well for operational efficiency in the long run. Changes being implemented in the sales network and lean manufacturing initiatives deployed in the supply-chain operations are likely to be conducive to the company's growth.
We perceive that these efforts will significantly reduce 3D Systems' cost of sales, operating expenses as well as generate cost savings, thereby driving growth. This apart, positive industry trends are likely to accelerate the company's growth momentum, going forward. According to the research reports of Markets and Markets, the global 3D printing market is projected to grow to $30.2 billion by 2022, reflecting an anticipated compound annual growth rate of 28.5% from 2016 to 2022.
Transition from prototypes to end-user products, mass customization, production of complex parts and government investments in 3D printing projects are estimated to stoke the growth of this billion dollar industry. For instance, sectors like automotive, consumer products, government and defense, industrial/business machines, education research and others (arts and architecture) are expected to raise demand for 3D printing products.
Apart from this, aerospace and the trillion-dollar oil & gas industry are showing a penchant for 3D printing too, that will aid the company's growth in future. Consequently, 3D Systems has been making acquisitions to diversify its offerings, add synergistic technology and fortify its domain expertise in operating markets. Encouragingly, the company has already secured an important place in sectors like manufacturing, medical and aerospace, while also pursuing unconventional sectors like food and fashion.
What's Restricting Growth?
Over the past few quarters, 3D Systems has been experiencing unfavorable broader market conditions that have badly hampered its financial performance. Macroeconomic factors, such as economic slowdown, inflation, currency fluctuations, commodity prices and credit availability, hurt the company's performance.
This apart, the company sells a variety of products, materials and services to a large number of domains. These products, applications and channels involve a range of products with different gross profit margins, vulnerable to substantial quarterly fluctuations, depending upon the mix of product shipments in each quarter. Additionally, introduction of new products or services can likely trigger quarterly fluctuations in gross profit and margins due to manufacturing ramp-ups and start-up costs.
Stocks to Consider
Some better-ranked stocks in the same space include Barracuda Networks, Inc. CUDA , Amdocs Ltd. DOX and CDK Global, Inc. CDK , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Barracuda Networks is a CA-based security and storage solutions provider. The company has a striking earnings surprise history for the trailing four quarters, having beaten estimates in each of them, for a remarkable average of 525%.
Amdocs is a leading provider of customer care, billing and order management systems for communications and Internet services. The company has a decent earnings history, with an average positive surprise of 2.8%, for the trailing four quarters.
CDK Global provides integrated information technology and digital marketing solutions to the automotive retail industry. The company has an impressive earnings surprise history for the trailing four quarters, beating estimates all through for an average of 9.2%.
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Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems ' DDD robust healthcare portfolio, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned over 14 times the Zacks categorized Computer Mini-Market industry average of 5.1%. Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report BARRACUDA NTWRK (CUDA): Free Stock Analysis Report To read this article on Zacks.com click here. Factors Fueling Growth Sturdy demand for production printers, materials and software, as well as healthcare solutions have been acting as key profit churners.
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Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report BARRACUDA NTWRK (CUDA): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems ' DDD robust healthcare portfolio, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned over 14 times the Zacks categorized Computer Mini-Market industry average of 5.1%. Stocks to Consider Some better-ranked stocks in the same space include Barracuda Networks, Inc. CUDA , Amdocs Ltd. DOX and CDK Global, Inc. CDK , each carrying a Zacks Rank #2 (Buy).
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Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report BARRACUDA NTWRK (CUDA): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems ' DDD robust healthcare portfolio, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned over 14 times the Zacks categorized Computer Mini-Market industry average of 5.1%. Transition from prototypes to end-user products, mass customization, production of complex parts and government investments in 3D printing projects are estimated to stoke the growth of this billion dollar industry.
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3D Systems ' DDD robust healthcare portfolio, strategic partnerships and successful product launches have managed to catch the eye of investors, as year to date, the company's shares have returned over 14 times the Zacks categorized Computer Mini-Market industry average of 5.1%. Click to get this free report CDK GLOBAL INC (CDK): Free Stock Analysis Report AMDOCS LTD (DOX): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report BARRACUDA NTWRK (CUDA): Free Stock Analysis Report To read this article on Zacks.com click here. Moreover, 3D Systems is well on track toward transitioning itself from prototyping to production domain in order to boost profitability.
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8e7a5725-681c-4326-a394-75e7eeca249b
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717129.0
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2016-12-06 00:00:00 UTC
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3D Systems' Best Moves in 2016
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DDD
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https://www.nasdaq.com/articles/3d-systems-best-moves-2016-2016-12-06
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nan
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nan
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3D Systems '(NYSE: DDD) business has been having another tough year in 2016. Since early 2015, the company and fellow diversified 3D printing leader, Stratasys , have struggled to grow revenue amid a slowdown in demand for their enterprise 3D printers.
While 3D Systems has made some poor moves over the past several years, it's made a few solid moves in 2016 that have helped spur some positive market sentiment. While the company's business continues to struggle, its stock is having a great 2016, as it's up 71%, as of Dec. 5 -- a welcome bounce for longtime investors who have watched the stock get clobbered since 2014.
Here are 3D Systems' best moves, to date, in 2016.
Image source: 3D Systems.
1. Naming a new CEO with some relevant big-company experience
After what turned into a five-month search for a permanent CEO, in April, 3D Systems named Vyomesh Joshi to the top spot. Joshi was a longtime top printing exec at 2D-printing goliath HP Inc . back when it was Hewlett-Packard before the split into two companies.
While it seems a positive that 3D Systems' chose someone with Joshi's background, I'm neutral on the man himself at the moment, based upon the three quarterly earnings calls in which he's been involved.
2. Cleaning house in the C-suite
One thing Joshi has done right was making cleaning house in the C-suite one of his top priorities. In June, 3D Systems announced the resignations of its chief operating officer and chief marketing officer -- it's probably safe to say that both individuals were forced out. Neither of these positions has been filled.
Soon thereafter, the company announced a changing of the guard in the top financial spot, with John McMullen becoming the new CFO on July 1. McMullen had been serving as CFO at Eastman Kodak when his former colleague came knocking, as he worked with Joshi at the former Hewlett-Packard.
Whether 3D Systems' former CFO, COO, and CMO were performing their jobs well or not is partially irrelevant. It's common for CEOs who have been hired to turn around struggling companies to part ways with C-level execs so they can can choose their own top teams. This move was especially critical in 3D Systems' case, because the company, according to Glassdoor ratings, has long had a poor corporate culture -- which will often cause good talent to leave. Corporate culture starts at the top and is notoriously difficult to change, which means that anything but a major sweep at the top isn't likely to be effective at bringing about meaningful positive changes.
3. Developing Figure 4 technology
Image source: 3D Systems.
Earlier this year, 3D Systems introduced a new 3D printing technology that it's been developing called Figure 4. In September, the company demonstrated an updated version of this tech at the International Manufacturing Trade Show in Chicago.
Figure 4 is a robotic, modular, stereolithography (SLA) 3D printing system that the company claims is 50 times faster than conventional SLA technology. Given its speed and other key features, 3D Systems views this tech as a key component of its strategy to capitalize as 3D printing shifts from a primarily prototyping technology to one that's used in a wider range of production applications.
Joshi said on the third-quarterearnings callthat Figure 4 is at least two years away from commercialization. While the technology appears impressive, the proof will be whether 3D Systems announces that it's working with some top-tier manufacturing companies on its development and how well it sells once it's commercialized.
4. Completely exiting the desktop 3D printer market
In the third quarter, 3D Systems completed its exit of the desktop 3D printer market by discontinuing making the CubePro and CubeJet, which are models generally targeted at professional users and more advanced consumers, respectively. Last December, the company discontinued its entry-level consumer model, the Cube.
Joshi said on theearnings callthat this move was made so the company can redirect resources to advancing technologies that it views as more promising, specifically metal 3D printing and Figure 4. Exiting what's essentially the consumer market is a good move, as this is generally a low-margin market.
Bottom line
There have been some positive happenings at 3D Systems in 2016 that have sparked some optimism, boosting the company's stock. However, the stock performance has gotten ahead of the company's business performance, in my opinion. Investors should be cautiously optimistic, as 3D Systems is not out of the woods. It's still struggling to grow revenue -- year-over-year revenue inched up just 3.2% in the third quarter -- and still posting losses from a generally accepted accounting principles (GAAP) basis.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of Nov. 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems '(NYSE: DDD) business has been having another tough year in 2016. Since early 2015, the company and fellow diversified 3D printing leader, Stratasys , have struggled to grow revenue amid a slowdown in demand for their enterprise 3D printers. This move was especially critical in 3D Systems' case, because the company, according to Glassdoor ratings, has long had a poor corporate culture -- which will often cause good talent to leave.
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3D Systems '(NYSE: DDD) business has been having another tough year in 2016. Developing Figure 4 technology Image source: 3D Systems. Completely exiting the desktop 3D printer market In the third quarter, 3D Systems completed its exit of the desktop 3D printer market by discontinuing making the CubePro and CubeJet, which are models generally targeted at professional users and more advanced consumers, respectively.
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3D Systems '(NYSE: DDD) business has been having another tough year in 2016. While 3D Systems has made some poor moves over the past several years, it's made a few solid moves in 2016 that have helped spur some positive market sentiment. Completely exiting the desktop 3D printer market In the third quarter, 3D Systems completed its exit of the desktop 3D printer market by discontinuing making the CubePro and CubeJet, which are models generally targeted at professional users and more advanced consumers, respectively.
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3D Systems '(NYSE: DDD) business has been having another tough year in 2016. Earlier this year, 3D Systems introduced a new 3D printing technology that it's been developing called Figure 4. Joshi said on theearnings callthat this move was made so the company can redirect resources to advancing technologies that it views as more promising, specifically metal 3D printing and Figure 4.
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8c93fce5-ea23-4e18-b6fd-4e59c19c2dfa
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717130.0
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2016-12-01 00:00:00 UTC
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Notable Thursday Option Activity: PVH, TLYS, DDD
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DDD
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https://www.nasdaq.com/articles/notable-thursday-option-activity-pvh-tlys-ddd-2016-12-01
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nan
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nan
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Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in PVH Corp (Symbol: PVH), where a total of 4,179 contracts have traded so far, representing approximately 417,900 underlying shares. That amounts to about 41% of PVH's average daily trading volume over the past month of 1.0 million shares. Especially high volume was seen for the $105 strike call option expiring December 16, 2016 , with 2,141 contracts trading so far today, representing approximately 214,100 underlying shares of PVH. Below is a chart showing PVH's trailing twelve month trading history, with the $105 strike highlighted in orange:
Tilly's Inc (Symbol: TLYS) saw options trading volume of 640 contracts, representing approximately 64,000 underlying shares or approximately 40.9% of TLYS's average daily trading volume over the past month, of 156,530 shares. Especially high volume was seen for the $12.50 strike call option expiring December 16, 2016 , with 133 contracts trading so far today, representing approximately 13,300 underlying shares of TLYS. Below is a chart showing TLYS's trailing twelve month trading history, with the $12.50 strike highlighted in orange:
And 3D Systems Corp. (Symbol: DDD) options are showing a volume of 11,572 contracts thus far today. That number of contracts represents approximately 1.2 million underlying shares, working out to a sizeable 40.7% of DDD's average daily trading volume over the past month, of 2.8 million shares. Especially high volume was seen for the $13.50 strike call option expiring December 02, 2016 , with 9,038 contracts trading so far today, representing approximately 903,800 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $13.50 strike highlighted in orange:
For the various different available expirations for PVH options , TLYS options , or DDD options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Especially high volume was seen for the $13.50 strike call option expiring December 02, 2016 , with 9,038 contracts trading so far today, representing approximately 903,800 underlying shares of DDD. Below is a chart showing TLYS's trailing twelve month trading history, with the $12.50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) options are showing a volume of 11,572 contracts thus far today. That number of contracts represents approximately 1.2 million underlying shares, working out to a sizeable 40.7% of DDD's average daily trading volume over the past month, of 2.8 million shares.
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Below is a chart showing TLYS's trailing twelve month trading history, with the $12.50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) options are showing a volume of 11,572 contracts thus far today. That number of contracts represents approximately 1.2 million underlying shares, working out to a sizeable 40.7% of DDD's average daily trading volume over the past month, of 2.8 million shares. Especially high volume was seen for the $13.50 strike call option expiring December 02, 2016 , with 9,038 contracts trading so far today, representing approximately 903,800 underlying shares of DDD.
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Below is a chart showing TLYS's trailing twelve month trading history, with the $12.50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) options are showing a volume of 11,572 contracts thus far today. That number of contracts represents approximately 1.2 million underlying shares, working out to a sizeable 40.7% of DDD's average daily trading volume over the past month, of 2.8 million shares. Especially high volume was seen for the $13.50 strike call option expiring December 02, 2016 , with 9,038 contracts trading so far today, representing approximately 903,800 underlying shares of DDD.
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Especially high volume was seen for the $13.50 strike call option expiring December 02, 2016 , with 9,038 contracts trading so far today, representing approximately 903,800 underlying shares of DDD. Below is a chart showing TLYS's trailing twelve month trading history, with the $12.50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) options are showing a volume of 11,572 contracts thus far today. That number of contracts represents approximately 1.2 million underlying shares, working out to a sizeable 40.7% of DDD's average daily trading volume over the past month, of 2.8 million shares.
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0d96f934-9da8-41fc-a60f-5c374c2cd939
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717131.0
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2016-11-28 00:00:00 UTC
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Better Buy: Stratasys Ltd. vs. 3D Systems Corporation
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DDD
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https://www.nasdaq.com/articles/better-buy-stratasys-ltd-vs-3d-systems-corporation-2016-11-28
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nan
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nan
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SSYS revenue (TTM) data by YCharts .
Two very similar companies
Looking at income statements and balance sheets, there isn't a lot that separates 3D Systems and Stratasys. 3D Systems generated $467.0 million in revenue in the first three quarters of the year, showed a gross margin of 48.6%, and lost $43.6 million. Stratasys generated $497.2 million in revenue in the first nine months of this year, had a 47.1% gross margin, and lost $62.5 million in that time.
Neither company has a debt load and 3D Systems has $179.4 million in cash on hand compared to $239.3 million at Stratasys. Financially, they almost look like they're the same company.
Designing the future of 3D printing
Strategically, they aren't in entirely different worlds, either. Both companies make everything from small desktop printers to large production-scale printers that use a variety of materials. But it's when they focus their efforts on a corporate level that I think is important.
3D Systems has put a focus on building accessible software and third-party printing services. You don't actually have to own a 3D printer to use 3D Systems' services, which makes the products accessible to more customers.
Stratasys, on the other hand, is building its strategy around professional users. Partnerships with Airbus , Boeing , Siemens , and Ford are a key to proving the ability to work with large customers and the company even makes printers specifically designed for the dental market.
3D Systems' strategy may be dragging a wider net, but it's also seeking out a less qualified customer in 3D printing. You can see this in 3D Systems' 9% growth in material sales last quarter compared to 12% at Stratasys, despite 3D Systems outperforming overall on revenue. Stratasys' strategy of serving customers who already demand their products could pay off with far more high-margin material sales in the end.
The better stock today
In a tough 3D printing market, I have to give the edge to Stratasys simply based on a more qualified customer base. But neither company is particularly attractive given the shrinking top line and net losses each quarter. Until the 3D printing industry starts to grow again, I wouldn't bet much on a recovery because the market overall may not be as big as we once assumed.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the 10 best stocks for investors to buy right now… and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 7, 2016
Travis Hoium owns shares of Ford. The Motley Fool owns shares of and recommends Ford. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Two very similar companies Looking at income statements and balance sheets, there isn't a lot that separates 3D Systems and Stratasys. Partnerships with Airbus , Boeing , Siemens , and Ford are a key to proving the ability to work with large customers and the company even makes printers specifically designed for the dental market. Stratasys' strategy of serving customers who already demand their products could pay off with far more high-margin material sales in the end.
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You don't actually have to own a 3D printer to use 3D Systems' services, which makes the products accessible to more customers. The Motley Fool owns shares of and recommends Ford. The Motley Fool recommends 3D Systems and Stratasys.
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Neither company has a debt load and 3D Systems has $179.4 million in cash on hand compared to $239.3 million at Stratasys. You don't actually have to own a 3D printer to use 3D Systems' services, which makes the products accessible to more customers. You can see this in 3D Systems' 9% growth in material sales last quarter compared to 12% at Stratasys, despite 3D Systems outperforming overall on revenue.
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You don't actually have to own a 3D printer to use 3D Systems' services, which makes the products accessible to more customers. 3D Systems' strategy may be dragging a wider net, but it's also seeking out a less qualified customer in 3D printing. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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6849d582-e95e-4abd-858b-7c008f1698bc
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717132.0
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2016-11-28 00:00:00 UTC
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DDD Crosses Below Key Moving Average Level
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DDD
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https://www.nasdaq.com/articles/ddd-crosses-below-key-moving-average-level-2016-11-28
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nan
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nan
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In trading on Monday, shares of 3D Systems Corp. (Symbol: DDD) crossed below their 200 day moving average of $14.33, changing hands as low as $14.29 per share. 3D Systems Corp. shares are currently trading off about 3.6% on the day. The chart below shows the one year performance of DDD shares, versus its 200 day moving average:
Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $14.32.
According to the ETF Finder at ETF Channel, DDD makes up 2.76% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) which is trading up by about 0.3% on the day Monday.
Click here to find out which 9 other stocks recently crossed below their 200 day moving average »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In trading on Monday, shares of 3D Systems Corp. (Symbol: DDD) crossed below their 200 day moving average of $14.33, changing hands as low as $14.29 per share. The chart below shows the one year performance of DDD shares, versus its 200 day moving average: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $14.32. According to the ETF Finder at ETF Channel, DDD makes up 2.76% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) which is trading up by about 0.3% on the day Monday.
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In trading on Monday, shares of 3D Systems Corp. (Symbol: DDD) crossed below their 200 day moving average of $14.33, changing hands as low as $14.29 per share. The chart below shows the one year performance of DDD shares, versus its 200 day moving average: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $14.32. According to the ETF Finder at ETF Channel, DDD makes up 2.76% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) which is trading up by about 0.3% on the day Monday.
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In trading on Monday, shares of 3D Systems Corp. (Symbol: DDD) crossed below their 200 day moving average of $14.33, changing hands as low as $14.29 per share. The chart below shows the one year performance of DDD shares, versus its 200 day moving average: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $14.32. According to the ETF Finder at ETF Channel, DDD makes up 2.76% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) which is trading up by about 0.3% on the day Monday.
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In trading on Monday, shares of 3D Systems Corp. (Symbol: DDD) crossed below their 200 day moving average of $14.33, changing hands as low as $14.29 per share. The chart below shows the one year performance of DDD shares, versus its 200 day moving average: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $14.32. According to the ETF Finder at ETF Channel, DDD makes up 2.76% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) which is trading up by about 0.3% on the day Monday.
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03cabb3a-ba4c-4956-a22a-2f390635def4
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717133.0
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2016-11-23 00:00:00 UTC
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3D Systems vs. Stratasys: Which 3D Printing Company Had the Better Q3 Earnings Results?
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DDD
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https://www.nasdaq.com/articles/3d-systems-vs-stratasys-which-3d-printing-company-had-better-q3-earnings-results-2016-11
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nan
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nan
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Neither company performed well on the revenue front, through 3D Systems is the winner here since it at least eked out a small year-over-year increase. Both companies essentially generated the same amount of revenue.
Both companies have been struggling to grow revenue since early 2015 amid a widespread and persistent slowdown in demand for enterprise 3D printers. Stratasys has long attributed this slowdown to excess capacity in the field because of the large numbers of machines that were purchased during the previous few years. On more recent earnings calls, the company's management has said that it believes the increased number of product offerings that customers have to choose from is likely lengthening the sales process.
It seems likely to me that at least some businesses have been postponing buying decisions to see what new offerings would soon be brought to market, especially by HP Inc. and venture capital-backed Carbon. In the spring, each company launched a speedy 3D printer for enterprise customers. Carbon's M1 3D printer was available immediately, while HP's printer was scheduled to begin shipping in the fall.
GAAP* EPS
*GAAP = generally accepted accounting principles.Data source: Q3 earnings reports.
Advantage: N/A.
We can't draw conclusions by directly comparing earnings-per-share results because the companies don't have the same number of stock shares outstanding. Both companies are unprofitable from a GAAP standpoint, so neither is doing well. We likewise can't compare their year-over-year changes because this doesn't make for an apples-to-apples comparison. Stratasys' GAAP earnings, for instance, improved considerably from the year-ago period because it took a huge goodwill impairment in the third quarter of last year.
Non-GAAP or adjusted earnings per share
Data source: Q3 earnings reports.
Advantage: 3D Systems.
The same comment as above about directly comparing EPS results between companies also applies here. However, we can fairly compare their year-over-year changes in results since one-time factors aren't included in adjusted EPS results. 3D Systems is the clear winner here.
GAAP gross profit margin
Data source: Q3 earnings reports.
Advantage: Stratasys.
Stratasys takes the gold here because it has the higher margin. Triple-D's gross margin was negatively impacted in part by it taking non-recurring charges of $10.7 million related to its discontinuation of its entire desktop 3D printer line.
Non-GAAP gross profit margin
Data source: Q3 earnings reports.
Advantage: Stratasys.
This metric is calculated by adding back to gross profit one-time items that increased cost of sales.
Stratasys turns up on top here, with a solid 300-basis-point advantage over 3D Systems. This is more impressive than the numbers suggest because Stratasys' desktop unit, MakerBot, is surely dragging down its company wide gross margin. In other words, if we were able to directly compare their gross margins in their enterprise businesses, there would almost surely be a greater than 300-basis-point spread.
That said, both companies' numbers are fairly solid, which would generally bode well for their future business performances once more healthy demand resumes. However, the unknown here is to what degree increased competition will affect their margins.
Liquidity
Data source: Q3 earnings reports.
Advantage: 3D Systems.
While Stratasys has a larger cash hoard than its rival, this ones goes to 3D Systems because it has a significant advantage in the cash-generated-from-operations front. This metric is more important here, in my opinion, than the total cash and cash equivalents because both companies sport robust balance sheets, with a solid amount of cash on hand and no long-term debt.
Non-GAAP research and development spending
Data source: Q3 earnings reports.
Advantage: Stratasys.
Stratasys wins here since it spent a larger percentage of its revenue on research and development.
Investors should focus on R&D spending for both companies. R&D is the lifeblood of companies involved in fast-evolving tech spaces.
2016 guidance
We can't really compare the two here because 3D Systems has never issued 2016 guidance.
In 2015, Stratasys earned $0.19 per share, on an adjusted basis, on revenue of $696.0 million. So, the midpoint of its 2016 guidance -- revenue of $662 million-$673 million, adjusted EPS of $0.13-$0.21, and GAAP EPS of ($1.44)-($1.35) -- implies expected adjusted EPS and revenue contractions of 10.5% and 4.1%, respectively.
3D Systems was wise to not issue 2016 guidance, at least at the traditional time - when reporting Q4 results for the previous year - as Stratasys did. Management at both companies have been saying they have limited visibility into market conditions. So, it's perhaps not surprising that Stratasys had to cut its guidance when it released third-quarter results.
It's a tie
3D Systems and Stratasys each have three metrics in their respective "win" columns, while two categories didn't lend themselves to determining a victor.
Keep in mind the caveats listed in the opening: We're only looking at one quarter, qualitative factors can be at least as important as quantitative ones, and future results are more important than current ones. Moreover, we didn't look at stock valuations.
Going forward, investors in 3D Systems and Stratasys should particularly focus on the companies' adjusted gross margins. This metric should help investors gauge if and to what degree the new competition from HP and Carbon are exerting pricing pressure on the leading 3D printing companies.
Forget the 2016 Election: 10 stocks we like better than 3D Systems
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Investing geniuses Tom and David Gardner have spent a long time beating the market no matter who's in the White House. In fact, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as ofNovember 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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On more recent earnings calls, the company's management has said that it believes the increased number of product offerings that customers have to choose from is likely lengthening the sales process. Triple-D's gross margin was negatively impacted in part by it taking non-recurring charges of $10.7 million related to its discontinuation of its entire desktop 3D printer line. But here's why you should ignore the election: Investing geniuses Tom and David Gardner have spent a long time beating the market no matter who's in the White House.
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GAAP gross profit margin Data source: Q3 earnings reports. Non-GAAP gross profit margin Data source: Q3 earnings reports. Non-GAAP research and development spending Data source: Q3 earnings reports.
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We can't draw conclusions by directly comparing earnings-per-share results because the companies don't have the same number of stock shares outstanding. This is more impressive than the numbers suggest because Stratasys' desktop unit, MakerBot, is surely dragging down its company wide gross margin. Going forward, investors in 3D Systems and Stratasys should particularly focus on the companies' adjusted gross margins.
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However, we can fairly compare their year-over-year changes in results since one-time factors aren't included in adjusted EPS results. GAAP gross profit margin Data source: Q3 earnings reports. Going forward, investors in 3D Systems and Stratasys should particularly focus on the companies' adjusted gross margins.
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bd39b1dd-0357-4644-a1db-b3e9c7ed43cf
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717134.0
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2016-11-23 00:00:00 UTC
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DDD Crosses Above Average Analyst Target
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DDD
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https://www.nasdaq.com/articles/ddd-crosses-above-average-analyst-target-2016-11-23
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nan
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nan
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $14.92/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 11 different analyst targets contributing to that average for 3D Systems Corp. , but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $9.00. And then on the other side of the spectrum one analyst has a target as high as $25.00. The standard deviation is $5.168.
But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover 3D Systems Corp. :
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on DDD - FREE .
10 ETFs With Most Upside To Analyst Targets »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $14.92/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $14.92/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $14.92/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $14.82, changing hands for $14.92/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $14.82/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $14.82 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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4ee94330-812e-436a-b1eb-16fffa395c83
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717135.0
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2016-11-16 00:00:00 UTC
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Stratasys Earnings: 3D Printer Sales Drop 20%, Stock Plummets 12%
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DDD
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https://www.nasdaq.com/articles/stratasys-earnings-3d-printer-sales-drop-20-stock-plummets-12-2016-11-16
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nan
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nan
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Stratasys (NASDAQ: SSYS) reported its third-quarter 2016 earnings before the market opened on Tuesday. The diversified 3D printing company posted a year-over-year revenue decline of 6.2%, driven by a 20% drop in 3D printer sales. Adjusted earnings per share -- the most important earnings metric -- declined from $0.01 to nearly $0.00.
In light of the weaker-than-expected results and what it views as a continuing challenging macroeconomic environment, Stratasys cut its full-year guidance for revenue and adjusted EPS and narrowed -- with the midpoint edging down -- its outlook for EPS based on generally accepted accounting principles (GAAP). Stratasys and archrival 3D Systems (NYSE: DDD) have struggled to grow revenue since early 2015 due to a widespread slowdown of 3D printer purchases among enterprise customers.
Shares of Stratasys plunged upon the earnings release and closed down 12.4% on Tuesday.
The Robotic Composite Demonstrator. Image source: Stratasys.
Stratasys' results: The raw numbers
Data source: Stratasys.
Investors should focus on the adjusted results, not the GAAP results. The adjusted results compare apples to apples, whereas the GAAP results are skewed because Stratasys took a huge goodwill impairment charge in the year-ago period. On an adjusted basis, there was one bright spot: Operating income flipped from a loss in the year-ago period to a gain in the quarter. This can largely be attributed to Stratasys' focus on improving efficiencies and cost-cutting this year.
To provide some context -- though long-term investors shouldn't give much credence to Wall Street's near-term estimates -- analysts were looking for adjusted EPS of $0.05 on revenue of $174.5 million. So Stratasys fell quite short on both the top and bottom lines.
Segment results
Data source: Stratasys.
Within the product category, revenue generated from 3D printer sales fell 20% -- which follows a 19% year-over-year decline last quarter -- while sales of consumables (materials) rose 12%. (Stratasys doesn't break out 3D printer sales by enterprise vs. MakerBot. However, since MakerBot's total sales fell by 29% year over year, we can probably safely assume that the decline in enterprise 3D printer sales was a little less than 20%.)
To provide some context, 3D Systems' year-over-year revenue generated from 3D printer sales declined 6% and materials sales grew 9% when the company reported its Q3 earnings earlier this month.
Like materials, customer support revenue was another bright spot, increasing 7%. These two recurring income streams are generated from a growing installed base and keep on flowing even as quarterly 3D printer sales decline on a year-over-year basis. Since these higher-margin revenue streams are driven from sales of 3D printers, the slowdown in printer sales is particularly concerning.
MakerBot's revenue was more hard-hit than the overall business
Desktop 3D printer unit MakerBot's product and service revenue declined 29% from the year-ago period, which Stratasys' management attributed to overall market weakness and the timing of new product introductions.
Investors shouldn't focus too heavily on MakerBot, because the enterprise business accounts for the lion's share of Stratasys' revenue and is the profit engine of the company. That said, the 29% year-over-year decline was somewhat disappointing, as last quarter's 2% year-over-year decline and the sequential increases in the last two quarters suggested that we had possibly seen a bottoming at the beleaguered desktop 3D printer maker.
What else happened with Stratasys in the quarter?
GAAP gross margin was 46.9%, up from negative 47.7% in the prior-year period (that poor gross margin was heavily due to a huge goodwill impairment charge).
Adjusted gross margin was 54%, up from 50.8% in the prior-year period -- driven largely by cost-cutting -- but down from 55.9% last quarter.
Stratasys announced that Airbus "is standardizing on Ultem 9085 3D printing material for the production of flight parts for its A350 XWB aircraft."
The company demonstrated next-generation 3D manufacturing technologies at the International Manufacturing Technology Show 2016. These include the Infinite-Build 3D Demonstrator, developed with Boeing and Ford, "designed for low-volume production of large thermo-plastic parts," and the Robotic Composite Demonstrator, developed with Siemens, "designed for the automated production of composite material structures for advanced manufacturing applications."
It also launched and began shipping various new MakerBot 3D printing solutions.
What management had to say
Here's what CEO Ilan Levin -- who assumed the top spot on July 1 -- had to say in the press release:
Looking ahead
Stratasys pared back full-year 2016 revenue and adjusted EPS guidance and narrowed its EPS based on generally accepted principles outlook as follows:
Data source: Stratasys.
In short, Stratasys posted a disappointing quarter, though there were some bright spots -- namely, sales of consumables and an improved adjusted operating performance from the year-ago period. The company's overall results are unlikely to improve meaningfully until it has more success selling its enterprise 3D printers.
Forget the 2016 Election: 10 stocks we like better than Stratasys
Donald Trump was just elected president, and volatility is up. But here's why you should ignore the election:
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David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and Stratasys wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as ofNovember 7, 2016
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Ford. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Stratasys and archrival 3D Systems (NYSE: DDD) have struggled to grow revenue since early 2015 due to a widespread slowdown of 3D printer purchases among enterprise customers. To provide some context -- though long-term investors shouldn't give much credence to Wall Street's near-term estimates -- analysts were looking for adjusted EPS of $0.05 on revenue of $174.5 million. But here's why you should ignore the election: Investing geniuses Tom and David Gardner have spent a long time beating the market no matter who's in the White House.
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Stratasys and archrival 3D Systems (NYSE: DDD) have struggled to grow revenue since early 2015 due to a widespread slowdown of 3D printer purchases among enterprise customers. To provide some context, 3D Systems' year-over-year revenue generated from 3D printer sales declined 6% and materials sales grew 9% when the company reported its Q3 earnings earlier this month. MakerBot's revenue was more hard-hit than the overall business Desktop 3D printer unit MakerBot's product and service revenue declined 29% from the year-ago period, which Stratasys' management attributed to overall market weakness and the timing of new product introductions.
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Stratasys and archrival 3D Systems (NYSE: DDD) have struggled to grow revenue since early 2015 due to a widespread slowdown of 3D printer purchases among enterprise customers. Within the product category, revenue generated from 3D printer sales fell 20% -- which follows a 19% year-over-year decline last quarter -- while sales of consumables (materials) rose 12%. MakerBot's revenue was more hard-hit than the overall business Desktop 3D printer unit MakerBot's product and service revenue declined 29% from the year-ago period, which Stratasys' management attributed to overall market weakness and the timing of new product introductions.
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Stratasys and archrival 3D Systems (NYSE: DDD) have struggled to grow revenue since early 2015 due to a widespread slowdown of 3D printer purchases among enterprise customers. Within the product category, revenue generated from 3D printer sales fell 20% -- which follows a 19% year-over-year decline last quarter -- while sales of consumables (materials) rose 12%. (Stratasys doesn't break out 3D printer sales by enterprise vs. MakerBot.
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87d68f98-0be4-49bc-b9db-aa10f540f5ca
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717136.0
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2016-11-16 00:00:00 UTC
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Stratasys (SSYS) Falls on Q3 Loss, Revenues Lag; Cuts View
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DDD
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https://www.nasdaq.com/articles/stratasys-ssys-falls-on-q3-loss-revenues-lag-cuts-view-2016-11-16
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nan
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Shares of Stratasys Ltd.SSYS went down more than 12% yesterday after the company reported not-so-encouraging third-quarter 2016 results and lowered its full-year 2016 revenue and earnings guidance. Also, revenues and loss reported during the quarter compared unfavourably on a year-over-year basis, which in turn impacted the share price.
The company reported adjusted loss per share (excluding amortization, impairment and other one-time items but including stock-based compensation) of 8 cents compared with the Zacks Consensus Estimate of a loss of 12 cents per share. The company's quarterly loss however widened from the year-ago quarter.
Quarter Details
Stratasys' revenues not only declined 6.2% year over year to $157.2 million, but also missed the Zacks Consensus Estimate of $174 million. Product revenues were down 7.1% from the year-ago quarter to $110.1 million. Also, revenues from Services decreased 4.1% year over year to $47.1 million. The company's soft revenues reflect weak performance at its MakerBot business.
Stratasys stated that revenues from the MakerBot business decreased 29% on a year-over-year basis. The decline was primarily due to softness in overall market conditions and unfavourable timing of new product introductions.
Stratasys' adjusted gross margin (excluding amortization and other one-time expenses but including share-based compensation) expanded 590 basis points (bps) to 53.6%, primarily due to favourable product mix and lower cost of sales.
The company's adjusted operating expenses decreased 13.6% year over year to $84.7 million, primarily due to a lower cost structure. Also, as a percentage of revenues, operating expenses decreased year over year from 59.2% to 54.6%. The decrease was primarily due to lower research and development expenses and selling, general and administrative expenses.
The company posted adjusted operating loss of $1.5 million in the reported quarter compared with adjusted operating loss of $14.8 million reported in the year-ago quarter.
The company exited the quarter with cash and cash equivalents and short-term bank deposits of $239.3 million compared with $253.9 million in the previous quarter. Inventories came in at approximately $127 million compared with $125.7 million in the second quarter. The company does not have any long-term debt.
Guidance
Stratasys lowered its full-year 2016 revenue and earnings guidance. The company now expects revenues in a range of $662 million to $673 million (previously $700 million to $730 million). The Zacks Consensus Estimate is pegged at $686 million. Non-GAAP income per share is now projected between 13 cents and 21 cents (previously 17 cents and 43 cents).
For full-year 2016, the company continues to expect gross margin to be in a range of 54% to 55%. Operating margin is expected to be in a range of 3% to 5%. Capital expenditure is expected to be in a range of $50 million to $60 million.
STRATASYS LTD Price, Consensus and EPS Surprise
STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote
Conclusion
Stratasys reported dismal third-quarter results. It posted a loss and revenues missed the Zacks Consensus Estimate. Also, year-over-year revenue comparisons were unfavourable. The company's quarterly results were negatively impacted by difficult market conditions and lower-than-expected performance at its MakerBot business. Also, the company lowered its outlook for 2016.
Also, some customers are delaying their purchases owing to the current economic conditions. In the 3D printer business, the majority of customers have moved toward the lower-priced uPrint, which may affect the company's margins in the upcoming quarters. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind.
Stratasys carries a Zacks Rank #2 (Buy).
A couple of better-ranked stocks in the technology sector are NVIDIA Corporation NVDA and Seagate Technology plc STX , both of which sport a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here
NVIDIA and Seagate have long-term expected earnings per share growth rates of 10.3% and 4.05%, respectively.
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SEAGATE TECH (STX): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
NVIDIA CORP (NVDA): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report SEAGATE TECH (STX): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NVIDIA CORP (NVDA): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Shares of Stratasys Ltd.SSYS went down more than 12% yesterday after the company reported not-so-encouraging third-quarter 2016 results and lowered its full-year 2016 revenue and earnings guidance.
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Click to get this free report SEAGATE TECH (STX): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NVIDIA CORP (NVDA): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. The company reported adjusted loss per share (excluding amortization, impairment and other one-time items but including stock-based compensation) of 8 cents compared with the Zacks Consensus Estimate of a loss of 12 cents per share.
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Click to get this free report SEAGATE TECH (STX): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NVIDIA CORP (NVDA): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. The company posted adjusted operating loss of $1.5 million in the reported quarter compared with adjusted operating loss of $14.8 million reported in the year-ago quarter.
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Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report SEAGATE TECH (STX): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NVIDIA CORP (NVDA): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Also, revenues and loss reported during the quarter compared unfavourably on a year-over-year basis, which in turn impacted the share price.
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ea5cca9d-7f06-488f-bbc5-d26651f6bbeb
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717137.0
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2016-11-15 00:00:00 UTC
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The Simple Reason Why Fitbit and GoPro Are Struggling
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DDD
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https://www.nasdaq.com/articles/simple-reason-why-fitbit-and-gopro-are-struggling-2016-11-15
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nan
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nan
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It's hard out there for a device-maker.
Two of the hottest IPOs in recent years, Fitbit (NYSE: FIT) and GoPro (NASDAQ: GPRO) , hit the skids recently after delivering disappointing earnings reports -- both stocks have sunk to nearly all-time lows. Each one has shed more than 80% of its peak value.
DDD data by YCharts
This type of pattern can be seen outside of technology as well. Following its 2011 IPO, DIY sodamaker SodaStream International (NASDAQ: SODA) surged through 2013 as the company made a big push for the U.S. market. However, its sales growth sputtered shortly after, and the company was forced to rebrand itself as a sparkling water company, which has resulted in a modest rebound this year.
SODA data by YCharts
Disrupting the disruptors
In addition to the problems endemic to fad stocks, innovators like Fitbit and GoPro face another risk. Tech gadgets like these are easily disrupted by newer devices from rivals. For what now seems like a brief moment in history, Blackberry (NASDAQ: BBRY) dominated the smartphone market. Then Apple (NASDAQ: AAPL) launched the iPhone and quickly took over the burgeoning industry. Today, Blackberry shares are worth just about 5% of what they were at their peak before the recession.
Similarly, Garmin (NASDAQ: GRMN) once reigned over the GPS market before the proliferation of smartphones made a stand-alone navigator unnecessary. Today, Garmin's business revolves mostly around more specialized devices for fitness, aviation, and marine use.
Like Garmin and Blackberry, Fitbit and GoPro are squarely in the middle of Apple's warpath. Smartphones now feature pedometers and other fitness-related features, and the Apple Watch and Fitbit Blaze are both targeting the same smartwatch customer. Similarly, Apple's new iPhone 7 included a significant upgrade to the camera, reducing the necessity of a GoPro.
But even Apple's experience offers a cautionary tale for companies like GoPro and Fitbit. Apple is the king of device-makers and the most valuable company in the country, but since releasing the iPhone it has struggled to create another device with lasting relevance. The iPad was hailed as revolutionary when it was first released in 2010, but sales of the trademark tablet have fallen for several years, disrupted in part by larger-screen smartphones such as the iPhone 6 plus and the Samsung Galaxy Note. It's still early for the Apple Watch, but its sales have been underwhelming, and the company has struggled to penetrate other markets such as TV.
For Fitbit and GoPro investors, the lessons seem clear. While the stocks may rebound from their current lows, they're unlikely to hit the euphoric highs that followed their IPOs. Breakthrough products like the iPhone don't come around often, and the experiences of other device makers show that once revenue growth slows it tends to stay that way. For Fitbit and GoPro, things are likely to get worse before they get better.
Forget the 2016 Election: 10 stocks we like better than GoPro
Donald Trump was just elected president, and volatility is up. But here's why you should ignore the election:
Investing geniuses Tom and David Gardner have spent a long time beating the market no matter who's in the White House. In fact, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and GoPro wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as ofNovember 7, 2016
Jeremy Bowman owns shares of 3D Systems, Apple, and SodaStream. The Motley Fool owns shares of and recommends Apple, Fitbit, and GoPro. The Motley Fool owns shares of SodaStream and has the following options: long January 2018 $90 calls on Apple, short January 2018 $95 calls on Apple, short January 2019 $12 calls on GoPro, and long January 2019 $12 puts on GoPro. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DDD data by YCharts This type of pattern can be seen outside of technology as well. SODA data by YCharts Disrupting the disruptors In addition to the problems endemic to fad stocks, innovators like Fitbit and GoPro face another risk. The iPad was hailed as revolutionary when it was first released in 2010, but sales of the trademark tablet have fallen for several years, disrupted in part by larger-screen smartphones such as the iPhone 6 plus and the Samsung Galaxy Note.
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DDD data by YCharts This type of pattern can be seen outside of technology as well. Two of the hottest IPOs in recent years, Fitbit (NYSE: FIT) and GoPro (NASDAQ: GPRO) , hit the skids recently after delivering disappointing earnings reports -- both stocks have sunk to nearly all-time lows. The Motley Fool owns shares of and recommends Apple, Fitbit, and GoPro.
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DDD data by YCharts This type of pattern can be seen outside of technology as well. Two of the hottest IPOs in recent years, Fitbit (NYSE: FIT) and GoPro (NASDAQ: GPRO) , hit the skids recently after delivering disappointing earnings reports -- both stocks have sunk to nearly all-time lows. The Motley Fool owns shares of and recommends Apple, Fitbit, and GoPro.
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DDD data by YCharts This type of pattern can be seen outside of technology as well. Today, Blackberry shares are worth just about 5% of what they were at their peak before the recession. But even Apple's experience offers a cautionary tale for companies like GoPro and Fitbit.
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553e8b00-ff7d-4666-9f38-8e8096c40ece
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717138.0
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2016-11-11 00:00:00 UTC
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2 Top 3D Printing Companies to Buy Today
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DDD
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https://www.nasdaq.com/articles/2-top-3d-printing-companies-buy-today-2016-11-11
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nan
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nan
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Once hot, 3D printing stocks are now...not. Over the past five years, 3D printing companies Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) took investors on a round-trip ticket from initial lows, to exhilarating highs, and back to lows again.
SSYS, DDD, and XONE Data by YCharts .
Despite their remarkable gains mid-decade, these three 3D printing stocks have squandered their momentum. They've returned to about where they started five years ago and left investors no richer for making the trip. But don't lose heart. After digging around, there are a couple of unconventional 3D printing stocks that might do a bit better for you.
Data source: Yahoo! Finance .
A few things jump out in the chart up above -- most notably, the big differences between the companies themselves. HP Inc. (NYSE: HPQ) , which is the company you probably still think of as "Hewlett-Packard," is primarily a purveyor of personal computers, printers (the ones that print two-dimensionally, on paper), and the ink needed to do that printing. Recently, HP began expanding into the third dimension, offering a 3D printing technology dubbed " voxel " through a line of high-end printers it calls "HP Multi Jet Fusion." But at present, this business accounts for just a small sliver of HP's nearly $100 billion-a-year annual revenue stream.
Contrast that with Proto Labs (NYSE: PRLB) , a much smaller company, at just $1.2 billion in market capitalization and less than $300 million in sales. In contrast to HP, which sells hardware, Proto Labs uses other companies' hardware (i.e., 3D printers) to custom-print parts for engineers and developers needing short production runs. Technology-agnostic, Proto Labs offers a way to invest in the concept of 3D printing without taking on the risk of choosing the "wrong" 3D printer maker to invest in.
Valuation: Which is the better buy?
Choosing one or the other of these 3D printing companies to invest in depends somewhat on your risk tolerance. On the low-risk side, HP Inc is a huge business, and at this point in time, not at all dependent on the success of its 3D printing products to make or break the company. Rather, 3D printing is a major potential growth driver that has time to mature and develop under the boarder HP business.
Currently, analysts quoted on S&P Global Market Intelligence expect no more than 1.2% annualized earnings growth from HP Inc., which helps to explain why investors are valuing the stock at less than eight times earnings. If its Multi Jet Fusion printers take off, they have the potential to juice HP's growth rate and increase the stock's valuation. On the other hand, if 3D printing turns out to be a bad business for HP -- or even if the company just loses interest in the concept again, as happened when it cut its ties with early partner Stratasys back in 2012, buyers of HP stock can take comfort in the fact that they still own a stock that pays a 4.7% dividend yield, carries little debt relative to its cash reserves, and is producing $3.9 billion in annual free cash flow.
More aggressive investors might be more inclined toward Proto Labs. The company pays no dividend and sells for a much fatter earnings multiple than does HP. On the other hand, most analysts who track Proto Labs forecast 20% long-term earnings growth for the stock, while at least one believes the stock could grow as fast as 30% over the next five years. If they're right about that rate, the stock's 26 P/E ratio could be a lot cheaper than it looks.
10 stocks we like better than HP
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now... and HP wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 7, 2016
Fool contributorRich Smith does not own shares of, nor is he short, any company named above. You can find him on CAPS, publicly pontificating under the handleTMFDitty, where he's currently ranked No. 336 out of more than 75,000 rated members.
The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Over the past five years, 3D printing companies Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) took investors on a round-trip ticket from initial lows, to exhilarating highs, and back to lows again. SSYS, DDD, and XONE Data by YCharts . On the low-risk side, HP Inc is a huge business, and at this point in time, not at all dependent on the success of its 3D printing products to make or break the company.
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Over the past five years, 3D printing companies Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) took investors on a round-trip ticket from initial lows, to exhilarating highs, and back to lows again. SSYS, DDD, and XONE Data by YCharts . In contrast to HP, which sells hardware, Proto Labs uses other companies' hardware (i.e., 3D printers) to custom-print parts for engineers and developers needing short production runs.
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Over the past five years, 3D printing companies Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) took investors on a round-trip ticket from initial lows, to exhilarating highs, and back to lows again. SSYS, DDD, and XONE Data by YCharts . On the other hand, if 3D printing turns out to be a bad business for HP -- or even if the company just loses interest in the concept again, as happened when it cut its ties with early partner Stratasys back in 2012, buyers of HP stock can take comfort in the fact that they still own a stock that pays a 4.7% dividend yield, carries little debt relative to its cash reserves, and is producing $3.9 billion in annual free cash flow.
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Over the past five years, 3D printing companies Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) took investors on a round-trip ticket from initial lows, to exhilarating highs, and back to lows again. SSYS, DDD, and XONE Data by YCharts . Once hot, 3D printing stocks are now...not.
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a7afbf65-963c-4d82-98c0-c18619401b48
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717139.0
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2016-11-10 00:00:00 UTC
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What's in the Cards for Stratasys (SSYS) in Q3 Earnings?
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DDD
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https://www.nasdaq.com/articles/whats-in-the-cards-for-stratasys-ssys-in-q3-earnings-2016-11-10
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nan
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nan
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Stratasys Ltd.SSYS is set to report third-quarter 2016 results on Nov 15. Last quarter, the company posted a positive earnings surprise of 114.29%. Notably, the stock has surpassed the Zacks Consensus Estimate in the trailing four quarters with an average positive surprise of 65.45%.
Let's see how things are shaping up for this announcement.
Factors at Play
Stratasys is one of the leading 3D printing solution providers. The 3D printing market presents a favorable long-term investment opportunity as a large number of engineers, designers, architects and entrepreneurs are resorting to 3D solutions for primary designing and product modeling. Being the industry leader in 3D printing, we believe that growing demand across different sectors will drive Stratasys' third-quarter results.
Stratasys has entered into several strategic partnerships with the likes of The Boeing Co., Ford Motor Co. and Siemens to tap this opportunity. Going forward, the company's sustained focus on launching new products and entering into strategic partnerships will drive its revenues in the to-be-reported quarter results.
Additionally, its efforts toward turning around MakerBot's performance are encouraging. The initiatives will help Stratasys to gain more market share as the prospect of 3D printing industry appears bright.
Nonetheless, some customers are delaying their purchases owing to the current economic conditions. In the 3D printer business, the majority of customers have moved toward the lower-priced uPrint, which may affect the company's margins in the to-be-reported quarter. Competition from 3D Systems Corporation DDD is also a potent headwind.
Earnings Whispers
Our proven model does not conclusively show that Stratasys is likely to beat earnings this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen. That is not the case here as you will see below.
Zacks ESP: Earnings ESP for Stratasys is 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate stand at a loss of 12 cents per share. You can uncover the best stocks to buy or sell before they're reported with our Earnings ESP Filter .
Zacks Rank: Stratasys sports a Zacks Rank #1. Though Zacks Rank #1, 2 or 3 increases the predictive power of ESP, the company's ESP of 0.00% makes surprise prediction difficult.
We caution against stocks with a Zacks Rank #4 and 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
STRATASYS LTD Price and EPS Surprise
STRATASYS LTD Price and EPS Surprise | STRATASYS LTD Quote
Stocks to Consider
Here are a couple of stocks, which you may consider as our model shows that they have the right combination of elements to post an earnings beat in their upcoming releases:
Asure Software Inc. ASUR , with an Earnings ESP of +14.29% and a Zacks Rank #3.You can see the complete list of today's Zacks #1 Rank stocks here .
Broadcom Ltd. AVGO , with an Earnings ESP of +1.74% and a Zacks Rank #3.
The Best Place to Start Your Stock Search
Today, you are invited to download the full list of 220 Zacks Rank #1 ""Strong Buy"" stocks - absolutely free of charge. Since 1988, Zacks Rank #1 stocks have nearly tripled the market, with average gains of +26% per year. Plus, you can access the list of portfolio-killing Zacks Rank #5 ""Strong Sells"" and other private research. See these stocks free >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ASURE SOFTWARE (ASUR): Get Free Report
BROADCOM LTD (AVGO): Get Free Report
STRATASYS LTD (SSYS): Get Free Report
3D SYSTEMS CORP (DDD): Get Free Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report ASURE SOFTWARE (ASUR): Get Free Report BROADCOM LTD (AVGO): Get Free Report STRATASYS LTD (SSYS): Get Free Report 3D SYSTEMS CORP (DDD): Get Free Report To read this article on Zacks.com click here. Stratasys has entered into several strategic partnerships with the likes of The Boeing Co., Ford Motor Co. and Siemens to tap this opportunity.
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Click to get this free report ASURE SOFTWARE (ASUR): Get Free Report BROADCOM LTD (AVGO): Get Free Report STRATASYS LTD (SSYS): Get Free Report 3D SYSTEMS CORP (DDD): Get Free Report To read this article on Zacks.com click here. Competition from 3D Systems Corporation DDD is also a potent headwind. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) for this to happen.
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Click to get this free report ASURE SOFTWARE (ASUR): Get Free Report BROADCOM LTD (AVGO): Get Free Report STRATASYS LTD (SSYS): Get Free Report 3D SYSTEMS CORP (DDD): Get Free Report To read this article on Zacks.com click here. Competition from 3D Systems Corporation DDD is also a potent headwind. We caution against stocks with a Zacks Rank #4 and 5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
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Competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report ASURE SOFTWARE (ASUR): Get Free Report BROADCOM LTD (AVGO): Get Free Report STRATASYS LTD (SSYS): Get Free Report 3D SYSTEMS CORP (DDD): Get Free Report To read this article on Zacks.com click here. Last quarter, the company posted a positive earnings surprise of 114.29%.
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e5f83822-1a98-4d67-8dcf-8619e5348eaa
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717140.0
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2016-11-09 00:00:00 UTC
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Why HP Inc. Needs to Win the 3D Printing Market
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DDD
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https://www.nasdaq.com/articles/why-hp-inc-needs-win-3d-printing-market-2016-11-09
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nan
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nan
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CEO Dion Weisler has HP 's(NYSE: HPQ) PC unit flying high. Despite the negativity surrounding the global PC market -- shipments declined again by nearly 6% last quarter -- HP continues to make headway in its race to catch China-based Lenovo and take over the top spot.
The strength of HP's PC unit has been the impetus for its stock jumping 27% year to date. That's the good news. The not-so-good news is that HP's printing division in general and supply sales in particular have been dismal for several quarters now. For HP to reach its valuation potential, the printing division needs to at least hold its own, and the expected surge in the commercial 3D printing market could be just what the doctor ordered.
Image source: HP.
The time is ripe for 3D printing
According to a comprehensive study of 2015 3D printing sales, the manufacturing industry alone reported a 25.9% increase to $5.17 billion. Toss in over 278,000 desktop 3D printing units -- these are generally considered devices costing under $5,000 -- and it's clear the negative headlines surrounding the burgeoning marketplace that still occasionally crop up are incorrect.
In fact, as quickly as manufacturing and similar industries are adopting 3D printing, the seemingly sky-high estimates could prove to be conservative. One market estimate suggests 3D printing will generate $7 billion this year, nearly double to $13 billion by 2018, and will continue to climb to a whopping $21 billion by 2020.
To put the opportunity that 3D printing presents into perspective, the commercial hardware segment of HP's printing division reported just $1.29 billion in sales last quarter, down 3% compared to a year ago. Worse yet, it was HP's best-performing segment. Supplies revenue -- which generates more than half the revenue of its printing division -- took a beating last quarter, nosediving 18% to $2.84 billion.
HP's supplies sales woes could also be remedied by 3D printing. The laundry list of materials required to complete various 3D printing applications is seemingly endless. That said, thermoplastic filament alone is forecast to become a nearly $7 billion market in the next 10 years. Now, add in the dozen or so other materials widely used to complete various manufacturing operations and the revenue possibilities are enormous.
Where to from here?
As it stands, HP is nowhere to be seen in a list of top-selling 3D printer manufacturers. The market is still led by upstarts Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and privately held XYZ Printing, among a slew of others. Stratasys and 3D Systems, in particular, have bull's-eyes on their backs as folks like HP enter the picture.
HP was late to the 3D party, but its two Fusion commercial 3D printing offerings have already made a splash. According to an industry analyst, one factor in the so-so quarters both Stratasys and 3D Systems reported recently may have been due to manufacturers holding off on purchasing a new unit until HP's Fusions were readily available.
Though HP isn't on the 3D printing sales radar just yet, it appears the all-important manufacturing sector is eager to give it a look before opting for a Stratasys or 3D Systems device. Combined with the still new-ish Design Jet desktop solution, HP now has its 3D ducks in a row, and investors should begin to see early results in another quarter, or two.
It won't take too many 3D printer sales to move the needle, either. HP's low-end Fusion 3D printer will sell in the $120,000 to $155,000 range, while its elite 4200 model could climb to over $200,000 depending on operational requirements. With those price points, HP won't have to sell millions to make an impact on its top and bottom lines. And HP's 3D printer prices are less than half comparable units from Stratasys or 3D Systems.
The 3D printing market isn't exactly low-hanging fruit, but with HP's global reach and eagerly anticipated offerings, both its hardware and supplies revenue woes could be cured in one fell swoop.
10 stocks we like better than HP
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now… and HP wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 7, 2016
Tim Brugger has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The market is still led by upstarts Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and privately held XYZ Printing, among a slew of others. Despite the negativity surrounding the global PC market -- shipments declined again by nearly 6% last quarter -- HP continues to make headway in its race to catch China-based Lenovo and take over the top spot. According to an industry analyst, one factor in the so-so quarters both Stratasys and 3D Systems reported recently may have been due to manufacturers holding off on purchasing a new unit until HP's Fusions were readily available.
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The market is still led by upstarts Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and privately held XYZ Printing, among a slew of others. To put the opportunity that 3D printing presents into perspective, the commercial hardware segment of HP's printing division reported just $1.29 billion in sales last quarter, down 3% compared to a year ago. And HP's 3D printer prices are less than half comparable units from Stratasys or 3D Systems.
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The market is still led by upstarts Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and privately held XYZ Printing, among a slew of others. For HP to reach its valuation potential, the printing division needs to at least hold its own, and the expected surge in the commercial 3D printing market could be just what the doctor ordered. To put the opportunity that 3D printing presents into perspective, the commercial hardware segment of HP's printing division reported just $1.29 billion in sales last quarter, down 3% compared to a year ago.
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The market is still led by upstarts Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and privately held XYZ Printing, among a slew of others. To put the opportunity that 3D printing presents into perspective, the commercial hardware segment of HP's printing division reported just $1.29 billion in sales last quarter, down 3% compared to a year ago. And HP's 3D printer prices are less than half comparable units from Stratasys or 3D Systems.
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9d857e55-f0b5-4f0a-9572-2b102bda37b3
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717141.0
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2016-11-08 00:00:00 UTC
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Why 3D Systems Corporation's Shares Fell 23% Last Month
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-corporations-shares-fell-23-last-month-2016-11-08
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nan
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nan
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Image source: Getty Images.
What happened
Shares of 3D Systems Corporation (NYSE: DDD) fell 22.7% in October, according to data provided by S&P Global Market Intelligence , as bad news roiled the industry.
So what
Proto Labs was the first to surprise the rapid prototype industry, posting a decline in third-quarter net income and expecting about a 20% drop in earnings per share for the fourth quarter. Competitive pressure and very little growth are starting to hurt the industry, which will trickle down to 3D Systems.
GE also abandoned its attempt to buy SLM Solutions, which led to speculation that 3D Systems won't be acquired, either. Investors speculating on a potential buyout sold out of the stock.
Now what
If the 3D printing industry is in for slow growth, or even contraction, it would be bad news for 3D Systems. The company is losing money as it is and needs to have future growth to turn the bottom line around.
Investors might want to be cautious about the future of the 3D industry right now, because if a broad decline is in store, it will hurt everyone. And without profits to fall back on, 3D Systems might be hurt more than most.
10 stocks we like better than 3D Systems
When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.*
David and Tom just revealed what they believe are the ten best stocks for investors to buy right now… and 3D Systems wasn't one of them! That's right -- they think these 10 stocks are even better buys.
Click here to learn about these picks!
*Stock Advisor returns as of November 7, 2016
Travis Hoium has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) fell 22.7% in October, according to data provided by S&P Global Market Intelligence , as bad news roiled the industry. So what Proto Labs was the first to surprise the rapid prototype industry, posting a decline in third-quarter net income and expecting about a 20% drop in earnings per share for the fourth quarter. GE also abandoned its attempt to buy SLM Solutions, which led to speculation that 3D Systems won't be acquired, either.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) fell 22.7% in October, according to data provided by S&P Global Market Intelligence , as bad news roiled the industry. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) fell 22.7% in October, according to data provided by S&P Global Market Intelligence , as bad news roiled the industry. 10 stocks we like better than 3D Systems When investing geniuses David and Tom Gardner have a stock tip, it can pay to listen. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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What happened Shares of 3D Systems Corporation (NYSE: DDD) fell 22.7% in October, according to data provided by S&P Global Market Intelligence , as bad news roiled the industry. Investors might want to be cautious about the future of the 3D industry right now, because if a broad decline is in store, it will hurt everyone. After all, the newsletter they have run for over a decade, Motley Fool Stock Advisor , has tripled the market.
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07d2145d-29cc-4024-b9dc-84e1e457facb
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717142.0
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2016-11-04 00:00:00 UTC
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Healthcare Is Driving Demand at 3D Systems Corp.
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DDD
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https://www.nasdaq.com/articles/healthcare-driving-demand-3d-systems-corp-2016-11-04
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nan
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nan
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Following a steep decline in share prices since 2014, investors are largely ignoring 3D printing stocks, including 3D Systems Corp. (NYSE: DDD) . However, that could be a long-term mistake. While the evolving 3D printing industry is going through growing pains, underlying demand for 3D printing in healthcare remains robust. Can healthcare sales propel 3D Systems stock higher?
Looking ahead
Healthcare's strength is a big reason why 3D Systems grew its year-over-year sales by 3% in the third quarter. Rising healthcare sales and cost-cutting efforts, including a reorganization that focuses the company on lucrative 3D markets such as healthcare, helped 3D Systems deliver non-GAAP EPS of $0.14 in Q3, up from $0.01 last year.
As healthcare sales grow to represent a larger share of 3D Systems' overall revenue, their impact should be even bigger in the future. Industry watchers expect the 3D healthcare market to increase at a compounded annual rate of at least 20% over the next few years, so it appears that healthcare's tailwinds aren't going to be fading soon.
Undeniably, healthcare demand for 3D technology solutions might not grow in a straight line, and slower sales of other products sold by 3D Systems could erase a lot of healthcare's benefit. Nevertheless, healthcare is a bright spot in an otherwise stormy 3D market, which is why rising adoption of 3D products and services makes this company much more intriguing to investors than it might otherwise be.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Todd Campbell has no position in any stocks mentioned.Todd owns E.B. Capital Markets, LLC. E.B. Capital's clients may have positions in the companies mentioned.Like this article? Follow him on Twitter where he goes by the handle @ebcapitalto see more articles like this.
The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Following a steep decline in share prices since 2014, investors are largely ignoring 3D printing stocks, including 3D Systems Corp. (NYSE: DDD) . As healthcare sales grow to represent a larger share of 3D Systems' overall revenue, their impact should be even bigger in the future. Nevertheless, healthcare is a bright spot in an otherwise stormy 3D market, which is why rising adoption of 3D products and services makes this company much more intriguing to investors than it might otherwise be.
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Following a steep decline in share prices since 2014, investors are largely ignoring 3D printing stocks, including 3D Systems Corp. (NYSE: DDD) . The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Following a steep decline in share prices since 2014, investors are largely ignoring 3D printing stocks, including 3D Systems Corp. (NYSE: DDD) . Rising healthcare sales and cost-cutting efforts, including a reorganization that focuses the company on lucrative 3D markets such as healthcare, helped 3D Systems deliver non-GAAP EPS of $0.14 in Q3, up from $0.01 last year. Undeniably, healthcare demand for 3D technology solutions might not grow in a straight line, and slower sales of other products sold by 3D Systems could erase a lot of healthcare's benefit.
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Following a steep decline in share prices since 2014, investors are largely ignoring 3D printing stocks, including 3D Systems Corp. (NYSE: DDD) . Can healthcare sales propel 3D Systems stock higher? Capital's clients may have positions in the companies mentioned.Like this article?
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d167d50e-54e5-456e-aa12-1daab420622f
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717143.0
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2016-11-04 00:00:00 UTC
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3D Systems Becomes Oversold (DDD)
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DDD
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https://www.nasdaq.com/articles/3d-systems-becomes-oversold-ddd-2016-11-04
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nan
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nan
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Legendary investor Warren Buffett advises to be fearful when others are greedy, and be greedy when others are fearful. One way we can try to measure the level of fear in a given stock is through a technical analysis indicator called the Relative Strength Index, or RSI, which measures momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.
In trading on Friday, shares of 3D Systems Corp. (Symbol: DDD) entered into oversold territory, hitting an RSI reading of 29.5, after changing hands as low as $12.34 per share. By comparison, the current RSI reading of the S&P 500 ETF ( SPY ) is 29.7. A bullish investor could look at DDD's 29.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of DDD shares:
Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $12.41.
DDD makes up 2.77% of the SPDR S&P Technology Hardware ETF (Symbol: XTH)
Find out what 9 other oversold stocks you need to know about »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A bullish investor could look at DDD's 29.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of DDD shares: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $12.41. DDD makes up 2.77% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) Find out what 9 other oversold stocks you need to know about » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The chart below shows the one year performance of DDD shares: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $12.41. DDD makes up 2.77% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) Find out what 9 other oversold stocks you need to know about » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In trading on Friday, shares of 3D Systems Corp. (Symbol: DDD) entered into oversold territory, hitting an RSI reading of 29.5, after changing hands as low as $12.34 per share.
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In trading on Friday, shares of 3D Systems Corp. (Symbol: DDD) entered into oversold territory, hitting an RSI reading of 29.5, after changing hands as low as $12.34 per share. The chart below shows the one year performance of DDD shares: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $12.41. DDD makes up 2.77% of the SPDR S&P Technology Hardware ETF (Symbol: XTH) Find out what 9 other oversold stocks you need to know about » The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In trading on Friday, shares of 3D Systems Corp. (Symbol: DDD) entered into oversold territory, hitting an RSI reading of 29.5, after changing hands as low as $12.34 per share. A bullish investor could look at DDD's 29.5 RSI reading today as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side. The chart below shows the one year performance of DDD shares: Looking at the chart above, DDD's low point in its 52 week range is $6.00 per share, with $19.76 as the 52 week high point - that compares with a last trade of $12.41.
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ef0bf8af-8d86-4d8e-8e78-bd74aafdb927
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717144.0
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2016-11-03 00:00:00 UTC
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Why 3D Systems Corporation Stock Popped Today
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-corporation-stock-popped-today-2016-11-03
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nan
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nan
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Image source: 3D Systems Corp.
What happened
Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10.5% early Thursday, and settled to trade up 6% as of 11:00 a.m. EDT after the additive manufacturing specialist released better-than-expected third-quarter 2016 earnings.
So what
Quarterly revenue grew 3.2% year over year, to $156.5 million, driven by a combination of higher sales of 3D printers and materials into production applications, and solid demand for software and healthcare solutions.
Based on generally accepted accounting principles (GAAP), that translated to a net loss of $21.2 million, or $0.19 per share, narrowed from a net loss of $32.2 million, or $0.29 per share in the same year-ago period. On an adjusted (non-GAAP) basis, 3D Systems generated net income of $15.8 million, or $0.14 per share, up from adjusted earnings of $0.01 per share in last year's third quarter.
3D Systems did not provide forward financial guidance along with its second-quarter report in August, namely as the company puts into place what CFO John McMullen described recently as a "very rigorous three-year planning process" to position itself for the transition of the 3D printing industry into a viable mass-manufacturing solution. But for perspective -- and while we don't pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predicted 3D Systems would achieve slightly higher revenue of $160.2 million, but lower adjusted earnings of $0.09 per share.
Now what
3D Systems CEO Vyomesh Joshi contended the aforementioned growth drivers are "indicative of our growth potential and market opportunities," adding, "We believe our synergistic portfolio of technologies, our talent and our 3D printing ecosystem uniquely position us to support complete digital manufacturing workflows to make 3D production real."
3D Systems' slight revenue shortfall (at least relative to analysts' expectations) notwithstanding, this was an encouraging quarter in which the company not only enjoyed strong traction for its products on a broad basis, but also made strides toward its long-term quest to achieve sustained profitability. In the end, it's no surprise to see 3D Systems stock trading higher on Thursday.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Symington has no position in any stocks mentioned. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Image source: 3D Systems Corp. What happened Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10.5% early Thursday, and settled to trade up 6% as of 11:00 a.m. EDT after the additive manufacturing specialist released better-than-expected third-quarter 2016 earnings. 3D Systems did not provide forward financial guidance along with its second-quarter report in August, namely as the company puts into place what CFO John McMullen described recently as a "very rigorous three-year planning process" to position itself for the transition of the 3D printing industry into a viable mass-manufacturing solution. But for perspective -- and while we don't pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predicted 3D Systems would achieve slightly higher revenue of $160.2 million, but lower adjusted earnings of $0.09 per share.
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Image source: 3D Systems Corp. What happened Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10.5% early Thursday, and settled to trade up 6% as of 11:00 a.m. EDT after the additive manufacturing specialist released better-than-expected third-quarter 2016 earnings. On an adjusted (non-GAAP) basis, 3D Systems generated net income of $15.8 million, or $0.14 per share, up from adjusted earnings of $0.01 per share in last year's third quarter. But for perspective -- and while we don't pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predicted 3D Systems would achieve slightly higher revenue of $160.2 million, but lower adjusted earnings of $0.09 per share.
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Image source: 3D Systems Corp. What happened Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10.5% early Thursday, and settled to trade up 6% as of 11:00 a.m. EDT after the additive manufacturing specialist released better-than-expected third-quarter 2016 earnings. On an adjusted (non-GAAP) basis, 3D Systems generated net income of $15.8 million, or $0.14 per share, up from adjusted earnings of $0.01 per share in last year's third quarter. But for perspective -- and while we don't pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predicted 3D Systems would achieve slightly higher revenue of $160.2 million, but lower adjusted earnings of $0.09 per share.
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Image source: 3D Systems Corp. What happened Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10.5% early Thursday, and settled to trade up 6% as of 11:00 a.m. EDT after the additive manufacturing specialist released better-than-expected third-quarter 2016 earnings. On an adjusted (non-GAAP) basis, 3D Systems generated net income of $15.8 million, or $0.14 per share, up from adjusted earnings of $0.01 per share in last year's third quarter. But for perspective -- and while we don't pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predicted 3D Systems would achieve slightly higher revenue of $160.2 million, but lower adjusted earnings of $0.09 per share.
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a50a1a47-34de-4575-b4ed-4114d54550a4
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717145.0
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2016-11-03 00:00:00 UTC
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Noteworthy Thursday Option Activity: BREW, MSCC, DDD
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DDD
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https://www.nasdaq.com/articles/noteworthy-thursday-option-activity-brew-mscc-ddd-2016-11-03
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nan
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nan
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Among the underlying components of the Russell 3000 index, we saw noteworthy options trading volume today in Craft Brew Alliance Inc (Symbol: BREW), where a total of 847 contracts have traded so far, representing approximately 84,700 underlying shares. That amounts to about 49% of BREW's average daily trading volume over the past month of 172,835 shares. Particularly high volume was seen for the $17.50 strike call option expiring February 17, 2017 , with 752 contracts trading so far today, representing approximately 75,200 underlying shares of BREW. Below is a chart showing BREW's trailing twelve month trading history, with the $17.50 strike highlighted in orange:
Microsemi Corp (Symbol: MSCC) options are showing a volume of 5,897 contracts thus far today. That number of contracts represents approximately 589,700 underlying shares, working out to a sizeable 48.9% of MSCC's average daily trading volume over the past month, of 1.2 million shares. Particularly high volume was seen for the $50 strike call option expiring December 16, 2016 , with 1,908 contracts trading so far today, representing approximately 190,800 underlying shares of MSCC. Below is a chart showing MSCC's trailing twelve month trading history, with the $50 strike highlighted in orange:
And 3D Systems Corp. (Symbol: DDD) saw options trading volume of 13,341 contracts, representing approximately 1.3 million underlying shares or approximately 46.2% of DDD's average daily trading volume over the past month, of 2.9 million shares. Particularly high volume was seen for the $13 strike put option expiring November 18, 2016 , with 3,511 contracts trading so far today, representing approximately 351,100 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $13 strike highlighted in orange:
For the various different available expirations for BREW options , MSCC options , or DDD options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Particularly high volume was seen for the $13 strike put option expiring November 18, 2016 , with 3,511 contracts trading so far today, representing approximately 351,100 underlying shares of DDD. Below is a chart showing MSCC's trailing twelve month trading history, with the $50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) saw options trading volume of 13,341 contracts, representing approximately 1.3 million underlying shares or approximately 46.2% of DDD's average daily trading volume over the past month, of 2.9 million shares. Below is a chart showing DDD's trailing twelve month trading history, with the $13 strike highlighted in orange: For the various different available expirations for BREW options , MSCC options , or DDD options , visit StockOptionsChannel.com.
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Below is a chart showing MSCC's trailing twelve month trading history, with the $50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) saw options trading volume of 13,341 contracts, representing approximately 1.3 million underlying shares or approximately 46.2% of DDD's average daily trading volume over the past month, of 2.9 million shares. Below is a chart showing DDD's trailing twelve month trading history, with the $13 strike highlighted in orange: For the various different available expirations for BREW options , MSCC options , or DDD options , visit StockOptionsChannel.com. Particularly high volume was seen for the $13 strike put option expiring November 18, 2016 , with 3,511 contracts trading so far today, representing approximately 351,100 underlying shares of DDD.
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Below is a chart showing MSCC's trailing twelve month trading history, with the $50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) saw options trading volume of 13,341 contracts, representing approximately 1.3 million underlying shares or approximately 46.2% of DDD's average daily trading volume over the past month, of 2.9 million shares. Particularly high volume was seen for the $13 strike put option expiring November 18, 2016 , with 3,511 contracts trading so far today, representing approximately 351,100 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $13 strike highlighted in orange: For the various different available expirations for BREW options , MSCC options , or DDD options , visit StockOptionsChannel.com.
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Below is a chart showing MSCC's trailing twelve month trading history, with the $50 strike highlighted in orange: And 3D Systems Corp. (Symbol: DDD) saw options trading volume of 13,341 contracts, representing approximately 1.3 million underlying shares or approximately 46.2% of DDD's average daily trading volume over the past month, of 2.9 million shares. Particularly high volume was seen for the $13 strike put option expiring November 18, 2016 , with 3,511 contracts trading so far today, representing approximately 351,100 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $13 strike highlighted in orange: For the various different available expirations for BREW options , MSCC options , or DDD options , visit StockOptionsChannel.com.
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ef182df7-7baf-4459-ab15-1d85d8178b30
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717146.0
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2016-11-03 00:00:00 UTC
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3D Systems' (DDD) Q3 Earnings Beat Estimates, Shares Soar
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DDD
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https://www.nasdaq.com/articles/3d-systems-ddd-q3-earnings-beat-estimates-shares-soar-2016-11-03
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nan
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nan
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Continuing its volatile earnings history, 3D Systems CorporationDDD posted another incredible earnings beat in its third-quarter 2016 results. The company reported adjusted earnings (including share-based compensation expense) of 9 cents per share for the quarter, miles ahead of the Zacks Consensus Estimate of breakeven earnings.
Shares climbed nearly 9% in the aftermath of the results, as investors cheered the company's year-over-year earnings growth.
The company posted a GAAP loss of 19 cents per share, much narrower than the loss of 29 cents reported in the year-ago quarter. Decent revenue growth, driven by robust growth in software and healthcare solutions, boosted the company's earnings. Lower administrative expenses further bolstered the bottom line.
Inside the Headlines
The 3D printer maker reported revenues of $156.4 million for the quarter, reflecting year-over-year growth of 3.2%. The top line benefited from robust demand for the company's software and health care solutions, as well as higher 3D printers and materials orders from industrial clients. However, a consistent challenging operating environment and lower demand for 3D printers and on-demand manufacturing restricted top-line growth to some extent.
Revenues missed the Zacks Consensus Estimate of $162 million by a small margin.
Adjusted gross margin for the quarter expanded 40 basis points on a year-over-year basis to 51%, helped by the company's shift from consumer products to materials, software and healthcare solutions, which carry higher margins.
Also, the company's operating expenses plunged drastically (down 13.9%) to $91 million, as SG&A (down 22%) expenses fell significantly on lower amortization and legal expenses. R&D expense (up 16.4%) increased year over year only due to a non-recurring asset write-off charge.
Despite challenging growth conditions, 3D Systems continues to focus on expanding its market share and exploring diverse market opportunities. Its recent partnerships with two major healthcare companies to expand its Simbionix training product line for women will fortify its competitive position in the healthcare market and drive results.
In fact, the quarter saw 3D Systems forge an important partnership with PTC. This alliance will see the two leaders joining forces to integrate 3D Systems' 3D Sprint SDK into PTC's flagship Creo CAD platform. This will, in turn, deliver seamless CAD-to-print functionality to Creo users, in addition to an entire set of print management tools. Further, the leading 3D printing player launched its 3DXpert software for direct metal 3D printing.
During the quarter, 3D Systems released the Geomagic Control X software for 3D inspection and metrology - an easy-to-use solution that meets the measurement analysis requirements of manufacturers globally. The leading 3D printing player also launched its 3DXpert software for direct metal 3D printing. In addition, the company undertook operational restructuring initiatives like improving the sales network as well as undertaking lean manufacturing initiatives in supply-chain operations.
Particularly, precision healthcare offerings like printers and materials, surgical simulation and planning and printing of devices and tools contributed to growth. This apart, the company's other four growth channels, namely expansion of quickparts services, accelerating 3D printer penetration through channel expansion, launch of integrated 3D authoring solutions platform and strengthening of partnerships proved conducive to the company's operations.
3D Systems is committed to channelizing its resources toward more profitable markets. 3D Systems recently announced its decision to cease the production of Cube, the entry-level consumer 3D printer. Although it might hurt revenues in the short term, we believe that it will direct the company's resources toward higher-margin products, and accelerate next-generation capabilities and thus enhance profitability over the long run.
Cash Flow and Balance Sheet
3D Systems ended the quarter with cash and cash equivalents of $179.4 million, up from $157.5 million a year back. For the first nine months of 2016, cash generated from operating activities came in at $38.2 million, as against cash used in operating activities of $10.6 million in the comparable period last year.
3D SYSTEMS CORP Price, Consensus and EPS Surprise
3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote
To Conclude
Over the past few quarters, 3D Systems has been experiencing unfavorable broader market conditions that have badly hit its financial performance. The company has been grappling with strong volatility in macroeconomic factors such as economic slowdown, inflation, currency fluctuations, commodity prices and credit availability. These conditions continue to affect the company's performance.
However, the company is taking initiatives to channelize its resources into more lucrative areas in professional and industrial markets. 3D Systems also conducted numerous successful product launches and strategic deals, which could aid the company to combat these persistent challenges in the near future.
Also, 3D Systems' healthcare business continues to gain traction, driven by rising demand from customers who print medical and dental devices. The company is also focusing on enhancing its existing 3D printers' line, reinforcing partnerships and boosting productivity.
3D Systems presently carries a Zacks Rank #3 (Hold).
Stocks to Consider
Some better-ranked stocks in the sector include Adobe Systems Inc., ADBE , InterDigital, Inc. IDCC and Cisco Systems, Inc. CSCO . All three stocks carry a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Adobe Systems is a leading player in the computer software space. The company has a striking earnings surprise history over the trailing four quarters, having beaten estimates all through, for an average beat of 5.6%.
InterDigital develops and markets advanced digital wireless telecommunications systems, using proprietary technologies for voice and data communications. The company has a good earnings surprise history over the trailing four quarters, beating estimates thrice for an average positive surprise of 30%.
Cisco Systems is the worldwide leader in networking for the Internet, and provides the broadest line of solutions for transporting data, voice and video. The company has beaten estimates consistently each time over the trailing four quarters, with an average positive surprise of 8%.
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CISCO SYSTEMS (CSCO): Free Stock Analysis Report
INTERDIGITL INC (IDCC): Free Stock Analysis Report
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3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Continuing its volatile earnings history, 3D Systems CorporationDDD posted another incredible earnings beat in its third-quarter 2016 results. Click to get this free report CISCO SYSTEMS (CSCO): Free Stock Analysis Report INTERDIGITL INC (IDCC): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. The top line benefited from robust demand for the company's software and health care solutions, as well as higher 3D printers and materials orders from industrial clients.
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Click to get this free report CISCO SYSTEMS (CSCO): Free Stock Analysis Report INTERDIGITL INC (IDCC): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Continuing its volatile earnings history, 3D Systems CorporationDDD posted another incredible earnings beat in its third-quarter 2016 results. Decent revenue growth, driven by robust growth in software and healthcare solutions, boosted the company's earnings.
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Click to get this free report CISCO SYSTEMS (CSCO): Free Stock Analysis Report INTERDIGITL INC (IDCC): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Continuing its volatile earnings history, 3D Systems CorporationDDD posted another incredible earnings beat in its third-quarter 2016 results. This apart, the company's other four growth channels, namely expansion of quickparts services, accelerating 3D printer penetration through channel expansion, launch of integrated 3D authoring solutions platform and strengthening of partnerships proved conducive to the company's operations.
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Continuing its volatile earnings history, 3D Systems CorporationDDD posted another incredible earnings beat in its third-quarter 2016 results. Click to get this free report CISCO SYSTEMS (CSCO): Free Stock Analysis Report INTERDIGITL INC (IDCC): Free Stock Analysis Report ADOBE SYSTEMS (ADBE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. The company reported adjusted earnings (including share-based compensation expense) of 9 cents per share for the quarter, miles ahead of the Zacks Consensus Estimate of breakeven earnings.
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29849977-ff0f-47e3-9930-c62574b2eba9
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717147.0
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2016-11-03 00:00:00 UTC
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3D Systems Takes a Step in the Right Direction
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DDD
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https://www.nasdaq.com/articles/3d-systems-takes-step-right-direction-2016-11-03
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nan
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nan
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Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10% early Thursday, then settled to close up around 3% after the company released solid third-quarter 2016 results. But that's not to say 3D Systems is completely out of the woods yet as it forms its strategy to return to sustained, profitable growth over the long term. Let's have a closer look, then, at what the additive manufacturing specialist had to say.
A 3D clock printed from 3D Systems' ProJet MJP 2500. Image source: 3D Systems Corporation.
3D Systems' headline numbers
Quarterly revenue climbed 3.2% year over year to $156.4 million. Based on generally accepted accounting principles (GAAP), that translated to a net loss of $21.2 million, or $0.19 per share, compared to a wider net loss of $32.2 million, or $0.29 per share, in last year's third quarter.
On an adjusted (non-GAAP) basis, 3D Systems generated net income of $15.8 million, or $0.14 per share, up from adjusted earnings of a penny per share in the same year-ago period.
As I noted in my earnings preview , 3D Systems did not provide specific financial guidance. But for perspective -- and while we don't pay close attention to Wall Street's near-term expectations -- analysts' consensus estimates predicted 3D Systems would turn in lower adjusted earnings of $0.09 per share on higher revenue of $160.2 million.
Digging deeper
Looking more closely at 3D Systems' top line, revenue from the products segment climbed 7.7% year over year to $94.5 million, more than offsetting a 3.1% decline to $61.8 million in revenue from the services segment.
"We believe strong demand for our production printers, materials, and software, as well as healthcare solutions during the quarter, is indicative of our growth potential and market opportunities," added 3D Systems CEO Vyomesh Joshi.
More specifically, on the one hand, overall growth was driven by a 6% increase in healthcare revenue to $42.5 million, a 9% increase in materials sales to $38.1 million, and 11% growth in software revenue to $21.4 million.
On the other hand, on-demand manufacturing revenue fell 16% year over year to $26.5 million, and overall printer revenue declined 6% to $33 million. Even then, however, total printer unit growth was 12%, with strong growth in production unit sales on both a sequential and year-over-year basis. After three straight quarters of printer unit declines leading up to today, this is a welcome step in the right direction.
On cash, liquidity, and looking forward
3D Systems also remains cash flow positive, generating cash flow from operations of $7.2 million during the quarter. The company ended the period with cash of $179.4 million, up sequentially from $176.2 million at the end of Q2. Inventory also declined $9.5 million sequentially to $113.7 million at the end of September. 3D Systems plans to achieve additional reductions through the end of 2016.
During the subsequent conference call, 3D Systems CFO John McMullen once again insisted, "Athough we continue to see opportunities to improve working capital performance and cash flow over the balance of the year and into 2017, I remain comfortable with our cash balance and overall liquidity position."
And though 3D Systems opted not to provide specific financial guidance as per usual, Joshi did remind investors of his prior discussion of the company's general outlook and strategic direction at this year's International Manufacturing Trade Show. In short, 3D Systems believes its full 3D printing ecosystem offers an effective end-to-end solution and represents a crucial source of competitive differentiation. This differentiation should become much more evident as the industry transforms over the next few years from primarily prototyping use cases -- which Joshi noted will "remain a critical application for our technology and an important part of our business" -- to that of actual end-use production using 3D printed technology.
"As we have begun implementing our strategic plans," Joshi stated, "our third-quarter results are reflective of progress toward making 3D production real."
In the end, this appears to mark the beginning of a more tangible turnaround for the additive manufacturing industry. And as 3D Systems positions itself to capitalize on what it believes is an impending ramp in demand for its technology as a viable mass-manufacturing platform, it's no surprise to see investors bidding up 3D Systems stock today.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Symington has no position in any stocks mentioned. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10% early Thursday, then settled to close up around 3% after the company released solid third-quarter 2016 results. But for perspective -- and while we don't pay close attention to Wall Street's near-term expectations -- analysts' consensus estimates predicted 3D Systems would turn in lower adjusted earnings of $0.09 per share on higher revenue of $160.2 million. "We believe strong demand for our production printers, materials, and software, as well as healthcare solutions during the quarter, is indicative of our growth potential and market opportunities," added 3D Systems CEO Vyomesh Joshi.
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Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10% early Thursday, then settled to close up around 3% after the company released solid third-quarter 2016 results. More specifically, on the one hand, overall growth was driven by a 6% increase in healthcare revenue to $42.5 million, a 9% increase in materials sales to $38.1 million, and 11% growth in software revenue to $21.4 million. On the other hand, on-demand manufacturing revenue fell 16% year over year to $26.5 million, and overall printer revenue declined 6% to $33 million.
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Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10% early Thursday, then settled to close up around 3% after the company released solid third-quarter 2016 results. Digging deeper Looking more closely at 3D Systems' top line, revenue from the products segment climbed 7.7% year over year to $94.5 million, more than offsetting a 3.1% decline to $61.8 million in revenue from the services segment. More specifically, on the one hand, overall growth was driven by a 6% increase in healthcare revenue to $42.5 million, a 9% increase in materials sales to $38.1 million, and 11% growth in software revenue to $21.4 million.
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Shares of 3D Systems Corporation (NYSE: DDD) climbed as much as 10% early Thursday, then settled to close up around 3% after the company released solid third-quarter 2016 results. More specifically, on the one hand, overall growth was driven by a 6% increase in healthcare revenue to $42.5 million, a 9% increase in materials sales to $38.1 million, and 11% growth in software revenue to $21.4 million. The company ended the period with cash of $179.4 million, up sequentially from $176.2 million at the end of Q2.
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1eee3eb2-94d5-419c-864e-aaeb9f3b2927
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717148.0
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2016-11-03 00:00:00 UTC
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Earnings Reaction History: 3D Systems Corporation, 66.7% Follow-Through Indicator, 8.1% Sensitive
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DDD
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https://www.nasdaq.com/articles/earnings-reaction-history-3d-systems-corporation-667-follow-through-indicator-81-sensitive
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nan
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nan
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Expected Earnings Release: 11/03/2016, Premarket
Avg. Extended-Hours Dollar Volume: $6,816,416
3D Systems Corporation ( DDD ) is due to issue its quarterly earnings report in the upcoming extended-hours session. Given its history, traders can expect very active trading in the issue immediately following its quarterly earnings announcement. Historical earnings event related premarket and after-hours trading activity in DDD indicates that the price change in the extended hours is likely to be of significant value in forecasting additional price movement by the following regular session close.
Last 12 Qtrs Positive Only Price Reactions
Percent of time added to extended-hours gains: 100%
Average next regular session additional gain: 8.8%
Over the prior three fiscal years (12 quarters), when shares of DDD rose in the extended-hours session in reaction to its earnings announcement, history shows that 100.0% of the time (5 events) the stock posted additional gains in the following regular session by an average of 8.8%.
Last 12 Qtrs Negative Only Price Reactions
Percent of time added to extended-hours losses: 42.9%
Average next regular session additional loss: 3.6%
Over that same historical period, when shares of DDD dropped in the extended-hours in reaction to its earnings announcement, history shows that 42.9% of the time (3 events) the stock dropped further, adding to the extended-hours losses by an average of 3.6% by the following regular session close.
Data provided by the MT Pro service at MTNewswires.com.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 100% Average next regular session additional gain: 8.8% Over the prior three fiscal years (12 quarters), when shares of DDD rose in the extended-hours session in reaction to its earnings announcement, history shows that 100.0% of the time (5 events) the stock posted additional gains in the following regular session by an average of 8.8%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 42.9% Average next regular session additional loss: 3.6% Over that same historical period, when shares of DDD dropped in the extended-hours in reaction to its earnings announcement, history shows that 42.9% of the time (3 events) the stock dropped further, adding to the extended-hours losses by an average of 3.6% by the following regular session close. Extended-Hours Dollar Volume: $6,816,416 3D Systems Corporation ( DDD ) is due to issue its quarterly earnings report in the upcoming extended-hours session.
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Historical earnings event related premarket and after-hours trading activity in DDD indicates that the price change in the extended hours is likely to be of significant value in forecasting additional price movement by the following regular session close. Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 100% Average next regular session additional gain: 8.8% Over the prior three fiscal years (12 quarters), when shares of DDD rose in the extended-hours session in reaction to its earnings announcement, history shows that 100.0% of the time (5 events) the stock posted additional gains in the following regular session by an average of 8.8%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 42.9% Average next regular session additional loss: 3.6% Over that same historical period, when shares of DDD dropped in the extended-hours in reaction to its earnings announcement, history shows that 42.9% of the time (3 events) the stock dropped further, adding to the extended-hours losses by an average of 3.6% by the following regular session close.
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Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 100% Average next regular session additional gain: 8.8% Over the prior three fiscal years (12 quarters), when shares of DDD rose in the extended-hours session in reaction to its earnings announcement, history shows that 100.0% of the time (5 events) the stock posted additional gains in the following regular session by an average of 8.8%. Last 12 Qtrs Negative Only Price Reactions Percent of time added to extended-hours losses: 42.9% Average next regular session additional loss: 3.6% Over that same historical period, when shares of DDD dropped in the extended-hours in reaction to its earnings announcement, history shows that 42.9% of the time (3 events) the stock dropped further, adding to the extended-hours losses by an average of 3.6% by the following regular session close. Extended-Hours Dollar Volume: $6,816,416 3D Systems Corporation ( DDD ) is due to issue its quarterly earnings report in the upcoming extended-hours session.
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Extended-Hours Dollar Volume: $6,816,416 3D Systems Corporation ( DDD ) is due to issue its quarterly earnings report in the upcoming extended-hours session. Historical earnings event related premarket and after-hours trading activity in DDD indicates that the price change in the extended hours is likely to be of significant value in forecasting additional price movement by the following regular session close. Last 12 Qtrs Positive Only Price Reactions Percent of time added to extended-hours gains: 100% Average next regular session additional gain: 8.8% Over the prior three fiscal years (12 quarters), when shares of DDD rose in the extended-hours session in reaction to its earnings announcement, history shows that 100.0% of the time (5 events) the stock posted additional gains in the following regular session by an average of 8.8%.
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67fc1173-9b0a-4b02-b7e8-5be680639ff0
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717149.0
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2016-11-03 00:00:00 UTC
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3D Systems Corporation (DDD) Stock Rockets on Q3 Earnings Beat
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DDD
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https://www.nasdaq.com/articles/3d-systems-corporation-ddd-stock-rockets-q3-earnings-beat-2016-11-03
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nan
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nan
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips
3D Systems Corporation (NYSE: DDD ) stock jumped on Thursday following the release of its earnings report for the third quarter of 2016.
3D Systems Corporation reported earnings per share of 14 cents for the third quarter of 2016. This is an increase over its earnings per share of one penny from the third quarter of 2015. It also came in above the earnings per share of 9 cents that Wall Street was looking for.
Revenue reported by 3D Systems Corporation for the third quarter of 2016 was $156.4 million. Revenue reported by the company during the same time last year was $151.6 million. Analysts were expecting DDD to report revenue of $160.16 million in the third quarter of the year.
3D Systems Corporation notes that revenue for the third quarter of 2016 was up 3% from the third quarter of 2015. It attributes this to an increase in 3D printer and material sales. A high demand for its software also helped its revenue increase during the quarter.
3D Systems Corporation reported that it generated $7.2 million of cash from operations in the third quarter of 2016. By the end of the quarter, the 3D printing company had $179.4 million of cash on hand.
"Our focus is to drive operational excellence and build an appropriate cost structure, which will provide capacity to invest into quality, reliability and innovation," John McMullen, Executive Vice President and CFO of 3D Systems Corporation, said in a statement . "We believe this will position us to drive profitable growth and continued positive cash generation."
DDD stock was up 4% as of Thursday afternoon and 57% year-to-date.
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The post 3D Systems Corporation (DDD) Stock Rockets on Q3 Earnings Beat appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Analysts were expecting DDD to report revenue of $160.16 million in the third quarter of the year. InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock jumped on Thursday following the release of its earnings report for the third quarter of 2016. DDD stock was up 4% as of Thursday afternoon and 57% year-to-date.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock jumped on Thursday following the release of its earnings report for the third quarter of 2016. Analysts were expecting DDD to report revenue of $160.16 million in the third quarter of the year. DDD stock was up 4% as of Thursday afternoon and 57% year-to-date.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock jumped on Thursday following the release of its earnings report for the third quarter of 2016. More From InvestorPlace 7 Fantastic Stocks That No One Talks About 10 Best Stocks to Buy for the Rest of 2016 7 Growth Stocks That Should Replace Apple in Your Portfolio The post 3D Systems Corporation (DDD) Stock Rockets on Q3 Earnings Beat appeared first on InvestorPlace . Analysts were expecting DDD to report revenue of $160.16 million in the third quarter of the year.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) stock jumped on Thursday following the release of its earnings report for the third quarter of 2016. Analysts were expecting DDD to report revenue of $160.16 million in the third quarter of the year. DDD stock was up 4% as of Thursday afternoon and 57% year-to-date.
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f218e628-0766-42fc-be33-c04d5b1afd35
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717150.0
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2016-11-02 00:00:00 UTC
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What to Expect When 3D Systems Reports Earnings
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DDD
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https://www.nasdaq.com/articles/what-expect-when-3d-systems-reports-earnings-2016-11-02
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nan
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A faucet handle printed from 3D Systems' ProJet MJP 2500, IMAGE SOURCE: 3D SYSTEMS
3D Systems Inc. (NYSE: DDD) is set to release third-quarter 2016 results Thursday, Nov. 3. With shares up around 7% over the past three months after last quarter's solid report -- but down sharply after touching a fresh 52-week high last month -- what can we expect to hear from the additive manufacturing specialist this time?
On strategy
For one, this will mark the third report through which we get the hear the perspective of CEO Vyomesh Joshi, who took the helm in April, after former 3D Systems CEO Avi Reichental abruptly resigned .
That's not to say these reports are the only chance investors have had to receive added clarity into their business. As fellow Fool Steve Heller pointed out last month, in September Joshi used this year's International Manufacturing Trade Show to discuss the company's long-term strategy to return to growth and achieve sustained profitability. More specifically, 3D Systems is striving to position itself to take advantage of an impending transformation of the 3-D printing industry, Steve wrote, whereby "it will transition from mostly prototyping uses to a viable manufacturing platform."
In addition, 3D Systems unveiled an updated version of its Figure 4 printing platform, launched its new 3DXpert software to simplify metal additive manufacturing workflows, and announced a new partnership with design software specialist PTC . But investors would be wise to listen closely during this quarter's call for any additional traction, initiatives, partnerships, or products to this end as it works to capitalize on the coming manufacturing-centric 3-D printing boom.
3D Systems' headline numbers
That said, 3D Systems has not provided formal financial guidance as it institutes its strategic plan. Rather, according to new CFO John McMullen -- who took his post this past June:
To be sure, 3D Systems is cash flow-positive, having generated $12 million of cash flow from operations and $9.5 million in free cash flow last quarter alone. It also ended last quarter with cash on hand of $176.2 million. McMullen reiterated during last quarter's call that the company will work "to improve working capital performance and overall cash flow" through the rest of this year and into 2017.
For perspective, while the company remains unprofitable based on generally accepted accounting principles -- and with the caveat that we don't normally pay close attention to Wall Street's near-term demands -- analysts' consensus estimates predict that the company will see revenue climb 5.7% year over year this quarter, to $160.2 million, and translate to adjusted earnings (which excludes items such as stock-based compensation and acquisition expenses) of $0.09 per share.
3D Systems will also break its top line down into sales generated from both products (down 9.3% year over year last quarter, to $94.9 million), and services (down 4.1% last quarter, to $63.2 million). Within that, management will probably provide added color with more specific results for market sub-segments and products, including healthcare revenue (up 11% last quarter, to $38.8 million), on-demand manufacturing services (down 20% last quarter, to $27.1 million), and actual sales of 3-D printers (down 30%, to $32.3 million). And in keeping with 3D Systems' razor-and-blades model, investors should listen for updates on materials revenue, which climbed 12% year over year in Q2, to $40.6 million.
Of course, it remains to be seen whether 3D Systems will live up to the market's expectations, especially given Wall Street's handicap as it lacks formal guidance to sway its modeling. But in the end, arguably most important this quarter will be whether 3D Systems continues to make progress in positioning itself for the ongoing transition of 3-D printing into a driving force in wide-scale manufacturing.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Symington has no position in any stocks mentioned. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A faucet handle printed from 3D Systems' ProJet MJP 2500, IMAGE SOURCE: 3D SYSTEMS 3D Systems Inc. (NYSE: DDD) is set to release third-quarter 2016 results Thursday, Nov. 3. As fellow Fool Steve Heller pointed out last month, in September Joshi used this year's International Manufacturing Trade Show to discuss the company's long-term strategy to return to growth and achieve sustained profitability. More specifically, 3D Systems is striving to position itself to take advantage of an impending transformation of the 3-D printing industry, Steve wrote, whereby "it will transition from mostly prototyping uses to a viable manufacturing platform."
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A faucet handle printed from 3D Systems' ProJet MJP 2500, IMAGE SOURCE: 3D SYSTEMS 3D Systems Inc. (NYSE: DDD) is set to release third-quarter 2016 results Thursday, Nov. 3. But investors would be wise to listen closely during this quarter's call for any additional traction, initiatives, partnerships, or products to this end as it works to capitalize on the coming manufacturing-centric 3-D printing boom. Rather, according to new CFO John McMullen -- who took his post this past June: To be sure, 3D Systems is cash flow-positive, having generated $12 million of cash flow from operations and $9.5 million in free cash flow last quarter alone.
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A faucet handle printed from 3D Systems' ProJet MJP 2500, IMAGE SOURCE: 3D SYSTEMS 3D Systems Inc. (NYSE: DDD) is set to release third-quarter 2016 results Thursday, Nov. 3. Rather, according to new CFO John McMullen -- who took his post this past June: To be sure, 3D Systems is cash flow-positive, having generated $12 million of cash flow from operations and $9.5 million in free cash flow last quarter alone. 3D Systems will also break its top line down into sales generated from both products (down 9.3% year over year last quarter, to $94.9 million), and services (down 4.1% last quarter, to $63.2 million).
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A faucet handle printed from 3D Systems' ProJet MJP 2500, IMAGE SOURCE: 3D SYSTEMS 3D Systems Inc. (NYSE: DDD) is set to release third-quarter 2016 results Thursday, Nov. 3. With shares up around 7% over the past three months after last quarter's solid report -- but down sharply after touching a fresh 52-week high last month -- what can we expect to hear from the additive manufacturing specialist this time? It also ended last quarter with cash on hand of $176.2 million.
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3877dc89-2d63-4e93-8a42-e728eaf28bef
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717151.0
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2016-11-01 00:00:00 UTC
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Commit To Buy 3D Systems At $5, Earn 10.4% Using Options
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DDD
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https://www.nasdaq.com/articles/commit-buy-3d-systems-5-earn-104-using-options-2016-11-01
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nan
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) stock, but cautious about paying the going market price of $13.65/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2019 put at the $5 strike, which has a bid at the time of this writing of 52 cents. Collecting that bid as the premium represents a 10.4% return against the $5 commitment, or a 4.7% annualized rate of return (at Stock Options Channel we call this the YieldBoost ).
Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. And the person on the other side of the contract would only benefit from exercising at the $5 strike if doing so produced a better outcome than selling at the going market price. ( Do options carry counterparty risk? This and six other common options myths debunked ). So unless 3D Systems Corp. sees its shares decline 63.4% and the contract is exercised (resulting in a cost basis of $4.48 per share before broker commissions, subtracting the 52 cents from $5), the only upside to the put seller is from collecting that premium for the 4.7% annualized rate of return.
Below is a chart showing the trailing twelve month trading history for 3D Systems Corp. , and highlighting in green where the $5 strike is located relative to that history:
The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2019 put at the $5 strike for the 4.7% annualized rate of return represents good reward for the risks. We calculate the trailing twelve month volatility for 3D Systems Corp. (considering the last 253 trading day closing values as well as today's price of $13.65) to be 69%. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
In mid-afternoon trading on Tuesday, the put volume among S&P 500 components was 700,237 contracts, with call volume at 790,285, for a put:call ratio of 0.89 so far for the day, which is unusually high compared to the long-term median put:call ratio of .65. In other words, there are lots more put buyers out there in options trading so far today than would normally be seen, as compared to call buyers. Find out which 15 call and put options traders are talking about today .
Top YieldBoost Puts of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) stock, but cautious about paying the going market price of $13.65/share, might benefit from considering selling puts among the alternative strategies at their disposal. Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) stock, but cautious about paying the going market price of $13.65/share, might benefit from considering selling puts among the alternative strategies at their disposal. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) stock, but cautious about paying the going market price of $13.65/share, might benefit from considering selling puts among the alternative strategies at their disposal. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) stock, but cautious about paying the going market price of $13.65/share, might benefit from considering selling puts among the alternative strategies at their disposal. Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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de324eaf-b0de-4162-8be2-38985c693660
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717152.0
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2016-11-01 00:00:00 UTC
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Can 3D Systems (DDD) Spring an Earnings Surprise in Q3?
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DDD
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https://www.nasdaq.com/articles/can-3d-systems-ddd-spring-an-earnings-surprise-in-q3-2016-11-01
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nan
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nan
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3D Systems CorporationDDD is slated to report third-quarter 2016 results,before the opening bell on Nov 3.
3D Systems has an extremely volatile earnings history, oscillating between incredible beats and abysmal misses over the trailing four quarters. Last quarter, it had posted an incredible beat of 600%, which followed an abysmal negative earnings surprise of 400%.
Let's see how things are shaping up for this announcement.
Factors to Consider
3D Systems' broad portfolio of healthcare offerings is likely to turn out to be one of the strongest profit churners in the upcoming quarterly results. Leveraging on its core competence in expanding healthcare solutions is one of the company's five-pronged core growth strategies.
During second-quarter 2016, revenue from healthcare and related applications increased 11% year over year, driven by the company's extensive offerings, as well as expansion by clients who print medical and dental devices. During the quarter, it expanded its Virtual Surgical Planning Reconstruction product line with the launch of "Jaw in a Day" service.
Particularly, precision healthcare offerings like printers and materials, surgical simulation and planning and printing of devices and tools contributed to growth. This apart, the company's other four growth channels, namely expansion of quickparts services, accelerating 3D printer penetration through channel expansion, launch of integrated 3D authoring solutions platform and strengthening of partnerships are expected to prove conducive to growth in the soon-to-be-reported quarter.
In fact, the quarter saw 3D Systems forge an important partnership with PTC. This alliance will see the two leaders joining forces to integrate 3D Systems' 3D Sprint SDK into PTC's flagship Creo CAD platform. This will, in turn, deliver seamless CAD-to-print functionality to Creo users, in addition to an entire set of print management tools. Further, the leading 3D printing player launched its 3DXpert software for direct metal 3D printing.
During the quarter, 3D Systems released the Geomagic Control X software for 3D inspection and metrology - an easy-to-use solution that meets the measurement analysis requirements of manufacturers globally. The leading 3D printing player also launched its 3DXpert software for direct metal 3D printing. In addition, the company's operational restructuring initiatives like improving the sales network as well as undertaking lean manufacturing initiatives in supply-chain operations are likely to drive results.
Over the past few quarters, the company has been witnessing particularly unfavorable broader market conditions that have hit its financial performance severely. It has been grappling with macroeconomic headwinds such as economic slowdown, inflation, currency fluctuations, commodity prices and credit availability. Further, sustained softness in prototyping, stiff competition and general macro headwinds which are affecting the sector, will likely also hurt 3D Systems' results.
In the previous quarter, revenues from 3D printing products and services were significantly undermined due to continued challenging market conditions that hampered customers' capital investment cycles and reduced demand across all geographies.
Also, cutthroat competition in the industry, along with factors like escalating research & development and selling & administrative expenses are likely to impair the financials to some extent. However, the company's restructuring initiatives might curtail costs and provide a much needed boost to profits.
3D SYSTEMS CORP Price, Consensus and EPS Surprise
3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote
Earnings Whispers
Our proven model does not conclusively show that 3D Systems will beat earnings estimates in this quarter. This is because a stock needs to have both a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), #2 (Buy) or #3 (Hold) for this to happen. But that is not the case here as you will see below.
Zacks ESP: Earnings ESP for the company is currently pegged at 0.00%. This is because both the Most Accurate estimate and the Zacks Consensus Estimate are at a break-even level.
Zacks Rank: 3D Systems' Zacks Rank #3 increases the predictive power of ESP. However, we need to have a positive ESP as well to be confident about an earnings beat.
Note that we caution against stocks with Zacks Rank #4 or #5 (Sell-rated stocks) going into the earnings announcement, especially when the company is seeing negative estimate revisions.
Stocks That Warrant a Look
Here are some companies that you may want to consider, as our model shows that these have the right combination of elements to post an earnings beat this quarter:
Avon Products Inc. AVP , slated to release earnings results on Nov 3, has an Earnings ESP of +33.33% and a Zacks Rank #1. You can see the complete list of today's Zacks #1 Rank stocks here.
Ball Corporation BLL , scheduled to release results on Nov 3, has an Earnings ESP of +5.44% and a Zacks Rank #2.
Enbridge Inc. ENB has an Earnings ESP of +27.59% and boasts a Zacks Rank #1. The company will report results on Nov 3.
Confidential from Zacks
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BALL CORP (BLL): Free Stock Analysis Report
AVON PRODS INC (AVP): Free Stock Analysis Report
ENBRIDGE INC (ENB): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems CorporationDDD is slated to report third-quarter 2016 results,before the opening bell on Nov 3. Click to get this free report BALL CORP (BLL): Free Stock Analysis Report AVON PRODS INC (AVP): Free Stock Analysis Report ENBRIDGE INC (ENB): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. During the quarter, 3D Systems released the Geomagic Control X software for 3D inspection and metrology - an easy-to-use solution that meets the measurement analysis requirements of manufacturers globally.
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Click to get this free report BALL CORP (BLL): Free Stock Analysis Report AVON PRODS INC (AVP): Free Stock Analysis Report ENBRIDGE INC (ENB): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD is slated to report third-quarter 2016 results,before the opening bell on Nov 3. 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote Earnings Whispers Our proven model does not conclusively show that 3D Systems will beat earnings estimates in this quarter.
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Click to get this free report BALL CORP (BLL): Free Stock Analysis Report AVON PRODS INC (AVP): Free Stock Analysis Report ENBRIDGE INC (ENB): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems CorporationDDD is slated to report third-quarter 2016 results,before the opening bell on Nov 3. 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote Earnings Whispers Our proven model does not conclusively show that 3D Systems will beat earnings estimates in this quarter.
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3D Systems CorporationDDD is slated to report third-quarter 2016 results,before the opening bell on Nov 3. Click to get this free report BALL CORP (BLL): Free Stock Analysis Report AVON PRODS INC (AVP): Free Stock Analysis Report ENBRIDGE INC (ENB): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Particularly, precision healthcare offerings like printers and materials, surgical simulation and planning and printing of devices and tools contributed to growth.
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fb21198d-22f4-4f97-8722-b736c74ca0ae
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717153.0
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2016-10-20 00:00:00 UTC
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How Proto Labs Overcame the Fall of 3D-Printing Stocks
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DDD
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https://www.nasdaq.com/articles/how-proto-labs-overcame-fall-3d-printing-stocks-2016-10-20
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nan
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nan
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The last three years has been rough for the 3D-printing industry. Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) have all fallen far in the last three years. The industry didn't grow as planned, so all three are still losing money right now. But one company, ProtoLabs (NYSE: PRLB), has been spared the worst of the pain and is actually profitable. Understanding why is a good lesson for investors.
PRLB data by YCharts .
The equipment battle that never was
When 3D printers burst on the public scene a few years ago, they were touted as a way to revolutionize manufacturing. Any part could be printed in a short amount of time, making custom manufacturing a relatively easy task, something many thought a lot of companies would take advantage of.
Never mind that 3D printing wasn't new at all and had been around for decades. Investors saw that 3D printers were becoming smaller and materials were getting better, so the possibilities were endless. Eventually, 3D printing moved from specialized labs and manufacturing shops to desktops as 3D Systems, ExOne, and Stratasys all made products that could be put on a desk in the home. The technology was becoming ubiquitous, but for one small problem.
The missing link was that relatively few people knew how to design parts on computer-aided drafting programs, making the home market extremely difficult to break. And mass manufacturers have little incentive to put the engineering time and money into building custom parts for most products. 3D printing was ready to take off, but no one was there to pilot the plane.
Why Proto Labs is different
What made Proto Labs different is that it wasn't reliant on customers buying equipment and then refilling material over and over again. The equipment business can be fickle with competitors coming out with new products and consumer demand still an unknown.
Proto Labs took a different approach, serving the engineers who design parts that 3D printers make. But there's more flexibility with Proto Labs than a single 3D printer, offering more materials and even short production runs. In my personal experience as an engineer who printed hundreds of 3D parts, the end goal was always a production run. So it was valuable to have the path to production in mind.
Serving customers that already had the CAD training necessary to utilize 3D printing and rapid prototyping has been a key for Proto Labs. That eased a major pain point 3D printing companies felt and created a better value case for customers.
Will the run continue?
3D printing is still a really big deal in the product design world, it just didn't become as ubiquitous as 3D printer companies hoped it would be a few years ago. But Proto Labs has been able to carve out a niche, serving customers who need a quick turnaround and high-quality products for prototyping or small production runs. And it doesn't have to train customers on how to use its software.
That's a big advantage to have in the market and makes Proto Labs the kind of company that's built to last. The 3D printing revolution may not have worked out as some companies planned, but Proto Labs is taking advantage of the market's needs in a big way.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Travis Hoium has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) have all fallen far in the last three years. Any part could be printed in a short amount of time, making custom manufacturing a relatively easy task, something many thought a lot of companies would take advantage of. Eventually, 3D printing moved from specialized labs and manufacturing shops to desktops as 3D Systems, ExOne, and Stratasys all made products that could be put on a desk in the home.
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Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) have all fallen far in the last three years. Proto Labs took a different approach, serving the engineers who design parts that 3D printers make. The Motley Fool recommends 3D Systems and Stratasys.
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Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) have all fallen far in the last three years. Why Proto Labs is different What made Proto Labs different is that it wasn't reliant on customers buying equipment and then refilling material over and over again. 3D printing is still a really big deal in the product design world, it just didn't become as ubiquitous as 3D printer companies hoped it would be a few years ago.
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Stratasys (NASDAQ: SSYS) , 3D Systems (NYSE: DDD) , and ExOne (NASDAQ: XONE) have all fallen far in the last three years. Why Proto Labs is different What made Proto Labs different is that it wasn't reliant on customers buying equipment and then refilling material over and over again. Proto Labs took a different approach, serving the engineers who design parts that 3D printers make.
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e17a4b78-9101-4821-a2f3-d494be758540
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717154.0
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2016-10-14 00:00:00 UTC
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Stratasys, 3D Systems Plot Turnaround As 3D Printer Field Grows
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DDD
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https://www.nasdaq.com/articles/stratasys-3d-systems-plot-turnaround-3d-printer-field-grows-2016-10-14
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nan
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nan
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Three dimensional printers - devices that manufacture computer-designed items from powdered plastics, ceramics, metal, sugar and other raw materials - are once again drawing investor attention.
The technologies stirred an investor and media frenzy in the three years through 2014. At that time, 3D printers were just taking hold in consumer markets and developing critical mass in some commercial and industrial settings. Big names, including General Electric ( GE ) and Boeing ( BA ), had begun to embrace the tools.
But market leaders 3D Systems ( DDD ) and Stratasys ( SSYS ) ran into operational challenges as the real-world demand failed to live up to the initial hype of a 3D print revolution. 3D Systems exited the consumer printer market in late 2015. Stratasys was committed to the consumer angle after spending $400 million to acquire New York-based MakerBot , producer of a leading consumer 3D printer brand, in August 2013.
After a long slump, 3D Systems posted its first earnings advance in six quarters in the second quarter. Analysts are projecting another EPS jump for 3D Systems in the current quarter, and for Stratasys to post its first EPS gain in eight quarters. Both companies are forecast to see triple-digit advances, as well as their first rise in revenue since last year's second quarter.
The forecasts are part of a complicated picture, one that includes incoming competition from the likes of HP ( HPQ ) and General Electric while demand outlooks remain uncertain. But the industry is in the midst of a gradual transition from use in low-volume prototyping to more high-volume production applications. That transition, and the still-smoldering enthusiasm for the innovative new technologies have investors asking whether the worst may be over for the two market leaders.
Stock Charts: Big Gains, Indecisive Patterns
The stocks for both 3D Systems and Stratasys are up sharply from first-quarter lows. Despite losing nearly 19% for the week, 3D Systems is up 138% from a late January low, though it's losing sight of a potential buy point in a cup-with-handle base . Stratasys is up 43.5%, but trading well below an April high and struggling to break beyond its converged 10- and 40-week moving averages.
IBD'S TAKE:A first step for CAN SLIM investors is to understand the difference between technical and fundamental analysis, both of which are critical to successful stock picking.
Both stocks still sit more than 80% below their highs marked early in 2014, and the industry group lagged on Friday at a No. 126 ranking among the 197 industry groups tracked by IBD . The steep declines were the result of what analysts describe as a market getting ahead of itself.
Both Stratasys and 3D Systems began posting quarterly earnings declines in Q4 2013. Sales declines for both companies began in Q3 2014. A turnaround in financial performance would be welcome, though much of the recovery is due to operational changes at the companies and not everyone is convinced a rebound is about to take place.
A note released Thursday by Piper Jaffray analysts Troy Jensen and Austin Bohlig reported third quarter demand for both Stratasys and 3D Systems printers had improved slightly from Q2 levels, but remained weak. Only 13% of the 3D printer resellers surveyed by Jensen and Bohlig reported better-than-expected sales. Some 50% said sales were below expectations.
"The fact that 3D Systems and Stratasys will see year over year revenue growth (in Q3), if they do, is more a function of the incredibly easy comparisons from a year ago," Jensen said. "It's pretty challenging out there."
Competition From Alpha Predators
HP and General Electric are stepping up their game in the 3D printer field, which is drawing a rising level of activity from a range of companies. According to Wohlers Associates, which provides technical, market and strategic analysis, there are about 62 manufacturers that make industrial-grade 3D printers (at price points above $5,000) -- up from 49 in 2014, and double the number of competitors in 2011.
Other publicly-traded 3D printing names include Pennsylvania-based ExOne (XONE) and Germany's Voxeljet (VJET). Voxeljet launched on the U.S. market in 2013. Its October initial offering set a record as the top performing initial public offering that year. On its first day of trading, shares soared 122% to close at 28.80. The stock peaked a month later at 70. It now trades near 17.
HP made its long-awaited entry into the 3D printer market five months ago, with partners that include Nike (NKE), Autodesk (ADSK), Proto Lab s (PRLB) and BMW. HP announced two industrial 3D printers, with plans to begin shipping product later this year.
General Electric, which had already invested about $1.5 billion since 2010 in what it calls additive manufacturing technology, announced in September it would pay $1.4 billion to acquire European 3D printing companies Arcam, of Sweden, and SLM Solutions Group, of Germany.
GE expects revenue in the category to reach $1 billion in sales by 2020. In July, GE Aviation introduced into airline service its first jet-engine component -- a complex fuel nozzle -- for its next-generation jet engine.
"As we develop more productive machines, we can build additive manufacturing as a service for our customers," said David Joyce, CEO of GE Aviation, in a statement when the acquisitions were announced on Sept. 6
Shakeups, Turnarounds And Uncertainty
Sales of 3D printers and services is expected to rebound to $6.66 billion this year, according to Wohlers, up 31% from a total of $5.1 billion in 2015. Overall sales and services slumped from 31.5% growth in 2014 to 26% last year.
Wohlers' president Terry Wohlers said the 2015 slowdown may have been due to anticipation of HP's entry to the market, with some buyers postponing purchases while they waited for HP to ship its 3D printers.
"The amount of interest and activity in additive manufacturing has never been stronger," Wohlers said.
3D Systems, in an effort to turn the company around, in April named a new CEO , Vyomesh Joshi, who had been executive vice president of the imaging and printing business of HP Inc. ( HPQ ) -- formerly Hewlett-Packard before its split. Two months later 3D Systems announced the departure of its chief operating officer and its chief marketing officer.
In a related shakeup, Stratasys announced the retirement of its CEO David Reis, in June. Reis held that position for seven years. The new CEO is Ilan Levin, who is a member of the board and executive committee of Stratasys.
FBR analyst Christopher Van Horn, in a recent research report said the turnover at 3D Systems comes as the company has entered into a strategic review of every facet of its business, including its selling and product strategies.
"That review remains underway, so there is no way to know yet what the elements of the restructuring will be," Van Horn wrote. "Once those details are known, to the extent its restructuring is not extensive enough and/or is poorly executed, it could adversely affect 3D Systems' strategic and financial health."
He has a sector perform rating on 3D Systems and price target of 18.
Regarding Stratasys, Van Horn said the company, in addition to being the largest 3D printer maker, is also highly specialized, "which should keep accelerating competition at bay." He has an outperform rating on Stratasys and price target of 29.
Van Horn said he sees additive manufacturing entering a long-term upswing. "Total industry revenue could see 20% to 30% annual growth through 2020 as more end markets enter the mix," he wrote.
He gives ExOne an outperform rating and price target of 18.
"We believe that ExOne has a high-risk, high-reward profile in the additive manufacturing space," Van Horn wrote. "There is an opportunity for outsized returns, but there is also risk associated with the company's highly specialized business model."
RELATED:
GE, BMW Join Google VC Arm In Funding 3D Printing Startup
General Electric Or HP Takeover Of 3D Systems Seen Unlikely
3D Systems, Stratasys Plot Earnings Turns, Build Bases
3D Systems Earnings Show Ongoing Struggle In 3D Printer Market
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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But market leaders 3D Systems ( DDD ) and Stratasys ( SSYS ) ran into operational challenges as the real-world demand failed to live up to the initial hype of a 3D print revolution. A note released Thursday by Piper Jaffray analysts Troy Jensen and Austin Bohlig reported third quarter demand for both Stratasys and 3D Systems printers had improved slightly from Q2 levels, but remained weak. 3D Systems, in an effort to turn the company around, in April named a new CEO , Vyomesh Joshi, who had been executive vice president of the imaging and printing business of HP Inc. ( HPQ ) -- formerly Hewlett-Packard before its split.
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But market leaders 3D Systems ( DDD ) and Stratasys ( SSYS ) ran into operational challenges as the real-world demand failed to live up to the initial hype of a 3D print revolution. Both Stratasys and 3D Systems began posting quarterly earnings declines in Q4 2013. "As we develop more productive machines, we can build additive manufacturing as a service for our customers," said David Joyce, CEO of GE Aviation, in a statement when the acquisitions were announced on Sept. 6 Shakeups, Turnarounds And Uncertainty Sales of 3D printers and services is expected to rebound to $6.66 billion this year, according to Wohlers, up 31% from a total of $5.1 billion in 2015.
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But market leaders 3D Systems ( DDD ) and Stratasys ( SSYS ) ran into operational challenges as the real-world demand failed to live up to the initial hype of a 3D print revolution. "The fact that 3D Systems and Stratasys will see year over year revenue growth (in Q3), if they do, is more a function of the incredibly easy comparisons from a year ago," Jensen said. "As we develop more productive machines, we can build additive manufacturing as a service for our customers," said David Joyce, CEO of GE Aviation, in a statement when the acquisitions were announced on Sept. 6 Shakeups, Turnarounds And Uncertainty Sales of 3D printers and services is expected to rebound to $6.66 billion this year, according to Wohlers, up 31% from a total of $5.1 billion in 2015.
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But market leaders 3D Systems ( DDD ) and Stratasys ( SSYS ) ran into operational challenges as the real-world demand failed to live up to the initial hype of a 3D print revolution. Other publicly-traded 3D printing names include Pennsylvania-based ExOne (XONE) and Germany's Voxeljet (VJET). "As we develop more productive machines, we can build additive manufacturing as a service for our customers," said David Joyce, CEO of GE Aviation, in a statement when the acquisitions were announced on Sept. 6 Shakeups, Turnarounds And Uncertainty Sales of 3D printers and services is expected to rebound to $6.66 billion this year, according to Wohlers, up 31% from a total of $5.1 billion in 2015.
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31f52523-b271-4d82-bd21-8586e79c34b4
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717155.0
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2016-10-14 00:00:00 UTC
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HP Inc Falls on Soft FY17 Earnings View & New Job Cut Plan
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DDD
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https://www.nasdaq.com/articles/hp-inc-falls-on-soft-fy17-earnings-view-new-job-cut-plan-2016-10-14
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nan
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nan
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Shares of HP Inc.HPQ were down 1.3% during yesterday's extended trading hours, following the company's release of its non-GAAP earnings outlook for fiscal 2017, which was lower than the Zacks Consensus Estimate. In addition, the announcement of a second round of job cuts this year, in an effort to reduce costs amid declining demand for PC and printers, did not go well with investors.
Fiscal 2017 Outlook
Yesterday, at its Analyst Meeting in New York, the company revealed that it expects to generate earnings per share in the range of $1.55 to $1.65 (midpoint: $1.60). At its midpoint, however, the guidance fell short of the Zacks Consensus Estimate of $1.61 by a penny.
On a GAAP basis, HP Inc. projects earnings to range between $1.47 and $1.57 per share (mid-point $1.52). During the fiscal year, the company expects to generate operating cash flow in the range of $2.8 billion to $3.1 billion.
It projects capital expenditure of $0.5 billion. Free cash flow is anticipated to be between $2.3 billion and $2.6 billion.
Keeping up with its strategy of boosting shareholder wealth, the company announced that it is planning to distribute 50% to 70% of its available fiscal 2017 free cash flow in the form of dividend and share repurchases.
HP Inc. further revealed its plan of increasing the annual dividend by 7% to 13 cents per share in the next fiscal year. It also announced an additional share repurchase program worth $3 billion, although a time limit for completing the same has not been set.
Headcount Reduction
In addition to revising its fiscal 2017 outlook, HP Inc. revealed that it is planning to trim its employee count by 3,000 to 4,000 across different levels over the next three years, that is, from fiscal 2017 through fiscal 2019. This announcement is likely part of HP Inc.'s ongoing restructuring plan.
It should be noted that the new job cut is in addition to the company's planned job cut of 3,000 employees by the end of fiscal 2016, which was announced this February. Currently, HP Inc. has approximately 50,000 employees.
HP Inc. expects the recently announced job cut to generate annualized cost savings of approximately $200 million to $300 million from fiscal 2020 onward. The company anticipates incurring one-time charges in the range of $350 million to $500 million associated with the job cut.
HP INC Price
HP INC Price | HP INC Quote
Restructuring Initiative
Since its split from Hewlett-Packard Company last November, HP Inc. has been trying to stabilize declining sales and eroding profits through a series of restructuring initiatives. The company has been witnessing a secular decline in demand for PC and printers due to the ongoing shift toward tablets and smartphones - a space where it is yet to gain foothold.
As part of its restructuring initiatives, the company has divested its content management software tools and Customer Communications Management (CCM) assets to Open Text Corporation, a move which will facilitate business realignment and allow it to focus on the PC and printing businesses. Apart from this, it will also facilitate cost reduction and enhanced productivity, thereby helping the company boost profitability.
Furthermore, post the split, HP Inc. has been focused on product innovation and differentiation to maintain its leading position in the space. Keeping with this, during third-quarter fiscal 2016, the company launched EliteBook Folio, the world's thinnest and lightest business class notebook.
Meanwhile, the company is also undertaking pricing actions, and marketing and sales activities in a bid to drive demand, thus giving some price stability to the market. Moreover, HP Inc. is trying to shift its product mix to the high end and move away from the low- and negative-margin businesses.
The impact of these efforts was reflected clearly in the company's last earnings release, wherein the Personal Systems segment witnessed stabilization to a certain extent, and even recorded a slight year-over-year improvement after several quarters.
The company's efforts to revamp the printing business have also been commendable. Note that HP Inc. has recently signed a deal to acquire Samsung Electronics' printer business for a purchase price of $1.05 billion.
The acquisition is a strategic fit for HP as it will be able to expand the company's printing business with the addition of 6,500-plus printing patents owned by Samsung. The move will offer support to the development and manufacturing of HP printers, going forward.
In addition, the company is now focusing on enhancing its 3D printing business capabilities in an effort to revive tumbling sales. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS .
Thus, in order to fortify its presence in the market, HP recently unveiled its Jet Fusion 3D Printing Solution, with two models to choose from - 4200 and 3200. Unlike 3D Systems and Stratasys, which target all kinds of consumers, HP Inc. is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions.
To satisfy customers in this space, HP Inc. inked collaborations with the likes of BMW, Nike NKE and Autodesk in order to develop more advanced 3D printing technologies for diverse industrial uses.
Bottom Line
HP Inc.'s efforts to turn around the business have been commendable. The company has adopted a strategy of focusing on product innovations and differentiation as well as on enhancing the printing business' capabilities, which will help stabilize the top line. On the other hand, its headcount reduction and focusing on high-end product mix initiatives will drive its bottom-line results in the long run.
The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NIKE INC-B (NKE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Keeping up with its strategy of boosting shareholder wealth, the company announced that it is planning to distribute 50% to 70% of its available fiscal 2017 free cash flow in the form of dividend and share repurchases.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NIKE INC-B (NKE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . During the fiscal year, the company expects to generate operating cash flow in the range of $2.8 billion to $3.1 billion.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NIKE INC-B (NKE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Shares of HP Inc.HPQ were down 1.3% during yesterday's extended trading hours, following the company's release of its non-GAAP earnings outlook for fiscal 2017, which was lower than the Zacks Consensus Estimate.
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Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report NIKE INC-B (NKE): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. During the fiscal year, the company expects to generate operating cash flow in the range of $2.8 billion to $3.1 billion.
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717156.0
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2016-10-14 00:00:00 UTC
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Stock Exchange: Charts For WB, DDD, DXCM And APD Deserve A Look
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DDD
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https://www.nasdaq.com/articles/stock-exchange-charts-wb-ddd-dxcm-and-apd-deserve-look-2016-10-14
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nan
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By Jeff Miller :
Each week Felix and Oscar host a poker game. We listen in on current trading ideas in the few minutes before the game starts. They like to call this their "Stock Exchange." I am the only human present, and the only one using fundamental analysis. Their methods are excellent, as you will learn if you join us for a few weeks. Since the time frames and risk profiles differ, so do the stock ideas.
Do the markets predict future events? Or should you use fundamentals to predict the markets?
That is an ongoing debate at the Stock Exchange.
This Week's Ideas
Our technical experts have some very aggressive ideas this week.
Felix
I look for long-term themes, and I have a great one this week. This week I am revisiting technology, specifically Weibo Corp. ( WB ). There are not too many social media platforms that are available for trading, but this is one that is (we hear) popular in China. It sounds pretty interesting and maybe (if not, already) will show up here soon.
Just look at the chart. What a strong momentum play!!
Our question for this week's post is from Sedona7 of SeekingAlpha, as follows:
I really appreciate your work Jeff (and group).
Felix (and Jeff), I am wrestling with my current position in Bristol-Myers Squibb ( BMY ) ... should I stay or should I go?
Felix responds:
BMY is on my sell list (a negative rating). There are many better choices.
[Jeff] The 20 multiple is pretty rich for the stodgy recent growth rate. 3% dividend is OK. If the expected earnings growth for 2016-17 comes through, it is probably fairly valued. I agree with Felix that there are better choices.
[Felix] Please keep your questions coming. I could use the overtime pay!
Oscar
It seems like every week that we have some crashing, dynamic stock that we can liken to a pinch hitter or an offensive lineman. My choice for this week is a change of pace. Take a look at the moving averages on 3D Systems ( DDD ) below. This reminds me of the long, smooth strokes you see from the US Olympic Rowing team. Sure, it may not be as exciting as the MLB Division series - but it sure is pretty. Here we've got steady, sustainable growth from a major name in the broader sector of 3D printing. What's not to like? The chart is very encouraging. Breakout coming?
[Jeff]
[Oscar] I am good at speculating.
Holmes
I am the rebounding specialist. Here is a "fetching" opportunity, DexCom ( DXCM ) hit an all-time high around $97 in September of 2015; sold off to a low of 53 before rebounding back to $95; this most recent selloff gives us a nice technical entry into this name looking for a run back to $95, with a stop around the 200d MA ($75.17).
[Jeff]
[Holmes] What's a multiple?
[Jeff] It stands for "not meaningful." You see it when a stock has no earnings. It is important for determining value.
[Holmes] I get paid nicely for stock rebounds whether there are earnings or not. The chart tells the story.
Athena
I have a very interesting choice this week, Air Products and Chemicals ( APD ).
[Jeff] That has a familiar sound. Didn't we just discuss that pick?
[Holmes] Yes! It was my choice last week. She is copying. I was stopped out with a small loss.
[Jeff] I did not care for it last week, and I still don't. The price is a bit lower, but not low enough for me.
[Athena] I need not copy from humans and dogs. The Holmes rebound play did not work. APD fits my style just fine. My average holding period is about four months. We can revisit this after some time. Here is the updated chart.
(click to enlarge)
Questions
If you want an opinion about a specific stock or sector, even those we did not mention, just ask! Put questions in the comments. Address them to a specific expert if you wish. Each has a specialty. Who is your favorite? (You are allowed to choose me, although my feelings will not be hurt very much if you prefer one of the models).
Cast of Characters
Felix is fussy, precise, and very cautious. He looks for what is working, but it also must have upside potential. He is an investor who thinks long term. Felix will not usually announce new picks, but he will answer questions, saying what he thinks about specific stocks. He will also comment on favorite themes and sectors.
Oscar is naturally optimistic and a bit excitable. He definitely likes to go with winners, and focuses on a one-month time frame. He trades either sector ETFs, or a basket of stocks (equally weighted) that reflect a sector. Oscar will mention a favorite sector each week, and will also answer questions about sectors.
Holmes is a trader, but a cautious one. Holmes emphasizes asset protection through profit taking, stops, and trailing stops. He is careful in selecting new positions, and generally looks at an intermediate time frame. While he does not know the definition of "mean reversion," he loves rebounds! There is no set holding period, but two or three months is not unusual. Holmes will tell us one stock recommended that week. For those who sign up for his email list (no charge, privacy respected, holmes at newarc dot com) he will report exits with a one-day delay.
Athena trades more frequently than the others, but still limits risk. Her inspiration helps to find good ideas. Her excellent quant skills find attractive risk/reward opportunities. Her wisdom leads her to exit trades that are not working. Athena will provide a new idea each week.
Jeff usually has some comments about stock or market fundamentals. Unlike the other witty participants, he sounds like an old prof.
An Important Note to Readers - from Jeff
All of the characters (except me!) are models, carefully engineered and tested by one of the leading developers of the last thirty years. I humanize them to make it easier to understand the characteristics in their design. I always remind readers that my posts are informational, not investment advice, and that is especially true here. While we are trading based upon all four models, we are always watching and can act quickly when necessary. The models are not suitable for all investors. If you like the approach, reach out to us (info at newarc dot com) and we will provide more information.
The conversation is light-hearted, but the stock analysis is serious. We own positions in each of the stocks mentioned.
Finding great stock picks need not be boring. Please enjoy the banter and join in.
See also Altria: The Good Old Days Are Back on seekingalpha.com
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Take a look at the moving averages on 3D Systems ( DDD ) below. Oscar It seems like every week that we have some crashing, dynamic stock that we can liken to a pinch hitter or an offensive lineman. For those who sign up for his email list (no charge, privacy respected, holmes at newarc dot com) he will report exits with a one-day delay.
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Take a look at the moving averages on 3D Systems ( DDD ) below. Oscar will mention a favorite sector each week, and will also answer questions about sectors. Finding great stock picks need not be boring.
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Take a look at the moving averages on 3D Systems ( DDD ) below. This Week's Ideas Our technical experts have some very aggressive ideas this week. Oscar will mention a favorite sector each week, and will also answer questions about sectors.
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Take a look at the moving averages on 3D Systems ( DDD ) below. Oscar will mention a favorite sector each week, and will also answer questions about sectors. Holmes will tell us one stock recommended that week.
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40575b4f-a6e7-4fea-b703-d021ea1ecffc
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717157.0
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2016-10-04 00:00:00 UTC
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Buy 3D Systems, ExOne, or Stratasys Stock? 1 Analyst Makes the Call
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DDD
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https://www.nasdaq.com/articles/buy-3d-systems-exone-or-stratasys-stock-1-analyst-makes-call-2016-10-04
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nan
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nan
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It's been a rough five years for investors in the 3D printing industry, who watched in amazement as shares of industry leaders like 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and ExOne (NASDAQ: XONE) soared early in the decade, only to turn tail and head for the basement in 2015.
Like so many other investors in red-hot tech sectors, we've seen our shares boom and bust -- and can only hope that they will survive to boom again. And at long last, the protracted slump of the 3D printing industry may finally be coming to an end, at least for a couple of the key players.
Yesterday, analysts at FBR Capital announced they will begin covering shares of 3D Systems, Stratasys, and ExOne. Two of these stocks they like. One of them, they don't. Here's what you need to know about that.
SSYS data by YCharts .
1. Stratasys is still "the largest additive manufacturing company"
Viewed as a whole, FBR sees "additive manufacturing entering a long-term upswing" as an industry, with "total industry revenues" likely to grow 20% to 30% annually "through 2020."
Image source: Stratasys.
As explained in a write-up on StreetInsider.com , FBR believes "more end markets" are expanding their use of 3D printing (which is also commonly known as additive manufacturing), accelerating the growth contributed by industries in which 3D has already become prevalent. At the same time, the analyst believes that Stratasys' specialization in the field of manufacturing high-end commercial and professional 3D printers will help to stave off competition as new companies enter the field, and as they attempt to compete with it.
As "the largest additive manufacturing company on a volume basis," FBR sees Stratasys as the company to beat -- and rates in an outperform with a $29 price target.
2. "Outsized returns" from ExOne?
If Stratasys stock is the safest and most obvious choice for investing in the 3D printing phenomenon, FBR views ExOne stock as the "high-risk, high-reward" candidate. Even more "highly specialized" in the niche field of "binder-jetting," FBR believes that ExOne's business model could produce "outsized returns" due to the "fairly high" profit margins in its chosen field of business.
That's where the rewards may come from -- but now let's consider the risks. According to FBR, ExOne only has enough money to remain on "solid ground" financially for about two more years. ( S&P Global Market Intelligence data show ExOne has $32 million in the bank, offset by $2 million in debt -- and is burning cash at the rate of just over $5 million a year -- so apparently, FBR believes ExOne needs to keep about $20 million in cash free and on hand to run its business.)
Now admittedly, $5 million in annual cash burn is not a good thing. But as of last year, ExOne was burning through cash at three times that rate -- more than $15 million. So at the very least, the company has done a good job of reducing its cash-burn rate. As FBR sees it, if revenue increases over the next couple of years, there's still a chance for the stock to outperform. FBR's best guess is that ExOne stock is worth about four times the sales it's expected to make in 2017, resulting in an estimated valuation of $18 per share -- and an outperform rating from FBR.
3. 3D Systems is not like the others
Which brings us to 3D Systems stock. Although as "the additive manufacturing sector's second-largest player, and with exposure to diverse technologies within the sector," you might expect 3D Systems to be FBR's second-favorite stock, or even its first. In fact, it's the only one of these three 3D printing stocks to not win an endorsement from the analyst.
Why not? Well, for one thing, FBR says that "from a valuation perspective, we traditionally have seen SSYS shares trade fairly in line with 3D Systems shares; however, we believe current levels offer an attractive discount" -- on Stratasys shares, not 3D's.
Additionally, FBR worries that 3D Systems' broader efforts in the 3D space, because they are less focused, may leave the company vulnerable to competition on multiple fronts -- a sort of death-by-a-thousand-cuts scenario. "Smaller competitors across the additive spectrum" pose the risk of nibbling away at multiple 3D Systems revenue streams, whereas Stratasys and ExOne have the advantage of being able to focus their efforts on keeping competitors at bay on just a handful of fronts.
Rounding out FBR's worries, 3D management is "highly cautious about providing any financial guidance." While some investors might view this as a positive -- management declining to overpromise and risk underdelivering -- FBR sees the lack of guidance as a negative, in that it gives the analyst fewer numbers on which to base a great thumping recommendation of the stock. For this reason, FBR rates 3D only market perform, and assigns the stock a price target only pennies above where it trades today: $18.
Final thoughts: Which of these three would you invest in?
Is FBR right to shy away from 3D Systems at the same time as it endorses by Stratasys and ExOne? Well, 3D's price-to-sales ratio of 3.1 certainly makes it look riskier than Stratasys stock, which costs just 1.8 times sales. On the other hand, ExOne, which also wins FBR's endorsement, sells for the princely valuation of 5.5 times sales.
On the other, other hand, while none of these three stocks is currently earning money from a GAAP perspective, 3D Systems is currently the only one of the three producing positive free cash flow from its business -- $16.5 million over the past year.
Mind you, I can't say that the resulting 122-times-free-cash-flow valuation on 3D Systems stock excites me, exactly. But the simple fact that 3D Systems is the only company out of this list of three that is generating cash, rather than burning it, makes FBR's decision to drop 3D Systems at the bottom of its list look pretty curious, indeed.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Fool contributorRich Smith does not own shares of, nor is he short, any company named above. You can find him onMotley Fool CAPS, publicly pontificating under the handleTMFDitty, where he currently ranks No. 282 out of more than 75,000 rated members.
The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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It's been a rough five years for investors in the 3D printing industry, who watched in amazement as shares of industry leaders like 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and ExOne (NASDAQ: XONE) soared early in the decade, only to turn tail and head for the basement in 2015. As explained in a write-up on StreetInsider.com , FBR believes "more end markets" are expanding their use of 3D printing (which is also commonly known as additive manufacturing), accelerating the growth contributed by industries in which 3D has already become prevalent. Additionally, FBR worries that 3D Systems' broader efforts in the 3D space, because they are less focused, may leave the company vulnerable to competition on multiple fronts -- a sort of death-by-a-thousand-cuts scenario.
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It's been a rough five years for investors in the 3D printing industry, who watched in amazement as shares of industry leaders like 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and ExOne (NASDAQ: XONE) soared early in the decade, only to turn tail and head for the basement in 2015. Stratasys is still "the largest additive manufacturing company" Viewed as a whole, FBR sees "additive manufacturing entering a long-term upswing" as an industry, with "total industry revenues" likely to grow 20% to 30% annually "through 2020." Even more "highly specialized" in the niche field of "binder-jetting," FBR believes that ExOne's business model could produce "outsized returns" due to the "fairly high" profit margins in its chosen field of business.
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It's been a rough five years for investors in the 3D printing industry, who watched in amazement as shares of industry leaders like 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and ExOne (NASDAQ: XONE) soared early in the decade, only to turn tail and head for the basement in 2015. If Stratasys stock is the safest and most obvious choice for investing in the 3D printing phenomenon, FBR views ExOne stock as the "high-risk, high-reward" candidate. ( S&P Global Market Intelligence data show ExOne has $32 million in the bank, offset by $2 million in debt -- and is burning cash at the rate of just over $5 million a year -- so apparently, FBR believes ExOne needs to keep about $20 million in cash free and on hand to run its business.)
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It's been a rough five years for investors in the 3D printing industry, who watched in amazement as shares of industry leaders like 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and ExOne (NASDAQ: XONE) soared early in the decade, only to turn tail and head for the basement in 2015. Two of these stocks they like. As "the largest additive manufacturing company on a volume basis," FBR sees Stratasys as the company to beat -- and rates in an outperform with a $29 price target.
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0ba10a49-b78c-492a-aede-ed7a407bc55f
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717158.0
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2016-10-04 00:00:00 UTC
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HP Inc, Hewlett Packard Enterprise Co Split is Working for Investors (HPQ, HPE)
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DDD
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https://www.nasdaq.com/articles/hp-inc-hewlett-packard-enterprise-co-split-is-working-for-investors-hpq-hpe-2016-10-04
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips
The controversial split-up of the former Hewlett Packard Co. into two new entities - HP Inc (NYSE: HPQ ) and Hewlett Packard Enterprise Co (NYSE: HPE ) is working wonders for investors.
Since the split became official last October, stock in the enterprise unit headed by former HP CEO Meg Whitman is up 36%, and it is delivering a small dividend as well.
As Max Bialystock might say, "Where did she go right?"
HPE Righting the Ship
The story at Hewlett Packard Enterprise so far is less about growth than a return to profitability.
The quarter ending in January showed net income of just $267 million on revenue of $12.724 billion, but the most recent quarter, ending in July, delivered net income $2.272 billion, $1.32/share, on revenue of $12.210 billion.
10 Biotech Stocks to Put on Your Radar This Quarter
Operating cash flow is on the right track, coming in at $2.469 billion during the July quarter, and the balance sheet now shows less than one-quarter of assets burdened by debt, mostly of the cheap long-term variety, with $10.7 billion in cash to fund new investment.
The old HP was known as a cloud hardware failure, but Whitman has turned into a cloud software player, with a Flexible Capacity model for the Microsoft Corporation (NASDAQ: MSFT ) Azure cloud that allows seamless integration of Azure's public cloud and a company's cloud-based data center, with a single pay-as-you-go bill for both the on-premises HP hardware and Azure.
Where the old HP had trouble competing, Whitman has created partners. It dropped software assets into Micro Focus International plc , a British company, taking 50.1% of the equity and $2.5 billion in cash . It did a similar deal with its enterprise services division, merging it with Computer Science Corporation (NYSE: CSC ) in a transaction worth $8.5 billion.
What's left is a smaller, but more focused company, one that can turn a profit and have a big place in the niches where it does participate.
HPQ: 3D Printing Gives It a Future
HP Inc. was supposed to be the "old tech" company, but its MultiJet Fusion 3D printer , first announced in 2014 and finally delivered this year, gives it a future.
Previous printers were slow, mostly dripping plastic onto small build planes. They were useful for prototypes and specialty products like false teeth or knees that needed precise manufacture rather than speed. By delivering its material as a powder, just like an ink-jet printer, HP hopes to deliver faster results and bigger products, as well as use many different materials with multiple colors.
There is new excitement in the field, with rivals 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. (NASDAQ: SSYS ) finally headed in a positive direction as well, after years spent dealing with fall-out from an ill-fated move into consumer products.
Meanwhile, the company is looking to squeeze maximum profits from its existing PC and printer lines. Net income is up nearly 40% since the December quarter, rising from a pre-tax $699 million to July's $1.081 billion, meaning the twice-year dividend of 25 cents is highly affordable.
The company did get its hand caught in the cookie jar recently, with a software update blocking use of third-party print ink cartridges which it is trying to defend but has somewhat reversed after criticism from digital rights activists .
Seadrill Ltd (SDRL) Could Get a $1.2 Billion Lifeline
The PC division has given up its number-one market share ranking to China's Lenovo , with even Dell overtaking it in the U.S. , but the new products are getting good reviews and the company seems dedicated to more profitable, high-quality work.
Time to Buy?
Whenever a stock gets a run-up like these two have, it's tempting to say the company is overvalued and you should avoid it. But how do you call a 8.2 price-to-earnings multiple, which is what HPQ now has, overvalued? You don't. Even HPE is still priced at a P/E under 10.
No, you have time to buy both these stocks. I have been a long-time skeptic about Meg Whitman and her vaunted, long-promised HP turnaround. But this is looking real.
Dana Blankenhorn is a financial journalist who dabbles in fiction, his latest being The Reluctant Detective Travels in Time . Write him at danablankenhorn@gmail.com or follow him on Twitter at @danablankenhorn . As of this writing he owned no shares in companies mentioned in this story.
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The post HP Inc, Hewlett Packard Enterprise Co Split is Working for Investors (HPQ, HPE) appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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There is new excitement in the field, with rivals 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. (NASDAQ: SSYS ) finally headed in a positive direction as well, after years spent dealing with fall-out from an ill-fated move into consumer products. The company did get its hand caught in the cookie jar recently, with a software update blocking use of third-party print ink cartridges which it is trying to defend but has somewhat reversed after criticism from digital rights activists . Seadrill Ltd (SDRL) Could Get a $1.2 Billion Lifeline The PC division has given up its number-one market share ranking to China's Lenovo , with even Dell overtaking it in the U.S. , but the new products are getting good reviews and the company seems dedicated to more profitable, high-quality work.
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There is new excitement in the field, with rivals 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. (NASDAQ: SSYS ) finally headed in a positive direction as well, after years spent dealing with fall-out from an ill-fated move into consumer products. InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips The controversial split-up of the former Hewlett Packard Co. into two new entities - HP Inc (NYSE: HPQ ) and Hewlett Packard Enterprise Co (NYSE: HPE ) is working wonders for investors. The quarter ending in January showed net income of just $267 million on revenue of $12.724 billion, but the most recent quarter, ending in July, delivered net income $2.272 billion, $1.32/share, on revenue of $12.210 billion.
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There is new excitement in the field, with rivals 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. (NASDAQ: SSYS ) finally headed in a positive direction as well, after years spent dealing with fall-out from an ill-fated move into consumer products. InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips The controversial split-up of the former Hewlett Packard Co. into two new entities - HP Inc (NYSE: HPQ ) and Hewlett Packard Enterprise Co (NYSE: HPE ) is working wonders for investors. The old HP was known as a cloud hardware failure, but Whitman has turned into a cloud software player, with a Flexible Capacity model for the Microsoft Corporation (NASDAQ: MSFT ) Azure cloud that allows seamless integration of Azure's public cloud and a company's cloud-based data center, with a single pay-as-you-go bill for both the on-premises HP hardware and Azure.
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There is new excitement in the field, with rivals 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. (NASDAQ: SSYS ) finally headed in a positive direction as well, after years spent dealing with fall-out from an ill-fated move into consumer products. HPE Righting the Ship The story at Hewlett Packard Enterprise so far is less about growth than a return to profitability. No, you have time to buy both these stocks.
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b6fb05db-24e4-425a-a147-144944970e64
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717159.0
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2016-10-03 00:00:00 UTC
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HP (HPQ) Apologizes for Blocking Third-Party Ink Cartridges
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https://www.nasdaq.com/articles/hp-hpq-apologizes-for-blocking-third-party-ink-cartridges-2016-10-03
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HP Inc.HPQ apologized last week for a software update that restricts owners of certain models of printers from using third-party ink cartridge by the world's largest printer manufacturer. The company's apology came after a group of consumers and the Electronic Frontier Foundation (EFF) blamed it for interfering too much on the consumers' right to choose ink suppliers.
Source of Dissent
The matter came into limelight after users of HP Inc.'s OfficeJet, OfficeJet Pro, and OfficeJet Pro X printer models updated the software, prompted by the company, in early September. After the upgrade, they found that their printers are not supporting ink cartridges of companies other than that of HP Inc.
Notably, HP Inc. installs a security chip in its ink cartridges which is recognized by its printers. Earlier, if customers used any other third-party ink cartridge, the company's printers would display a notification but not block them. However, with the latest software update, the printers directly restrict the use of third-party ink cartridges.
The restriction did not go down well with some of its consumers who along with EFF complained that the move is against the tech user's rights. Therefore, HP Inc. has now announced that it will come with another software update soon, which will have the option of reversing the technical difficulty.
Safeguarding Ink Cartridge Business
It should be noted that the company's ink cartridges are much more expensive than those of its competitors or local manufacturers. Due to this, several users of HP Inc.'s printers use third-party ink cartridges.
Therefore, we believe that HP Inc.'s recent controversial software update was an effort toward safeguarding its ink cartridge business, which happens to be one of its most profitable ventures.
Although, the company has apologized for the software update, it has justified the same by saying that the use of third-party ink cartridges is an infringement of its patented technology. HP Inc. has further stated that it will continue to use "authentication measures" to protect its patented services.
Bottom Line
Over the past few months, HP Inc. has been putting a lot of efforts toward turning around its printer business. The company is looking at every aspect of growth including product innovation and differentiation, and acquisition or expansion of 3D printing capabilities.
HP INC Price
HP INC Price | HP INC Quote
In the product innovation and differentiation space, last month HP Inc. launched a smart pocket-sized printer for smartphones and tablets called Sprocket, which is much cheaper than Instax Share SP-2 by Fujifilm, a similar product.
Around the same time, the company entered into an agreement to acquire Samsung's printer business, which is expected to help HP Inc. in further expanding its market share.
Furthermore, the company is focusing on enhancing its 3D printing business capabilities. Note that, even though HP has been operating in this space for almost five years now, the company lags behind 3D Systems Corporation DDD and Stratasys Ltd SSYS .
Thus, in order to strengthen its presence in this space, HP Inc. has collaborated with various companies like BMW, Nike Inc. and Autodesk Inc. with an aim to develop more advanced 3D printing technologies for a wide array of industrial use.
Although, HP Inc.'s efforts to revive its printing business have been commendable, we opine that the company's recent controversial move may lead to loss of customer faith. If the company continues to restrict customers from using its competitors' ink cartridges, they may be discouraged to buy its printers and instead opt for its rival's products, which have no such restrictions.
Currently, HP Inc. carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
A better-ranked stock worth considering in the broader technology sector is Ambarella Inc. AMBA , sporting a Zacks Rank #1. The stock has witnessed upward estimate revisions in the last 30 days and has a long term EPS growth rate of 14.8%.
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HP INC (HPQ): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
AMBARELLA INC (AMBA): Free Stock Analysis Report
To read this article on Zacks.com click here.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Note that, even though HP has been operating in this space for almost five years now, the company lags behind 3D Systems Corporation DDD and Stratasys Ltd SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report AMBARELLA INC (AMBA): Free Stock Analysis Report To read this article on Zacks.com click here. Around the same time, the company entered into an agreement to acquire Samsung's printer business, which is expected to help HP Inc. in further expanding its market share.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report AMBARELLA INC (AMBA): Free Stock Analysis Report To read this article on Zacks.com click here. Note that, even though HP has been operating in this space for almost five years now, the company lags behind 3D Systems Corporation DDD and Stratasys Ltd SSYS . Source of Dissent The matter came into limelight after users of HP Inc.'s OfficeJet, OfficeJet Pro, and OfficeJet Pro X printer models updated the software, prompted by the company, in early September.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report AMBARELLA INC (AMBA): Free Stock Analysis Report To read this article on Zacks.com click here. Note that, even though HP has been operating in this space for almost five years now, the company lags behind 3D Systems Corporation DDD and Stratasys Ltd SSYS . HP Inc.HPQ apologized last week for a software update that restricts owners of certain models of printers from using third-party ink cartridge by the world's largest printer manufacturer.
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Note that, even though HP has been operating in this space for almost five years now, the company lags behind 3D Systems Corporation DDD and Stratasys Ltd SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report AMBARELLA INC (AMBA): Free Stock Analysis Report To read this article on Zacks.com click here. However, with the latest software update, the printers directly restrict the use of third-party ink cartridges.
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043856a9-6bb3-4dbb-abcd-cb121e9a90a0
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717160.0
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2016-10-01 00:00:00 UTC
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Why 3D Systems' Big Strategy Reveal Fell Short
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DDD
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https://www.nasdaq.com/articles/why-3d-systems-big-strategy-reveal-fell-short-2016-10-01
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Image source: 3D Systems.
A few weeks ago, 3D Systems (NYSE: DDD) hosted an event at the International Manufacturing Trade Show (ITMS) in Chicago, outlining its future strategy and solutions to drive long-term profitable growth. It marked a pivotal moment for the company's new CEO, Vyomesh Joshi, who was appointed in April after the company's former CEO abruptly departed . The reveal gave investors a better sense of Joshi's management style and vision.
But while there were notable takeaways from the event, there weren't many groundbreaking developments. Most of what 3D Systems revealed was already known to investors.
Rehashing the present
Joshi spent a considerable amount of time talking about the 3D printing industry's current transformation and 3D Systems' positioning. According to Joshi, the 3D printing industry is undergoing a massive transformation, and over the next three years, it will transition from mostly prototyping uses to a viable manufacturing platform.
For 3D printing companies, this transition represents a tremendous opportunity because users who increase the utilization of their machines to accommodate larger volumes of parts consume more materials, and this stream of recurring revenue tends to command a higher profit margin than 3D printing hardware.
Prior to ITMS, 3D Systems began emphasizing three of its 3D printing technologies -- stereolithography, direct metal printing, and selective laser sintering -- to meet users' manufacturing needs. Additionally, 3D Systems previously announced its plans to build out a suite of end-to-end solutions -- from conceptualization to final product -- that cater to industry-specific use cases, much in the same way it's done for healthcare -- a notable bright spot amid 3D Systems' recent earnings struggles. Its focus will be on automotive, aerospace, defense, and durable goods industries.
New developments
3D Systems demonstrated its Figure 4 printing platform earlier this year, a repackaged version of its stereolithography technology geared toward higher-volume manufacturing, competing directly with injection molding manufacturing. Thanks to automation, a modular structure, and deep integration into a manufacturing line, 3D Systems claims Figure 4 is up to 50 times faster than conventional stereolithography systems, capable of producing millions of parts per year.
Video source: 3D Systems.
At ITMS, 3D Systems showcased an updated version of Figure 4, which featured automated inspection technologies to monitor print jobs in real time and provide instant feedback.
On the software front, 3D Systems made two major announcements: the launch of 3DXpert and a partnership with PTC , a design software company. As an all-in-one solution, 3DXpert simplifies and streamlines the metal 3D printing process, while the PTC partnership more deeply integrates 3D Systems' ecosystem into the software maker's design products.
Putting it all together
After ITMS, 3D Systems' plan is the same: to own the entire digital workflow that surrounds 3D printing. This entails building out end-to-end solutions for specific use cases, taking on a more consultative approach with customers, and becoming an authority on 3D printing for direct manufacturing. While the company's presentation at ITMS may have fallen short of groundbreaking new developments, the company improved its messaging around how it's equipped for what it believes is a coming boom.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A few weeks ago, 3D Systems (NYSE: DDD) hosted an event at the International Manufacturing Trade Show (ITMS) in Chicago, outlining its future strategy and solutions to drive long-term profitable growth. At ITMS, 3D Systems showcased an updated version of Figure 4, which featured automated inspection technologies to monitor print jobs in real time and provide instant feedback. As an all-in-one solution, 3DXpert simplifies and streamlines the metal 3D printing process, while the PTC partnership more deeply integrates 3D Systems' ecosystem into the software maker's design products.
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A few weeks ago, 3D Systems (NYSE: DDD) hosted an event at the International Manufacturing Trade Show (ITMS) in Chicago, outlining its future strategy and solutions to drive long-term profitable growth. Prior to ITMS, 3D Systems began emphasizing three of its 3D printing technologies -- stereolithography, direct metal printing, and selective laser sintering -- to meet users' manufacturing needs. New developments 3D Systems demonstrated its Figure 4 printing platform earlier this year, a repackaged version of its stereolithography technology geared toward higher-volume manufacturing, competing directly with injection molding manufacturing.
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A few weeks ago, 3D Systems (NYSE: DDD) hosted an event at the International Manufacturing Trade Show (ITMS) in Chicago, outlining its future strategy and solutions to drive long-term profitable growth. Prior to ITMS, 3D Systems began emphasizing three of its 3D printing technologies -- stereolithography, direct metal printing, and selective laser sintering -- to meet users' manufacturing needs. New developments 3D Systems demonstrated its Figure 4 printing platform earlier this year, a repackaged version of its stereolithography technology geared toward higher-volume manufacturing, competing directly with injection molding manufacturing.
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A few weeks ago, 3D Systems (NYSE: DDD) hosted an event at the International Manufacturing Trade Show (ITMS) in Chicago, outlining its future strategy and solutions to drive long-term profitable growth. Most of what 3D Systems revealed was already known to investors. New developments 3D Systems demonstrated its Figure 4 printing platform earlier this year, a repackaged version of its stereolithography technology geared toward higher-volume manufacturing, competing directly with injection molding manufacturing.
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35ec6fea-f36c-4c4f-a903-87af35d02b82
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717161.0
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2016-09-29 00:00:00 UTC
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A Breakout Looms for Stratasys, Ltd. (SSYS)
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DDD
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https://www.nasdaq.com/articles/a-breakout-looms-for-stratasys-ltd.-ssys-2016-09-29
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InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips
Left-for-dead 3D printing stocks are starting to percolate, and traders are taking note. Once upon a time top companies like 3D Systems Corporation (NASDAQ: DDD ) and Stratasys, Ltd. (NASDAQ: SSYS ) were all the rage.
The upside acceleration was glorious, the profits bountiful. Since the worm turned in early 2014, however, 3D printing stocks have been jettisoned from portfolios relentlessly.
While the good old days may remain a thing of the past, recent price action looks promising … finally. Perhaps the bulk of dejected shareholders have finally vacated the premises. Couple that with increased activity from bottom fishers, and the odds of a bona fide uptrend for the industry emerging remain high.
DDD stock has already completed its upside reversal, providing a road map for SSYS stock to follow. Stratasys has been quietly coiling for six months now. The range has been narrow, particularly compared to how much the stock usually jumps around. Remember, stock volatility moves in cycles.
5 Stocks to Sell for October
Volatility compressions (the likes of which SSYS has seen) inevitably give way to some type of volatility expansion. A breakout, in other words.
Source: OptionsAnalytix
And if its peer, DDD, is any indication, an upside breakout for SSYS seems likely. I particularly like the volume patterns of late. Accumulation days are multiplying while distribution days are largely absent.
The SSYS Trade
A breach of the $24 zone is as good a trigger as any for bullish Stratasys trades. Implied volatility remains subdued suggesting long option plays are the way to go. Let's keep this one simple.
Facebook Inc: Facebook at Work Is Great for FB, Bad for Work
Buy the Nov $22.50 call option for $2.45. The long call provides unlimited reward for the next two months should SSYS really get uppity. The max risk is capped at the initial $2.45 and will be forfeited if the stock sits below $22.50 at expiration.
Traders looking to further reduce the loss could exit if the stock breaches the 50-day moving average currently perched at $21.50.
At the time of this writing Tyler Craig had no positions in any of the aforementioned securities.
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The post A Breakout Looms for Stratasys, Ltd. (SSYS) appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Once upon a time top companies like 3D Systems Corporation (NASDAQ: DDD ) and Stratasys, Ltd. (NASDAQ: SSYS ) were all the rage. DDD stock has already completed its upside reversal, providing a road map for SSYS stock to follow. Source: OptionsAnalytix And if its peer, DDD, is any indication, an upside breakout for SSYS seems likely.
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Once upon a time top companies like 3D Systems Corporation (NASDAQ: DDD ) and Stratasys, Ltd. (NASDAQ: SSYS ) were all the rage. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. DDD stock has already completed its upside reversal, providing a road map for SSYS stock to follow.
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DDD stock has already completed its upside reversal, providing a road map for SSYS stock to follow. Once upon a time top companies like 3D Systems Corporation (NASDAQ: DDD ) and Stratasys, Ltd. (NASDAQ: SSYS ) were all the rage. Source: OptionsAnalytix And if its peer, DDD, is any indication, an upside breakout for SSYS seems likely.
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Source: OptionsAnalytix And if its peer, DDD, is any indication, an upside breakout for SSYS seems likely. Once upon a time top companies like 3D Systems Corporation (NASDAQ: DDD ) and Stratasys, Ltd. (NASDAQ: SSYS ) were all the rage. DDD stock has already completed its upside reversal, providing a road map for SSYS stock to follow.
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1cca1ff9-4aa1-4b50-9d01-a21f5397a30d
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717162.0
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2016-09-28 00:00:00 UTC
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FactSet (FDS) Q4 Earnings & Revenues Miss, Outlook Weak
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DDD
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https://www.nasdaq.com/articles/factset-fds-q4-earnings-revenues-miss-outlook-weak-2016-09-28
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nan
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Shares of FactSet Research Systems Inc.FDS went down more than 11% yesterday, after the company posted lower-than-expected fourth-quarter of fiscal 2016 results. Also, a tepid guidance negatively impacted the share price.
The company reported adjusted earnings per share of $1.69, which lagged the Zacks Consensus Estimate of $1.70 per share. However, reported earnings improved on a year-over-year basis.
On a GAAP basis, the company reported earnings per share of $3.55 compared with $1.48 in the year-ago quarter.
Quarter Details
FactSet's revenues of $287.3 million increased 9.7% from the year-ago quarter but missed the Zacks Consensus Estimate of $291 million. Moreover, reported revenues also lagged the guided range of $292 million to $298 million.
FactSet witnessed better-than-expected growth across products and geographic regions, which aided quarterly revenues. Also, synergies from the Portware acquisition contributed to revenue growth.
During the quarter, FactSet's revenues from the U.S. grew 7.4% year over year to $190.4 million, while non-U.S. revenues went up to $96.9 million. Excluding the impact of foreign currency and acquired revenues from Portware and Market Metrics business, international revenues rose 11.7% on a year-over-year basis.
The company's Annual Subscription Value (ASV) increased 8.8% to $1.15 billion as of Aug 31, 2016. Of this, nearly 82.6% was generated by buy-side clients while the rest came from sell-side firms performing functions like mergers & acquisition, advisory work and equity research.
FactSet added 17 clients in the reported quarter, taking the tally to 3,092. The company retained 95% of its clients. The retention percentage was more than 94% of ASV.
Coming to the operational metrics, FactSet reported a 13.3% rise in total operating expenses, primarily due to an increase in cost of services (up 15.4% on a year-over-year basis). As a percentage of revenues, operating expenses increased 218 basis points (bps) to 69.5%.
FactSet's adjusted operating income increased 6.2% from the year-ago quarter to $96.1 million. However, operating margin contracted 110 bps year over year to 33.5%, mainly due to higher operating expenses as a percentage of revenues.
Adjusted net income during the quarter was $68.6 million, which improved from $63.2 million reported in the year-ago quarter.
FactSet exited the quarter with $228.4 million in cash and cash equivalents, compared with $187.4 million in the previous quarter. Long-term debt during the quarter amounted to $300 million.
Cash flow from operations during the 12 months ended Aug 31, 2016 was $331.1 million. The company generated free cash flow of $57 million during the reported quarter. FactSet purchased approximately 258K shares for $42.8 million. During the quarter, the company paid a quarterly dividend of 50 cents per share.
Guidance
For fiscal first quarter of 2017, FactSet expects revenues in the range of $286 million to $292 million (mid-point $289 million). The Zacks Consensus Estimate is pegged at $291 million.
Adjusted operating margin is expected between 32.5% and 33.5%. Adjusted earnings per share are projected in the band of $1.68 to $1.72 (mid-point $1.70). The Zacks Consensus Estimate stands at $1.72. The annual effective tax rate is expected within 28% to 29%.
FACTSET RESH Price, Consensus and EPS Surprise
FACTSET RESH Price, Consensus and EPS Surprise | FACTSET RESH Quote
Our Take
FactSet reported dismal fourth-quarter fiscal 2016 results. FactSet also issued a not-so-encouraging guidance for the current quarter. Nonetheless, year-over-year comparisons were favourable on both the counts. Moreover, the company has a high client retention ratio, which is a positive. Also, ASV increased year over year and the company added a good number of clients.
The share repurchase program is expected to support earnings in the long run apart from boosting shareholders' value.
The company continues with product innovation across its segments with special emphasis on financial services to gain more customers. Moreover, the company's acquisitions of Portware, Revere Data, Matrix Data and Code Red will enhance its product suite and help it to evolve as a global financial database company. It will also help FactSet to maximize value for its partners and provide exclusive content set.
Nonetheless, competition from Bloomberg L.P., Dow Jones & Company Inc., MSCI Inc. MSCI and Thomson Reuters, which are also introducing substitute products at competitive prices, is a headwind.
FactSet carries a Zacks Rank #4 (Sell).
A couple of better-ranked stocks are 3D Systems Corporation DDD and Intel Corporation INTC , both sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here .
Intel and 3D Systems have a long-term expected earnings per share growth rate of 7.79% and 24.28%, respectively.
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FACTSET RESH (FDS): Free Stock Analysis Report
MSCI INC-A (MSCI): Free Stock Analysis Report
INTEL CORP (INTC): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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A couple of better-ranked stocks are 3D Systems Corporation DDD and Intel Corporation INTC , both sporting a Zacks Rank #1 (Strong Buy). Click to get this free report FACTSET RESH (FDS): Free Stock Analysis Report MSCI INC-A (MSCI): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Shares of FactSet Research Systems Inc.FDS went down more than 11% yesterday, after the company posted lower-than-expected fourth-quarter of fiscal 2016 results.
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Click to get this free report FACTSET RESH (FDS): Free Stock Analysis Report MSCI INC-A (MSCI): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. A couple of better-ranked stocks are 3D Systems Corporation DDD and Intel Corporation INTC , both sporting a Zacks Rank #1 (Strong Buy). Guidance For fiscal first quarter of 2017, FactSet expects revenues in the range of $286 million to $292 million (mid-point $289 million).
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Click to get this free report FACTSET RESH (FDS): Free Stock Analysis Report MSCI INC-A (MSCI): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. A couple of better-ranked stocks are 3D Systems Corporation DDD and Intel Corporation INTC , both sporting a Zacks Rank #1 (Strong Buy). Quarter Details FactSet's revenues of $287.3 million increased 9.7% from the year-ago quarter but missed the Zacks Consensus Estimate of $291 million.
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A couple of better-ranked stocks are 3D Systems Corporation DDD and Intel Corporation INTC , both sporting a Zacks Rank #1 (Strong Buy). Click to get this free report FACTSET RESH (FDS): Free Stock Analysis Report MSCI INC-A (MSCI): Free Stock Analysis Report INTEL CORP (INTC): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. The company reported adjusted earnings per share of $1.69, which lagged the Zacks Consensus Estimate of $1.70 per share.
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717163.0
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2016-09-22 00:00:00 UTC
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HP Inc (HPQ) on Fire: What is Driving the Stock Higher?
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DDD
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https://www.nasdaq.com/articles/hp-inc-hpq-on-fire%3A-what-is-driving-the-stock-higher-2016-09-22
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Shares of world's second-largest PC manufacturer, HP Inc.HPQ have been rallying since its split from the parent company, driven particularly by its turnaround efforts.
Notably, HP is one of the two publicly traded entities that were formed after the Nov 2015 split of Hewlett-Packard Company. The other company that was formed in the process was Hewlett Packard Enterprise Company HPE . HP focuses on PC and printing products and services.
Since its split, the stock has gained 22.5% and has clocked a year-to-date return of 26.6%. The company attained a new high of $15.00 yesterday before closing a tad lower at $14.99, representing an intraday gain of approximately 3.1%.
What's Driving the Rally?
We believe that the parent company's (Hewlett-Packard Company) decision to split the business has been a boon for HP. This is because a split allows a customized approach to two different businesses, which may not have been possible while they operated as a single entity.
Since its split, HP has been restructuring its business to reap long-term benefits. The company has divested its content management software tools and Customer Communications Management (CCM) assets to Open Text Corporation in a move which will facilitate in the business realignment and allow it to focus better on the PC and printing businesses. Apart from this, it will also facilitate cost reduction and enhanced productivity, thereby helping the company boost profitability.
Furthermore, post the split, HP has been focused on product innovation and differentiation to maintain its leading position in the space. Keeping with this, during third-quarter fiscal 2016, the company launched EliteBook Folio, the world's thinnest and lightest business class notebook.
Meanwhile, the company is also undertaking pricing actions, and marketing and sales activities in a bid to drive demand, in turn giving some price stability to the market. Moreover, HP is trying to shift its product mix to the high end and move away from the low-and negative-margin businesses.
The impact of these efforts was reflected clearly in the company's last earnings release, wherein the Personal Systems segment witnessed stabilization to a certain extent and even recorded a slight year-over-year improvement after several quarters.
The company's efforts to revamp the printing business have also been commendable. Note that HP has recently signed a deal to acquire Samsung Electronics' printer business for a purchase price of $1.05 billion.
The acquisition is a strategic fit for HP as it will be able to expand the company's printing business with the addition of 6,500-plus printing patents owned by Samsung. The move will offer support to the development and manufacturing of HP printers, going forward.
In addition, the company is now focusing on enhancing its 3D printing business capabilities in an effort to revive tumbling sales. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS .
Thus, in order to fortify its presence in the market, HP recently unveiled its Jet Fusion 3D Printing Solution, with two models to choose from - 4200 and 3200. Unlike 3D Systems and Stratasys, which target all kinds of consumers, HP is emphasizing only on industrial markets because of their ability to afford a premium range of 3D printing solutions.
To satisfy customers in this space, HP inked collaborations with the likes of BMW, Nike and Autodesk in order to develop more advanced 3D printing technologies for diverse industrial uses.
Bottom Line
HP's efforts to turn around the business have been commendable. The company has adopted a strategy of focusing on product innovations and differentiation as well as on enhancing the printing business' capabilities, which will help stabilize the top line.
The company currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
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HP INC (HPQ): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
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To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. The impact of these efforts was reflected clearly in the company's last earnings release, wherein the Personal Systems segment witnessed stabilization to a certain extent and even recorded a slight year-over-year improvement after several quarters.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Shares of world's second-largest PC manufacturer, HP Inc.HPQ have been rallying since its split from the parent company, driven particularly by its turnaround efforts.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . We believe that the parent company's (Hewlett-Packard Company) decision to split the business has been a boon for HP.
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Note that even though HP has been operating in this space for almost five years now, it still lags behind 3D Systems Corporation DDD and Stratasys Ltd. SSYS . Click to get this free report HP INC (HPQ): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report HEWLETT PKD ENT (HPE): Free Stock Analysis Report To read this article on Zacks.com click here. Notably, HP is one of the two publicly traded entities that were formed after the Nov 2015 split of Hewlett-Packard Company.
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2016-09-22 00:00:00 UTC
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4 Second-String Tech Stocks on the Move
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DDD
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https://www.nasdaq.com/articles/4-second-string-tech-stocks-on-the-move-2016-09-22
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InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips
U.S. equities are flying higher on Thursday with the Nasdaq Composite bagging new highs above 5,300 thanks to breakout moves in a number of big-tech heavyweights like Amazon.com, Inc. (NASDAQ: AMZN ) and Facebook Inc (NASDAQ: FB ).
Source: FamZoo Staff via Flickr (Modified)
All thanks to the Federal Reserve's decision on Wednesday to hold off on a rate hike until later this year, removing the threat of the largest potential negative catalyst for the market heading into the end of the year.
Why? Because inflation remains tepid, the job market gains have recently slowed, GDP growth has been underwhelming, and factory activity is slowing outright.
But ostensibly, this is also about keeping markets happy as futures odds of a rate hike were below 20%. A move now would've destabilized stocks ahead of the presidential election. Which would've made the Fed seem political.
3 Dividend ETFs You Completely Overlooked
With stocks off to the races, investors looking for new trade ideas should scour under the surface a little, looking at tech-sector turnaround plays. Here are four to consider.
Tech Stocks to Buy: HP (HPQ)
Click to Enlarge HP Inc (NYSE: HPQ ) shares are pushing past the $15-a-share level on Thursday returning to levels not seen since early last year, thanks to renewed optimism about the health of the PC industry.
This after Intel Corporation (NASDAQ: INTC ) last week raised its revenue and gross margin guidance on replenishment of the PC supply chain inventory on increased consumer demand. After the flat reception for the Windows 10 unveiling, this is great news (and possibly motivated by excitement over VR, which needed increased processing power).
The company will next release results on Nov. 22 after the close. Analysts are looking for earnings of 36 cents per share on revenues of $11.8 billion.
Edge Pro subscribers are up nearly 5% already in their HPQ Oct $15 calls recommended on Wednesday.
Tech Stocks to Buy: Yahoo! (YHOO)
Click to Enlarge Yahoo! Inc. (NASDAQ: YHOO ) shares are threatening to push past the $45-a-share benchmark - levels not seen since early last year - which would end a two-month trading range.
What's impressive is that the rise is coming despite the announcement a state-sponsored actor stole user information associated with at least 500 million user accounts in late 2014.
A trade in YHOO is a bet that a liquidation of its assets - after the sale of its core Internet operations to Verizon Communications Inc. (NYSE: VZ ) for $4.8 billion - is worth upward of $54 a share according to analysts at Gabelli & Co. These assets include its stake in Alibaba Group Holding Ltd (NYSE: BABA ) and Yahoo! Japan.
10 Stocks That Should Be in Your Portfolio Right Now
The company will next report results on Oct. 18 after the close. Analysts are looking for earnings of 14 cents per share on revenues of $862 million.
Tech Stocks to Buy: GoPro (GPRO)
Click to Enlarge GoPro Inc (NASDAQ: GPRO ) shares are triumphantly returning to January levels - breaking free of its year-long funk - as the negativity surrounding its Hero Session misstep and new product drought are washed away by building excitement over the Hero 5 camera and the Karma video drone system.
Both of which are being launched just in time for the holiday shopping season. Karma, at $799, is ultra-portable with an included backpack and features a removable 3-axis camera gimbal that stabilizes handheld video photography as well.
The company will release earnings on Oct. 27 after the close. Analysts are looking for a loss of 35 cents per share on revenues of $308 million. The stock is up 11.8% for Edge subscribers so far this month.
Tech Stocks to Buy: 3D Systems Corporation (DDD)
Click to Enlarge 3D Systems Corproation (NYSE: DDD ) shares are testing the upper end of its two-month trading range, threatening a push back to highs near $19 set in April.
Still, shares have a long way to go to return to the high of $97.28 set back in late 2013 as the hype over 3D printing was in full swing.
Investors are coming back into the stock amid turnaround efforts at DDD with a new management team and a new focus on moving from prototyping to production as well as investments in the space by General Electric Company (NYSE: GE ).
3 Sin Stocks to Play on Smoking, Gambling and Girls, Girls, Girls!
The company will next report results on Nov. 3 before the bell. Analysts are looking for earnings of nine cents per share on revenues of $159 million.
Anthony Mirhaydari is founder of theEdgeandEdge Proinvestment advisory newsletters. A two-week and four-week free trial offer has been extended to InvestorPlace readers.
The post 4 Second-String Tech Stocks on the Move appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors are coming back into the stock amid turnaround efforts at DDD with a new management team and a new focus on moving from prototyping to production as well as investments in the space by General Electric Company (NYSE: GE ). Tech Stocks to Buy: 3D Systems Corporation (DDD) Click to Enlarge 3D Systems Corproation (NYSE: DDD ) shares are testing the upper end of its two-month trading range, threatening a push back to highs near $19 set in April. This after Intel Corporation (NASDAQ: INTC ) last week raised its revenue and gross margin guidance on replenishment of the PC supply chain inventory on increased consumer demand.
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Tech Stocks to Buy: 3D Systems Corporation (DDD) Click to Enlarge 3D Systems Corproation (NYSE: DDD ) shares are testing the upper end of its two-month trading range, threatening a push back to highs near $19 set in April. Investors are coming back into the stock amid turnaround efforts at DDD with a new management team and a new focus on moving from prototyping to production as well as investments in the space by General Electric Company (NYSE: GE ). Tech Stocks to Buy: HP (HPQ) Click to Enlarge HP Inc (NYSE: HPQ ) shares are pushing past the $15-a-share level on Thursday returning to levels not seen since early last year, thanks to renewed optimism about the health of the PC industry.
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Tech Stocks to Buy: 3D Systems Corporation (DDD) Click to Enlarge 3D Systems Corproation (NYSE: DDD ) shares are testing the upper end of its two-month trading range, threatening a push back to highs near $19 set in April. Investors are coming back into the stock amid turnaround efforts at DDD with a new management team and a new focus on moving from prototyping to production as well as investments in the space by General Electric Company (NYSE: GE ). InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips U.S. equities are flying higher on Thursday with the Nasdaq Composite bagging new highs above 5,300 thanks to breakout moves in a number of big-tech heavyweights like Amazon.com, Inc. (NASDAQ: AMZN ) and Facebook Inc (NASDAQ: FB ).
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Tech Stocks to Buy: 3D Systems Corporation (DDD) Click to Enlarge 3D Systems Corproation (NYSE: DDD ) shares are testing the upper end of its two-month trading range, threatening a push back to highs near $19 set in April. Investors are coming back into the stock amid turnaround efforts at DDD with a new management team and a new focus on moving from prototyping to production as well as investments in the space by General Electric Company (NYSE: GE ). Inc. (NASDAQ: YHOO ) shares are threatening to push past the $45-a-share benchmark - levels not seen since early last year - which would end a two-month trading range.
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2016-09-21 00:00:00 UTC
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3D Systems (DDD) Bets on Healthcare, Unveils "Jaw in a Day"
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DDD
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https://www.nasdaq.com/articles/3d-systems-ddd-bets-on-healthcare-unveils-jaw-in-a-day-2016-09-21
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Premium provider of 3D products and services, 3D Systems CorporationDDD recently expanded its Virtual Surgical Planning (VSP) Reconstruction product line with the launch of "Jaw in a Day" service. This launch reflects the company's efforts toward fortifying its foothold in the thriving healthcare industry.
Dental Rehabilitation Simplified
Jaw in a Day is enabled by 3D Systems' VSP Reconstruction service. 3D Systems has incorporated its sophisticated CAD/CAM technology in Jaw in a Day which will assist surgeons to prepare personalized surgical guides, models and instruments. This service is a major breakthrough in full jaw reconstruction process and will aid surgeons to complete the complex task in a single surgery.
Powered by 3D System's proprietary digital-to-physical workflow, Jaw in a Day can reduce multiple surgeries required in dental rehabilitation to a singular surgery. This not only slashes patients' hefty medical bills, but also significantly shrinks the normal six-twelve month time span required for the process. Immediate placement of a provisional dental prosthesis will greatly improve patient outcome.
Healthcare Portfolio Shows Strength
Over the past couple of years, 3D Systems has been systematically expanding its healthcare product suite. The company has been successful in creating a comprehensive healthcare portfolio that includes a wide gamut of offerings, ranging from educational training modules to pre-operative surgical planning applications.
3D SYSTEMS CORP Price
3D SYSTEMS CORP Price | 3D SYSTEMS CORP Quote
In second-quarter 2016, revenues from healthcare and related applications grew 11% year over year, boosted by the company's extensive offerings as well as expansion by clients who print medical and dental devices. The company's surgical simulation and planning are among its strong suite and the latest expansion of the VSP Construction portfolio further strengthens this business line.
3D Systems currently holds a Zacks Rank #3 (Hold). Some better-ranked stocks in the sector include Active Power Inc. ACPW , Acxiom Corporation ACXM and Rocket Fuel Inc. FUEL . All three stocks hold a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here
Confidential from Zacks
Beyond this Analyst Blog, would you like to see Zacks' best recommendations that are not available to the public? Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand. Click to see them now>>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
ACXIOM CORP (ACXM): Free Stock Analysis Report
ACTIVE POWER (ACPW): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
ROCKET FUEL INC (FUEL): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Premium provider of 3D products and services, 3D Systems CorporationDDD recently expanded its Virtual Surgical Planning (VSP) Reconstruction product line with the launch of "Jaw in a Day" service. Click to get this free report ACXIOM CORP (ACXM): Free Stock Analysis Report ACTIVE POWER (ACPW): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report ROCKET FUEL INC (FUEL): Free Stock Analysis Report To read this article on Zacks.com click here. 3D Systems has incorporated its sophisticated CAD/CAM technology in Jaw in a Day which will assist surgeons to prepare personalized surgical guides, models and instruments.
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Premium provider of 3D products and services, 3D Systems CorporationDDD recently expanded its Virtual Surgical Planning (VSP) Reconstruction product line with the launch of "Jaw in a Day" service. Click to get this free report ACXIOM CORP (ACXM): Free Stock Analysis Report ACTIVE POWER (ACPW): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report ROCKET FUEL INC (FUEL): Free Stock Analysis Report To read this article on Zacks.com click here. 3D SYSTEMS CORP Price 3D SYSTEMS CORP Price | 3D SYSTEMS CORP Quote In second-quarter 2016, revenues from healthcare and related applications grew 11% year over year, boosted by the company's extensive offerings as well as expansion by clients who print medical and dental devices.
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Premium provider of 3D products and services, 3D Systems CorporationDDD recently expanded its Virtual Surgical Planning (VSP) Reconstruction product line with the launch of "Jaw in a Day" service. Click to get this free report ACXIOM CORP (ACXM): Free Stock Analysis Report ACTIVE POWER (ACPW): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report ROCKET FUEL INC (FUEL): Free Stock Analysis Report To read this article on Zacks.com click here. 3D SYSTEMS CORP Price 3D SYSTEMS CORP Price | 3D SYSTEMS CORP Quote In second-quarter 2016, revenues from healthcare and related applications grew 11% year over year, boosted by the company's extensive offerings as well as expansion by clients who print medical and dental devices.
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Premium provider of 3D products and services, 3D Systems CorporationDDD recently expanded its Virtual Surgical Planning (VSP) Reconstruction product line with the launch of "Jaw in a Day" service. Click to get this free report ACXIOM CORP (ACXM): Free Stock Analysis Report ACTIVE POWER (ACPW): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report ROCKET FUEL INC (FUEL): Free Stock Analysis Report To read this article on Zacks.com click here. Healthcare Portfolio Shows Strength Over the past couple of years, 3D Systems has been systematically expanding its healthcare product suite.
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2016-09-17 00:00:00 UTC
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3D Systems' New Figure 4 3D Printing Tech: How Does It Compare to HP's and Carbon's Techs?
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DDD
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https://www.nasdaq.com/articles/3d-systems-new-figure-4-3d-printing-tech-how-does-it-compare-hps-and-carbons-techs-2016-09
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3D Systems (NYSE: DDD) kicked off the International Manufacturing Trade Show (IMTS) in Chicago this week with a presentation outlining how it is positioning itself to capitalize as 3D printing shifts from being a primarily prototyping technology to one that's used in a wider range of manufacturing applications.
A key component of 3D Systems' strategy is its new technology, Figure 4, which the company claims is up to 50 times faster than conventional stereolithography (SLA) 3D printing systems. Figure 4 is a robotic, modular, SLA 3D printing system designed for the production of plastic parts.
Here's what you should know.
Robotic arms lifting 3D-printed objects (circled in red) from vats. Image source: 3D Systems.
The latest Figure 4 development involves the incorporation of automatic, in-line 3D inspection of parts for closed-loop manufacturing.
3D Systems claims that it has made materials breakthroughs with Figure 4 tech, primarily stemming from the fact that a greatly accelerated photopolymerization process means that liquid polymers are not sitting in vats for nearly as long as they do in the standard SLA process. This opens up the possibilities of using material chemistries that don't have to be nearly as stable.
Start-up Carbon's Continuous Liquid Interface Production 3D printing technology also uses a super-speedy photopolymerization process -- in fact, 3D Systems' Figure 4 sounds extremely similar to CLIP.
How does Figure 4 stack up to the competition?
In May, HP lnc. (NYSE: HPQ) launched the Jet Fusion 3D 3200, powered by its proprietary Multi Jet Fusion technology, and in April, Carbon launched the M1, powered by its proprietary CLIP.
HP claims its 3D printer is up to 10 times faster than printers powered by fused deposition modeling (FDM) and selective laser sintering (SLS). Carbon couldn't provide relative speed claims regarding its M1 because it uses proprietary resins. However, we know CLIP was about 25 to 100 times faster than PolyJet, SLS, and SLA to produce the same object when tested last year. Here are the results of third-party tests commissioned by Carbon, which involved producing the same 51-millimeter-diameter complex part made of an elastomeric material:
CLIP's exact relative speed advantages in the above comparison are:
27.7 times faster than PolyJet
32.3 times faster than SLS
106 times faster than SLA
3D Systems claims that Figure 4 is "up to 50 times" faster than conventional SLA. The "up to" makes true comparisons impossible. We'll be liberal and use the maximum rate. This would mean that Figure 4 would be able to produce that same comparison object in 13.8 minutes (SLA's time/50). This makes Figure 4 very speedy, but only about half as fast as CLIP.
Now let's bring HP into the mix. HP uses FDM and SLS as its speed benchmarks. We can assume that the higher end of HP's "up to 10 times faster" claim refers to SLS, the slower of the two benchmark techs. Again, we'll be generous and use the maximum rate This would mean that HP's tech would be able to produce that same object in 21 minutes (SLS's time/10). This makes HP's tech slower than Figure 4 and slower yet than CLIP.
The caveats are considerable. We only compared the speeds at which the various new techs can likely produce one specific object. Relative speeds will vary depending upon factors such as part complexity and material. Moreover, factors other than speed matter considerably for companies when choosing a 3D printer.
The proof will be in the partnerships
3D Systems' Figure 4 appears to be an impressive, speedy new technology that could enable the company to capitalize as 3D printing makes inroads into a wider range of manufacturing applications. While Figure 4 doesn't appear to have a speed advantage over Carbon's CLIP, it does sport other features -- ability to be incorporated into an automated production process and in-line parts inspection capabilities -- that appear to be unique among the super-fast 3D printing techs at this point.
The proof will be in the pudding: Investors should watch to see if any notable companies partner with 3D Systems on its Figure 4 initiative.
On its end, Carbon just announced that it raised $81 million in an extended series C funding round, which included new strategic investors and partners GE Ventures -- General Electric's venture capital arm -- and BMW .This brings Carbon's total raise to $222 million.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D Systems (NYSE: DDD) kicked off the International Manufacturing Trade Show (IMTS) in Chicago this week with a presentation outlining how it is positioning itself to capitalize as 3D printing shifts from being a primarily prototyping technology to one that's used in a wider range of manufacturing applications. Start-up Carbon's Continuous Liquid Interface Production 3D printing technology also uses a super-speedy photopolymerization process -- in fact, 3D Systems' Figure 4 sounds extremely similar to CLIP. We can assume that the higher end of HP's "up to 10 times faster" claim refers to SLS, the slower of the two benchmark techs.
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3D Systems (NYSE: DDD) kicked off the International Manufacturing Trade Show (IMTS) in Chicago this week with a presentation outlining how it is positioning itself to capitalize as 3D printing shifts from being a primarily prototyping technology to one that's used in a wider range of manufacturing applications. A key component of 3D Systems' strategy is its new technology, Figure 4, which the company claims is up to 50 times faster than conventional stereolithography (SLA) 3D printing systems. (NYSE: HPQ) launched the Jet Fusion 3D 3200, powered by its proprietary Multi Jet Fusion technology, and in April, Carbon launched the M1, powered by its proprietary CLIP.
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3D Systems (NYSE: DDD) kicked off the International Manufacturing Trade Show (IMTS) in Chicago this week with a presentation outlining how it is positioning itself to capitalize as 3D printing shifts from being a primarily prototyping technology to one that's used in a wider range of manufacturing applications. A key component of 3D Systems' strategy is its new technology, Figure 4, which the company claims is up to 50 times faster than conventional stereolithography (SLA) 3D printing systems. Here are the results of third-party tests commissioned by Carbon, which involved producing the same 51-millimeter-diameter complex part made of an elastomeric material: CLIP's exact relative speed advantages in the above comparison are: 27.7 times faster than PolyJet 32.3 times faster than SLS 106 times faster than SLA 3D Systems claims that Figure 4 is "up to 50 times" faster than conventional SLA.
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3D Systems (NYSE: DDD) kicked off the International Manufacturing Trade Show (IMTS) in Chicago this week with a presentation outlining how it is positioning itself to capitalize as 3D printing shifts from being a primarily prototyping technology to one that's used in a wider range of manufacturing applications. A key component of 3D Systems' strategy is its new technology, Figure 4, which the company claims is up to 50 times faster than conventional stereolithography (SLA) 3D printing systems. Again, we'll be generous and use the maximum rate This would mean that HP's tech would be able to produce that same object in 21 minutes (SLS's time/10).
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333d5822-75ae-4edf-88ff-3505a6381ad3
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2016-09-15 00:00:00 UTC
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A Brand-New 3D Printing ETF with Big Investment Potential
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https://www.nasdaq.com/articles/brand-new-3d-printing-etf-big-investment-potential-2016-09-15
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Today, ETF expert Grant Wasylik brings us details about a new ETF issue that offers investors diversified access to a very fast-growing industry: 3d printing.
General Electric (GE) just spent $1.4 billion on two acquisitions.
Why is this big news?
First, GE has been more of a seller than a buyer in recent years. Since 2010, the conglomerate has sold both halves of NBC Universal, Vital Signs and its appliance business. On the buy side, its only purchase in the last six years — prior to its announcement on Sept. 6 — was ShipExpress in 2016.
And second, its most-recent acquisition targets both come from a game-changing area of the market …
3D printing.
Arcam (ARCM, on the Stockholm exchange) and SLM Solutions (AM3D, on the Xetra platform in Europe) are European companies that produce machines used for 3D metal printing.
GE says it plans to bring 1,000 3D printing machines online over the next decade. In doing so, it aims to cut costs by $3 billion to $5 billion across the company. Arcam and SLM Solutions will help GE accomplish these goals.
Courtesy of GE, here’s an example of how 3D printing technology can dramatically reduce the complexity of the manufacturing process …
Source: GE webcast presentation, Arcam and SLM Solutions acquisitions, 9/6/16
“Additive manufacturing” is technology that builds 3D objects by adding layer-upon-layer of material. (Plastic, metal, concrete, human tissue, etc.)
And by shifting turbine frame assembly from traditional to additive manufacturing, GE reduces the number of requirements involved in design, manufacturing and services anywhere from 80% to near 100%.
The end result is revolutionary in terms of productivity.
Now, in all fairness, investing in 3D printing has been a roller coaster ride in recent years.
Two Tales of 3D Printing Stocks
A five-year chart tells both sides of the story …
Source: YCHARTS
The returns feature the two most-recognizable names in the 3D printing industry: 3D Systems (DDD) and Stratasys (SSYS).
Notice their meteoric rise in the left side of the chart. DDD skyrocketed 790% and SSYS shot up 480% from early September 2011 to early January 2014. And on the right side of the chart, 3D printing came crashing back down to earth. Both stocks plunged 84% since their January 2014 highs.
Much of the huge price appreciation came from the anticipation that 3D printers would make it into the homes of individual consumers. Well, the once-hopeful days of printing an online outfit — with your personal 3D printer — in your closet within minutes of order placement turned out to be far-fetched. (At least for now.)
Basically, 3D printing for personal use was overhyped. It never materialized.
But, that doesn’t mean left-for-dead 3D printing stocks are, in fact, dead …
The Investment Case for 3D Printing
3D printing is gaining a lot of ground in industrialization as of late.
Just like with GE’s rationale, 3D printing provides considerable cost savings in the manufacturing process. Plus, it also allows for other efficiencies: reduced time, better accuracy, less waste, more design capabilities and additional customization options.
Some of the world’s largest companies are using 3D printing to improve their manufacturing processes …
GE Aviation estimates it will 3D print 100,000 parts by 2020.
Airbus expects 3D printing to bring 50% weight savings and 60%-70% cost savings for aircraft parts.
Lockheed Martin reports it can 3D print its preform spacecraft fuel tank in 2 weeks, as opposed to previous times of 18 to 20 months.
Ford has 3D printed over 500,000 parts over the last decade — saving billions of dollars and millions of labor hours.
The U.S. hearing aid industry converted to 100% additive 3D printing in less than 500 days. Not one company that stuck to traditional manufacturing methods survived.
Nike uses additive manufacturing, which encompasses 3D printing, to produce its Flyknit shoes. This technique reduces labor costs by 50% and cuts material usage by 20%. It’s saved over 2 million pounds of material waste since 2012.
And according to leading experts, 3D printing has big-time growth potential ahead.
Source: ARK Investment Management LLC, Wohlers Associates, Gartner
Wohlers Associates doubled its estimates for the 3D printing market twice from 2012 to 2014. And Gartner Research forecasts 3D printer shipments to more than double annually between 2016 and 2019.
I consulted ARK Investment Management’s Thematic Analyst Tasha Keeney, who told me:
ARK’s research indicates 3D printing has penetrated less than 1% of the $500 billion total addressable market!
Now, with the potential for heightened volatility in 3D printing stocks, it’s understandable investors don’t want to buy — or gamble on — just one stock.
But, a new ETF launch alleviates those concerns.
Instant, One-Click 3D Printing Exposure
The 3D Printing ETF (PRNT) is the first and only ETF dedicated to 3D printing.
The innovation authorities at ARK Invest just brought this creation to market on July 18.
ARK specializes in disruptive innovation and thematic investing. As the company likes to say:
The ARK team focuses on investment opportunities in robotics, big data, autonomous vehicles, cloud computing, bioinformatics, DNA sequencing … and yes, 3D printing.
PRNT tracks the performance of the Total 3D-Printing Index. This index contains exchange-listed global companies that are engaged in 3D printing-related business lines. The index rebalances quarterly using the following multi-factor weighting methodology (names are equally-weighted within each factor):
As of Sept. 13, PRNT owned 40 companies involved in the 3D printing industry.
With a launch less than two months ago, this ETF has only $9 million in assets. So, it’s not real big yet, but it’s garnered interest in the early-going.
PRNT caught the attention of astute investors last week. And more attention — and more assets — could be coming soon …
Remember the M&A activity mentioned earlier? Well, it had big implications for this ETF, specifically.
PRNT owns both Arcam and SLM Solutions. (The two companies that received buyout offers from GE.)
Before the takeover announcement, Arcam was PRNT’s ninth-largest holding at 4.4% and SLM Solutions was its second-largest holding at 5.4%.
After GE offered a 53% premium for Arcam and a 37% premium for SLM Solutions, these two positions vaulted to the top of PRNT. Arcam is now its second-largest holding at 6.6% and SLM Solutions holds the top spot with a weight of 7.5%.
Due to the news, PRNT jumped 7% over Labor Day weekend (one trading day) … it hit a new intraday high of $22.87 (Sept. 7) … and the ETF also saw a sizable uptick in volume — up almost 3X since the takeover announcement.
Interested in the Potential Upside of 3D Printing?
Consider an investment in PRNT. Its diversified approach should be able to offer a smoother ride than any lone 3D printing stock.
I also reached out to ARK’s Director of Product Development Tom Staudt. He mentioned to me how ARK filled a void in this niche space:
PRNT’s 40-stock portfolio gives its shareholders a better chance of profiting from the next takeover in the world of 3D printing as opposed to employing a single-stock-selection strategy.
Takeovers or not, 3D printing is poised to become a more critical part of the manufacturing process across various industries. And that means PRNT could have a bright future ahead.
To learn more about The 3D Printing ETF (PRNT), click here.
This article originally appeared on Uncommon Wisdom Daily.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Two Tales of 3D Printing Stocks A five-year chart tells both sides of the story … Source: YCHARTS The returns feature the two most-recognizable names in the 3D printing industry: 3D Systems (DDD) and Stratasys (SSYS). DDD skyrocketed 790% and SSYS shot up 480% from early September 2011 to early January 2014. As the company likes to say: The ARK team focuses on investment opportunities in robotics, big data, autonomous vehicles, cloud computing, bioinformatics, DNA sequencing … and yes, 3D printing.
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Two Tales of 3D Printing Stocks A five-year chart tells both sides of the story … Source: YCHARTS The returns feature the two most-recognizable names in the 3D printing industry: 3D Systems (DDD) and Stratasys (SSYS). DDD skyrocketed 790% and SSYS shot up 480% from early September 2011 to early January 2014. Courtesy of GE, here’s an example of how 3D printing technology can dramatically reduce the complexity of the manufacturing process … Source: GE webcast presentation, Arcam and SLM Solutions acquisitions, 9/6/16 “Additive manufacturing” is technology that builds 3D objects by adding layer-upon-layer of material.
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Two Tales of 3D Printing Stocks A five-year chart tells both sides of the story … Source: YCHARTS The returns feature the two most-recognizable names in the 3D printing industry: 3D Systems (DDD) and Stratasys (SSYS). DDD skyrocketed 790% and SSYS shot up 480% from early September 2011 to early January 2014. Courtesy of GE, here’s an example of how 3D printing technology can dramatically reduce the complexity of the manufacturing process … Source: GE webcast presentation, Arcam and SLM Solutions acquisitions, 9/6/16 “Additive manufacturing” is technology that builds 3D objects by adding layer-upon-layer of material.
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Two Tales of 3D Printing Stocks A five-year chart tells both sides of the story … Source: YCHARTS The returns feature the two most-recognizable names in the 3D printing industry: 3D Systems (DDD) and Stratasys (SSYS). DDD skyrocketed 790% and SSYS shot up 480% from early September 2011 to early January 2014. Courtesy of GE, here’s an example of how 3D printing technology can dramatically reduce the complexity of the manufacturing process … Source: GE webcast presentation, Arcam and SLM Solutions acquisitions, 9/6/16 “Additive manufacturing” is technology that builds 3D objects by adding layer-upon-layer of material.
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717168.0
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2016-09-13 00:00:00 UTC
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3D Systems Partners with PTC; Unveils New Strategy
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https://www.nasdaq.com/articles/3d-systems-partners-with-ptc-unveils-new-strategy-2016-09-13
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At an exclusive launch event yesterday, 3D Systems CorporationDDD unveiled its new growth strategy and forged an important partnership with PTC. Further, the leading 3D printing player launched its 3DXpert software for direct metal 3D printing. The company also declared additions to its management team.
Collaboration with PTC
3D Systems believes that collaborations are a key part of its new growth strategy. In line with its plans of expanding the partner ecosystem, 3D Systems has entered into a fresh partnership with PTC, an American software company specializing in 2D and 3D design. PTC is also a leading provider of CAD, PLM, and IoT (Internet of Things) technology.
This alliance will see the two leaders joining forces to integrate 3D Systems' 3D Sprint SDK into PTC's flagship Creo CAD platform. This will, in turn, deliver seamless CAD-to-print functionality to Creo users, in addition to an entire set of print management tools.
Strategy: From Prototyping to Production
3D Systems has announced several vital changes to deal with the afflictions of the troubled 3D printing industry. The company launched its 3DXpert software solution for direct metal 3D printing,which assembles all necessary software features (like data importing, geometry optimization, etc.) into one package. This eliminates the need for multiple applications by different developers.
3D SYSTEMS CORP Price and Consensus
3D SYSTEMS CORP Price and Consensus | 3D SYSTEMS CORP Quote
3DXpert also aids in saving valuable time and maintaining greater flexibility on change handling with history-based parametric CAD tools. Further, 3D Systems also revealed the latest advancements to its Figure 4 technology - the ultra-fast, modular Stereolithography system - designed for the production of plastic parts on the factory floor.
CEO Vyomesh Joshi - a relatively new addition himself to the company - appointed several new members to the team. This will facilitate the new business framework which will be centered around regional execution teams.
These initiatives are a bold, definite step toward the company's transition from prototyping to production. They will enable its additive manufacturing clients to leverage its digital manufacturing solutions.
3D Printing at Inflection Point?
Most would agree that the 3D printing industry has failed spectacularly to live up to its initial hype. However, after a volatile few years, we believe that the industry might just be at an inflection point.
Even as some major 3D printing companies are taking a step back from the consumer market, most players have been diligently stepping up their efforts to carve a niche in the industrial market. Industry players are gradually shifting toward production of end-use products for industrial clients, in the face of weak demand from the consumer business.
In fact, some would say that this space is gaining serious momentum, if the actions of leading industry players are anything to go by. Last month, industry giant Stratasys SSYS launched two new products and also entered into an alliance with Boeing Co. and Ford Motor Co. HP Inc. HPQ launched its first set of industrial 3D printers in May.
Also, to top it all, just last week, General Electric Company GE invested $1.4 billion to buy two European 3D printing firms - SLM Solutions Group and Arcam. For this conglomerate, the technology would give the flexibility to build custom parts with the latest metal-based additive manufacturing.
These developments mark the industry's shift to production and new end uses in industries like aerospace and healthcare, though it may take a few years to take hold.
It seems like 3D Systems is doing all it can to stay ahead of this paradigm industry-wide shift. With major companies investing significant amounts of money in production-ready additive manufacturing firms, the signs indicate that the company is headed the right way.
3D Systems currently has a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Interested in IPOs? Check out the special edition of Zacks Friday Finish Line below, where Editor Maddy Johnson and Content Writer Ryan McQueeney interview Kathleen Smith of Renaissance Capital about the IPO market in 2016 (see part two here ).
Confidential from Zacks
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HP INC (HPQ): Free Stock Analysis Report
GENL ELECTRIC (GE): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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At an exclusive launch event yesterday, 3D Systems CorporationDDD unveiled its new growth strategy and forged an important partnership with PTC. Click to get this free report HP INC (HPQ): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. In line with its plans of expanding the partner ecosystem, 3D Systems has entered into a fresh partnership with PTC, an American software company specializing in 2D and 3D design.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. At an exclusive launch event yesterday, 3D Systems CorporationDDD unveiled its new growth strategy and forged an important partnership with PTC. Further, the leading 3D printing player launched its 3DXpert software for direct metal 3D printing.
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Click to get this free report HP INC (HPQ): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. At an exclusive launch event yesterday, 3D Systems CorporationDDD unveiled its new growth strategy and forged an important partnership with PTC. 3D SYSTEMS CORP Price and Consensus 3D SYSTEMS CORP Price and Consensus | 3D SYSTEMS CORP Quote 3DXpert also aids in saving valuable time and maintaining greater flexibility on change handling with history-based parametric CAD tools.
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At an exclusive launch event yesterday, 3D Systems CorporationDDD unveiled its new growth strategy and forged an important partnership with PTC. Click to get this free report HP INC (HPQ): Free Stock Analysis Report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Further, the leading 3D printing player launched its 3DXpert software for direct metal 3D printing.
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2016-09-09 00:00:00 UTC
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3D Printing Stock Investors: General Electric Aims for a $1 Billion 3D Printing Empire By 2020
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https://www.nasdaq.com/articles/3d-printing-stock-investors-general-electric-aims-1-billion-3d-printing-empire-2020-2016
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Industrial titan General ElectricCo. (NYSE: GE) announced on Tuesday plans to acquire two industrial metal 3D printing companies, Sweden-based Arcam AB (NASDAQOTH: AMAVF) and Germany-based SLM Solutions Group AG, for a total of $1.4 billion.
If the combined deal is approved, it will be by far the largest deal ever in the burgeoning 3D printing realm, and will mark GE's move beyond being just the world's largest user of metal 3D printing technologies to also becoming a leading supplier of them.
Here's what investors in General Electric, 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and Arcam should know.
The Leap engine, made by a joint venture between GE and Snecma, contains 19 3D-printed fuel nozzles. Image source: GE.
The proposed deals
GE made cash offers to acquire all of the outstanding shares of Arcam and SLM. The offer for Arcam is for nearly 5.86 billion Swedish krona, or about $685 million. This bid includes an offer of 285 krona, or about $33, for each American depositary share (ADS). (Investors who took my advice are in the big money. I called Arcam the best 3D printing stock a year ago when the ADS was trading at just over $13 per share, and reiterated this call earlier this year.)
Both offers should be embraced by shareholders, as they each represent a significant premium to the value at which each stock was trading before the bids. In Arcam's case, the premium is 53% for shares trading on the Stockholm exchange.
Arcam makes metal 3D printers powered by its proprietary electron beam melting (EBM) technology for the aerospace and orthopedic implant industries. It also has two subsidiaries: AP&C, a metal powders production operation located in Canada, and DiSanto Technology, a contract manufacturer of orthopedic implants that's based in Connecticut. Arcam generated $68 million in revenue in 2015.
SLM Solutions, which trades on the Frankfurt exchange, produces metal 3D printers based on its proprietary selective laser melting (SLM) technology and sells them to a wide range of industrial markets. It posted $74 million in revenue in 2015.
General Electric is a customer of both companies.
The closing of each offer is subject to approval by shareholders and regulators.
What this move means for General Electric
The significance of GE's move can't be overstated. If the deals get the green light, GE will move beyond being "just" the world's largest user of metal 3D printing technologies to also becoming a significant 3D printing supplier. As CEO Jeff Immelt remarked:
GE said in the press release that it expects to grow its new 3D printing business to $1 billion in revenue by 2020, while generating attractive returns, and also expects $3 billion to $5 billion of product cost savings across the company over the next 10 years.
Arcam and SLM generated $142 million in combined revenue in 2015, so GE's $1 billion revenue goal by 2020 represents growth of about 600% in five years. A 40+% compounded annual growth rate (CAGR) is ambitious but very doable. The 3D printing industry is projected to grow at a brisk pace, and the metal 3D printing has been growing faster than the industry as a whole. For perspective, 3D Systems and Stratasys posted $645.6 million and $680.9 million, respectively, in revenue over the trailing 12 months.
General Electric currently has more than 300 3D printers across its empire and has a goal of producing a total of 100,000 3D-printed parts in its aviation business alone by 2020, according to its website.
The company has enthusiastically embraced the use of 3D printing because the technology enables it to more quickly and efficiently bring to market products that contain components that can't be made by conventional manufacturing techniques. A key benefit of using 3D printing in aerospace applications is that it enables some components to be designed in such a way as to make them considerably lighter than is possible using traditional manufacturing techniques. Even small reductions in weight lead to huge savings in aircraft fuel costs.
The industrial behemoth's big push into 3D printing started when it bought Morris Technologies in 2012. This acquisition gave it a full-scale 3D production facility near its aviation division's Ohio headquarters. In 2013, GE announced plans to use 3D printing to produce the fuel nozzles for its new Leap jet engine, each of which will contain 19 nozzles. Then in 2014, GE announced that it planned to start using 3D printing technology in its power and water business, its largest industrial division.
A 3D-printed fuel nozzle for the Leap engine. Image source: GE.
What GE's move means for 3D Systems and Stratasys
General Electric's entree into the 3D printing supplier business will almost surely have ramifications for the industry's two largest diversified players, 3D Systems and Stratasys. 3D Systems makes metal 3D printers that use laser sintering technology, though its metal business is a small portion of its overall business. Stratasys doesn't make 3D printers that can print in metals; however, along with 3D Systems, it has metal capabilities in its 3D printing services operation.
GE's move appears to be a double-edged sword for 3D Systems and Stratasys. Positively, the fact that the industrial giant is entering the supplier space is a significant endorsement of 3D printing as both a technology and a business. GE's move should increase the size of the entire metal 3D printing market.
The flip side, however, is that now 3D Systems and, to some degree, Stratasys will be competing with another goliath. They're already newly competing with 2D-printing king HP Inc. , along with well-funded start-up Carbon, in their core polymer 3D printing businesses. HP and Carbon launched in May and April, respectively, 3D printers for the enterprise market that are reportedly faster than the 3D printers sold by 3D Systems and Stratasys.
Investor takeaway
For General Electric investors, the company's push into the 3D printing supplier space is a positive. It will allow GE to advance its internal use of 3D printing, and also to profit along with the growth of 3D printing technology in general.
For investors in 3D Systems, Stratasys, and other 3D printing players, GE's entrance into the metal 3D printing supply business is a mixed bag. The total market size should expand, but existing players will now be facing an extremely deep-pocketed competitor.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Beth McKenna has no position in any stocks mentioned. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Here's what investors in General Electric, 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and Arcam should know. (NYSE: GE) announced on Tuesday plans to acquire two industrial metal 3D printing companies, Sweden-based Arcam AB (NASDAQOTH: AMAVF) and Germany-based SLM Solutions Group AG, for a total of $1.4 billion. It also has two subsidiaries: AP&C, a metal powders production operation located in Canada, and DiSanto Technology, a contract manufacturer of orthopedic implants that's based in Connecticut.
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Here's what investors in General Electric, 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and Arcam should know. Arcam makes metal 3D printers powered by its proprietary electron beam melting (EBM) technology for the aerospace and orthopedic implant industries. SLM Solutions, which trades on the Frankfurt exchange, produces metal 3D printers based on its proprietary selective laser melting (SLM) technology and sells them to a wide range of industrial markets.
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Here's what investors in General Electric, 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and Arcam should know. If the combined deal is approved, it will be by far the largest deal ever in the burgeoning 3D printing realm, and will mark GE's move beyond being just the world's largest user of metal 3D printing technologies to also becoming a leading supplier of them. What GE's move means for 3D Systems and Stratasys General Electric's entree into the 3D printing supplier business will almost surely have ramifications for the industry's two largest diversified players, 3D Systems and Stratasys.
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Here's what investors in General Electric, 3D Systems (NYSE: DDD) , Stratasys (NASDAQ: SSYS) , and Arcam should know. What GE's move means for 3D Systems and Stratasys General Electric's entree into the 3D printing supplier business will almost surely have ramifications for the industry's two largest diversified players, 3D Systems and Stratasys. Stratasys doesn't make 3D printers that can print in metals; however, along with 3D Systems, it has metal capabilities in its 3D printing services operation.
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2016-09-06 00:00:00 UTC
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General Electric Company (GE) Buys Into 3D Printing … Twice!
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https://www.nasdaq.com/articles/general-electric-company-ge-buys-into-3d-printing-...-twice
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InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips
The deep dive General Electric Company (NYSE: GE ) has made into the realm of tech continues. But will GE stock ever be appraised with tech valuations? An argument can be made that it should .
Source: Mike Mozart via Flickr (Modified)
On Tuesday, the Fairfield, Conn.-based industrial conglomerate announced plans to acquire two European 3D printing companies, spending a combined $1.4 billion on Swedish-based Arcam AB and Germany's SLM Solutions Group AG .
But what does General Electric know about 3D printing? And will GE stock respond favorably?
General Electric is entering a crowded space, which is already dominated by the likes of 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. ( NASDAQ: SSYS ). Add in the fact that HP Inc (NYSE: HPQ ) has just entered the market , and General Electric has a steep uphill climb.
But its acquisition is not for the reason you think.
7 Deeply Underloved Stocks to Buy Now
While these 3D printing incumbents, especially 3D Systems, have yet to show they can turn a profit this way, General Electric is not entering that business. Instead, it is looking to speed up its manufacturing capabilities by looking into more innovative ways of building jets, aircraft engines and other components.
GE Stock's 3D Plan
The fact that both Arcam and SLM Solutions manufacture machines can print metal parts used in aircraft turbines give General Electric an immediate advantage over its peers. And the value it creates by reducing its manufacturing costs will be reflected in GE stock.
Chairman and Chief Executive Jeff Immelt continues to deliver on his promise of diversifying GE's manufacturing capabilities. And it would seem 3D printing, or additive manufacturing, is the next frontier.
In that regard, Immelt said, "[3D printing] will drive new levels of productivity for GE including a wide array of additive manufacturing customers, and for the industrial world."
Essentially, General Electric is raising the stakes on industrial competitors like Honeywell International Inc. (NYSE: HON ) and United Technologies Corporation (NYSE: UTX ) as opposed to tackling, say, Hewlett-Packard in its own domain.
And this should bode well for GE stock, which has a consensus buy rating and an average 12-month target of $34, suggesting 8% gains from current levels.
At the time of publication, Richard Saintvilus did not hold any stock in the companies mentioned.
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The post General Electric Company (GE) Buys Into 3D Printing … Twice! appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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General Electric is entering a crowded space, which is already dominated by the likes of 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. ( NASDAQ: SSYS ). Source: Mike Mozart via Flickr (Modified) On Tuesday, the Fairfield, Conn.-based industrial conglomerate announced plans to acquire two European 3D printing companies, spending a combined $1.4 billion on Swedish-based Arcam AB and Germany's SLM Solutions Group AG . 7 Deeply Underloved Stocks to Buy Now While these 3D printing incumbents, especially 3D Systems, have yet to show they can turn a profit this way, General Electric is not entering that business.
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General Electric is entering a crowded space, which is already dominated by the likes of 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. ( NASDAQ: SSYS ). InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips The deep dive General Electric Company (NYSE: GE ) has made into the realm of tech continues. GE Stock's 3D Plan The fact that both Arcam and SLM Solutions manufacture machines can print metal parts used in aircraft turbines give General Electric an immediate advantage over its peers.
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General Electric is entering a crowded space, which is already dominated by the likes of 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. ( NASDAQ: SSYS ). InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips The deep dive General Electric Company (NYSE: GE ) has made into the realm of tech continues. GE Stock's 3D Plan The fact that both Arcam and SLM Solutions manufacture machines can print metal parts used in aircraft turbines give General Electric an immediate advantage over its peers.
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General Electric is entering a crowded space, which is already dominated by the likes of 3D Systems Corporation (NYSE: DDD ) and Stratasys Ltd. ( NASDAQ: SSYS ). InvestorPlaceInvestorPlace - Stock Market News, Stock Advice & Trading Tips The deep dive General Electric Company (NYSE: GE ) has made into the realm of tech continues. But what does General Electric know about 3D printing?
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2016-09-06 00:00:00 UTC
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Why Spectra Energy, Barnes & Noble, and 3D Systems Jumped Today
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Image source: Spectra Energy.
The stock market's historical September slump failed to materialize again on Monday, and major market benchmarks posted another set of modest gains that sent the Nasdaq Composite to a new all-time record high. To some extent, the market appeared to remain on hold as investors wait for the next move from the Federal Reserve, which will meet later this month to determine whether to move with greater haste toward raising short-term interest rates. The Fed watch also puts a different spin on certain events, with today's weak reading on purchasing-manager activity suggesting that the central bank might wait until later to hike rates. In any event, some individual stocks posted much larger gains than the overall market, and Spectra Energy (NYSE: SE) , Barnes & Noble (NYSE: BKS) , and 3D Systems (NYSE: DDD) were among the best performers of the day.
Spectra gets energetic in M&A deal
Spectra Energy jumped 13% after the company announced that industry peer Enbridge (NYSE: ENB) would buy the energy infrastructure company in a $28 billion deal. The all-stock deal will create the largest pipeline and infrastructure company in North America, and the two companies said that they anticipated a 15% annualized dividend increase in 2017 following the merger. Under the terms of the deal, Spectra shareholders will get 98.4 shares of Enbridge for every 100 shares of Spectra they own. In the eyes of Spectra CEO Greg Ebel, who will become chairman of Enbridge following the deal, the merger will create "what we believe is the finest platform for serving customers in every region of North America." With complementary assets, the combined entity would bring together pipelines delivering both liquids and gas as well as a regulated utility portfolio and renewable power generation within a single stock.
Barnes & Noble gets a favorable review
Barnes & Noble climbed 10% in the wake of favorable comments in Barron's over the weekend. The news publication argued that the bookseller has done a good job of overcoming some of the challenges facing the brick-and-mortar retail industry, and a dividend yield of more than 5% compensates income investors quite highly compared to most stocks in the market. Even though the company has many investors believing that it's in a dying industry, Barnes & Noble has done a better job than most people recognize in staying profitable, and those who follow the stock closely see impressive earnings growth over the next couple of years despite stagnant revenue. Often, a news publication is the catalyst for a stock rebound, and Barnes & Noble definitely benefited from that phenomenon Monday.
3D Systems climbs on buyout hopes
Finally, 3D Systems rose 6%. Industrial giant General Electric (NYSE: GE) made acquisitions of some of 3D Systems' peers in the 3D printing business, including companies in Sweden and Germany. The move, which cost GE $1.4 billion, was designed to further the company's "strategy to become the premier digital industrial company," in the words of CEO Jeff Immelt. Given the move today, some investors clearly think that 3D Systems will either benefit from increased interest in the 3D printing space or will eventually find itself a takeover target of some other, larger company. Whether that happens remains to be seen, but as long as M&A rumors persist, 3D Systems could continue to see occasional pops upward in response.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Dan Caplinger has no position in any stocks mentioned. The Motley Fool owns shares of and recommends Spectra Energy. The Motley Fool owns shares of Barnes and Noble and General Electric. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In any event, some individual stocks posted much larger gains than the overall market, and Spectra Energy (NYSE: SE) , Barnes & Noble (NYSE: BKS) , and 3D Systems (NYSE: DDD) were among the best performers of the day. In the eyes of Spectra CEO Greg Ebel, who will become chairman of Enbridge following the deal, the merger will create "what we believe is the finest platform for serving customers in every region of North America." The news publication argued that the bookseller has done a good job of overcoming some of the challenges facing the brick-and-mortar retail industry, and a dividend yield of more than 5% compensates income investors quite highly compared to most stocks in the market.
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In any event, some individual stocks posted much larger gains than the overall market, and Spectra Energy (NYSE: SE) , Barnes & Noble (NYSE: BKS) , and 3D Systems (NYSE: DDD) were among the best performers of the day. The Motley Fool owns shares of and recommends Spectra Energy. The Motley Fool owns shares of Barnes and Noble and General Electric.
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In any event, some individual stocks posted much larger gains than the overall market, and Spectra Energy (NYSE: SE) , Barnes & Noble (NYSE: BKS) , and 3D Systems (NYSE: DDD) were among the best performers of the day. Spectra gets energetic in M&A deal Spectra Energy jumped 13% after the company announced that industry peer Enbridge (NYSE: ENB) would buy the energy infrastructure company in a $28 billion deal. Even though the company has many investors believing that it's in a dying industry, Barnes & Noble has done a better job than most people recognize in staying profitable, and those who follow the stock closely see impressive earnings growth over the next couple of years despite stagnant revenue.
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In any event, some individual stocks posted much larger gains than the overall market, and Spectra Energy (NYSE: SE) , Barnes & Noble (NYSE: BKS) , and 3D Systems (NYSE: DDD) were among the best performers of the day. Spectra gets energetic in M&A deal Spectra Energy jumped 13% after the company announced that industry peer Enbridge (NYSE: ENB) would buy the energy infrastructure company in a $28 billion deal. The Motley Fool owns shares of Barnes and Noble and General Electric.
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717172.0
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2016-09-06 00:00:00 UTC
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Technology Sector Update for 09/06/2016: NNDM,VJET,DDD,XONE,SSYS,CSIQ,NSSC
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https://www.nasdaq.com/articles/technology-sector-update-09062016-nndmvjetdddxonessyscsiqnssc-2016-09-06
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Top Tech Stocks
MSFT -0.18%
AAPL -0.08%
IBM +0.21%
CSCO -0.12%
GOOG +1.14%
Technology stocks were mostly higher, with shares of tech companies in the S&P 500 posting a 0.3% increase.
In company news, Nano Dimension Ltd ( NNDM ) advanced Tuesday, with American depository shares of the Israeli maker of 3D-printer inks riding a new wave of investor enthusiasm for the sector after General Electric ( GE ) today announced plans to pay $1.4 billion to acquire a pair of 3D printer companies, Arcam AB and SLM Solutions Group AG.
GE said it plans to structure both deals as public tender offers for all of the outstanding shares at each company, adding it was preparing to file the necessary documents with the appropriate regulatory bodies for the tender offers and will make those filings publicly available as soon as they are approved.
Nano Dimension also may be getting an extra boost today after saying it was opening a production facility for its nano-ink products adjacent to the company's headquarters in Ness Ziona, Israel.
NNDM ADS were up more than 4% at $7.20 apiece, earlier reaching a session high of $7.41 a share.
Other 3D printer companies also posting big gains today include Voxeljet AG ( VJET ), up about 8%; ExOne Co, rising almost 6%, 3D Systems Corp ( DDD ), adding over 5% and Stratasys Ltd ( SSYS ), climbing nearly 5% in recent trade.
In other sector news,
(+) CSIQ, (+4.2%) Signs sales partnership with DM Solar, a wholesale distributor of solar products based in Guadalajara, Mexico.
(-) NSSC, (-4.6%) Fiscal Q1 EPS of $0.02 per share improves on $0.01 per share gain during year-ago period but trailing single-analyst estimate of $0.05 per share. Revenue rises 4.6% to $18.1 mln, matching Street view.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Other 3D printer companies also posting big gains today include Voxeljet AG ( VJET ), up about 8%; ExOne Co, rising almost 6%, 3D Systems Corp ( DDD ), adding over 5% and Stratasys Ltd ( SSYS ), climbing nearly 5% in recent trade. In company news, Nano Dimension Ltd ( NNDM ) advanced Tuesday, with American depository shares of the Israeli maker of 3D-printer inks riding a new wave of investor enthusiasm for the sector after General Electric ( GE ) today announced plans to pay $1.4 billion to acquire a pair of 3D printer companies, Arcam AB and SLM Solutions Group AG. GE said it plans to structure both deals as public tender offers for all of the outstanding shares at each company, adding it was preparing to file the necessary documents with the appropriate regulatory bodies for the tender offers and will make those filings publicly available as soon as they are approved.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Other 3D printer companies also posting big gains today include Voxeljet AG ( VJET ), up about 8%; ExOne Co, rising almost 6%, 3D Systems Corp ( DDD ), adding over 5% and Stratasys Ltd ( SSYS ), climbing nearly 5% in recent trade. In company news, Nano Dimension Ltd ( NNDM ) advanced Tuesday, with American depository shares of the Israeli maker of 3D-printer inks riding a new wave of investor enthusiasm for the sector after General Electric ( GE ) today announced plans to pay $1.4 billion to acquire a pair of 3D printer companies, Arcam AB and SLM Solutions Group AG.
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Other 3D printer companies also posting big gains today include Voxeljet AG ( VJET ), up about 8%; ExOne Co, rising almost 6%, 3D Systems Corp ( DDD ), adding over 5% and Stratasys Ltd ( SSYS ), climbing nearly 5% in recent trade. In company news, Nano Dimension Ltd ( NNDM ) advanced Tuesday, with American depository shares of the Israeli maker of 3D-printer inks riding a new wave of investor enthusiasm for the sector after General Electric ( GE ) today announced plans to pay $1.4 billion to acquire a pair of 3D printer companies, Arcam AB and SLM Solutions Group AG. GE said it plans to structure both deals as public tender offers for all of the outstanding shares at each company, adding it was preparing to file the necessary documents with the appropriate regulatory bodies for the tender offers and will make those filings publicly available as soon as they are approved.
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Other 3D printer companies also posting big gains today include Voxeljet AG ( VJET ), up about 8%; ExOne Co, rising almost 6%, 3D Systems Corp ( DDD ), adding over 5% and Stratasys Ltd ( SSYS ), climbing nearly 5% in recent trade. Top Tech Stocks Technology stocks were mostly higher, with shares of tech companies in the S&P 500 posting a 0.3% increase.
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717173.0
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2016-09-06 00:00:00 UTC
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General Electric (GE) Doubles Down in 3D Printing, Buys SLM & Arcam
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https://www.nasdaq.com/articles/general-electric-ge-doubles-down-3d-printing-buys-slm-arcam-2016-09-06
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On Tuesday, digital industrial company General Electric GEannounced plans to purchase two European 3D printing companies, Swedish-based Arcam AB and Germany's SLM Solutions Group AG, for $1.4 billion in order to accelerate its efforts in the growing industry.
Both SLM and Arcam will report to David Joyce, the President and CEO of GE Aviation, the corporation's largest division. With this acquisition, GE will now have spent $2.9 billion on 3D printing, or additive manufacturing, since 2010, leading to a total of 346 patents.
"Additive manufacturing is a key part of GE's evolution into a digital industrial company. We are creating a more productive world with our innovative world-class machines, materials and software. We are poised to not only benefit from this movement as a customer, but spearhead it as a leading supplier," said Jeff Immelt, Chairman and CEO of GE.
The company expects its 3D printing business to grow by $1 billion by 2020, as well as a total cost of $3 to $5 billion of product across GE over the next 10 years.
Companies in the 3D printing industry focus on building products using computer-aided design (CAD) software. These virtual designs lead to a process that places down successive layers of material until an object is created. It builds an entire product at once instead of separately manufacturing different parts, leading to more customization and less waste.
Unlike its standard 3D printing competitors, GE is looking to utilize additive manufacturing in order to innovatively build jets, aircraft engines, and other aviation components. Its digital business is booming, and has already employed 3D printing in some capacity. Back in July, GE Aviation debuted its first additive jet engine component, a complex fuel nozzle interior, with the LEAP jet engine.
GE's acquisition of Arcam and SLM are structured as public tender offers for all of the outstanding shares of stock of each company.
3D printing companies 3D Systems Corp. DDD , Voxeljet Ag-Adr VJET , and Stratasys Ltd. SSYS have all seen a boost today as GE's latest deals have spurred interest in the stocks.
Interested in IPOs? Check out the special edition of Zacks Friday Finish Line, where Editor Maddy Johnson and Ryan McQueeney interview Kathleen Smith of Renaissance Capital about the IPO market in the second half of 2016.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days . Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
GENL ELECTRIC (GE): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
VOXELJET AG-ADR (VJET): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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3D printing companies 3D Systems Corp. DDD , Voxeljet Ag-Adr VJET , and Stratasys Ltd. SSYS have all seen a boost today as GE's latest deals have spurred interest in the stocks. Click to get this free report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report VOXELJET AG-ADR (VJET): Free Stock Analysis Report To read this article on Zacks.com click here. Unlike its standard 3D printing competitors, GE is looking to utilize additive manufacturing in order to innovatively build jets, aircraft engines, and other aviation components.
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3D printing companies 3D Systems Corp. DDD , Voxeljet Ag-Adr VJET , and Stratasys Ltd. SSYS have all seen a boost today as GE's latest deals have spurred interest in the stocks. Click to get this free report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report VOXELJET AG-ADR (VJET): Free Stock Analysis Report To read this article on Zacks.com click here. Unlike its standard 3D printing competitors, GE is looking to utilize additive manufacturing in order to innovatively build jets, aircraft engines, and other aviation components.
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3D printing companies 3D Systems Corp. DDD , Voxeljet Ag-Adr VJET , and Stratasys Ltd. SSYS have all seen a boost today as GE's latest deals have spurred interest in the stocks. Click to get this free report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report VOXELJET AG-ADR (VJET): Free Stock Analysis Report To read this article on Zacks.com click here. On Tuesday, digital industrial company General Electric GEannounced plans to purchase two European 3D printing companies, Swedish-based Arcam AB and Germany's SLM Solutions Group AG, for $1.4 billion in order to accelerate its efforts in the growing industry.
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Click to get this free report GENL ELECTRIC (GE): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report VOXELJET AG-ADR (VJET): Free Stock Analysis Report To read this article on Zacks.com click here. 3D printing companies 3D Systems Corp. DDD , Voxeljet Ag-Adr VJET , and Stratasys Ltd. SSYS have all seen a boost today as GE's latest deals have spurred interest in the stocks. "Additive manufacturing is a key part of GE's evolution into a digital industrial company.
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2016-09-01 00:00:00 UTC
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3D Printing Stocks: Time is on Your Side
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https://www.nasdaq.com/articles/3d-printing-stocks-time-your-side-2016-09-01
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3D printing stocks offer a cautionary tale for those that insist that investing based on an obvious, well publicized, easy to understand argument is the way to go. Just a couple of years ago they looked like a sure fire bet on the ultimate disruption of the norm, and that opinion was everywhere.
Since their highs in 2014, however, the three biggest players in the industry, 3D Systems (DDD), Stratasys (SSYS) and The ExOne Company (XONE) have all lost over 80% of their value. Could it be, however, that after all of the hype and the bubble and bust look to the charts (see below), these stocks now represent a decent, if still risky, investment?
I am not one to overcomplicate trading and investing decision, but when the financial media are full of stories about one industry with enormous and obvious growth potential I have learned to be wary and to look for the problems behind the obvious. Back in 2014 that description certainly fit 3D printing stocks.
The argument looked extremely appealing; the idea of printing anything you needed, from car parts to human body parts at the touch of a button, suggested a revolution in retail and manufacturing that you would be a fool to miss out on. Surely huge profits were coming.
Call me a cynic, but I believe that whenever you hear an argument as obvious as that there is a catch. There is often one last technical hurdle to clear before the technology can fulfill its potential, or there is extreme consumer resistance to the new thing, which can be the result of loyalty to the old methods or simply fear of the unknown.
A more mundane, but also more common problem: at small production levels the products associated with new, disruptive technologies are often just too expensive for consumers. There is a “catch-22”; price cannot go down without volume and volume cannot increase at the price. To differing extents, 3D printing fell victim to all three potential problems, but there is good news: all of these issues can be resolved by one thing...time.
Now, two years on from the top of the bubble, conditions for these companies are actually better now than they were then in many ways. The cost of the machines and materials needed is gradually coming down and new uses for the technology are constantly being found.
In many ways more importantly, though, as the reality of the market has improved so the forecasts and expectations of analysts have fallen dramatically. Most of them, working on a “once bitten” basis, now have very achievable projections for these companies, even out as far as five years. Times are still tough, which is keeping prices low but the chances of a series of good beats is increasing every day.
Despite this being a long-term trade, with emerging technologies such as this which can always turn out to be a complete flop, it is important that investors remain disciplined. Place and stick to stop loss orders if you are buying in, and, despite the volatility, keep them reasonably close, say 10-12% away.
I will freely admit that this is a play that I have tried before, a bit too soon, and I hit my stops. Damage was small, however, which enables me to come back, maybe several times, to a technology that has had its problems, but still has enormous potential. At some point these stocks will turn and when they do those small losses will look inconsequential. The evidence suggests that that could well be soon.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Since their highs in 2014, however, the three biggest players in the industry, 3D Systems (DDD), Stratasys (SSYS) and The ExOne Company (XONE) have all lost over 80% of their value. 3D printing stocks offer a cautionary tale for those that insist that investing based on an obvious, well publicized, easy to understand argument is the way to go. There is often one last technical hurdle to clear before the technology can fulfill its potential, or there is extreme consumer resistance to the new thing, which can be the result of loyalty to the old methods or simply fear of the unknown.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Since their highs in 2014, however, the three biggest players in the industry, 3D Systems (DDD), Stratasys (SSYS) and The ExOne Company (XONE) have all lost over 80% of their value. The argument looked extremely appealing; the idea of printing anything you needed, from car parts to human body parts at the touch of a button, suggested a revolution in retail and manufacturing that you would be a fool to miss out on.
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Since their highs in 2014, however, the three biggest players in the industry, 3D Systems (DDD), Stratasys (SSYS) and The ExOne Company (XONE) have all lost over 80% of their value. I am not one to overcomplicate trading and investing decision, but when the financial media are full of stories about one industry with enormous and obvious growth potential I have learned to be wary and to look for the problems behind the obvious. The argument looked extremely appealing; the idea of printing anything you needed, from car parts to human body parts at the touch of a button, suggested a revolution in retail and manufacturing that you would be a fool to miss out on.
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Since their highs in 2014, however, the three biggest players in the industry, 3D Systems (DDD), Stratasys (SSYS) and The ExOne Company (XONE) have all lost over 80% of their value. Now, two years on from the top of the bubble, conditions for these companies are actually better now than they were then in many ways. Damage was small, however, which enables me to come back, maybe several times, to a technology that has had its problems, but still has enormous potential.
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2016-08-29 00:00:00 UTC
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How Risky Is 3D Systems Corporation?
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https://www.nasdaq.com/articles/how-risky-3d-systems-corporation-2016-08-29
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Image source: 3D Systems.
Between an industrywide slowdown in customer spending, the threat of increased competition, lingering performance issues, and a highly volatile stock, 3D Systems (NYSE: DDD) appears to be a high-risk investment. On the other hand, 3D Systems has a diversified set of 3D printing solutions, strong balance sheet, a promising long-term growth opportunity, and its new leadership is focused on driving operational excellence.
All things considered, how risky is 3D Systems?
External risks
External risks are risks that 3D Systems faces and largely outside of its control. Currently, 3D Systems faces two major external risks.
The first is the customer spending environment, which has been weak since the start of 2015, putting 3D Systems' printer sales and total revenue under pressure over the past six quarters. Most recently, 3D Systems' printer sales fell 30% year over year while total revenue fell over 7% in the second quarter. The prevailing theory is that customers have an oversupply of 3D printing capacity on hand and it's prompted a slowdown in spending. Given the longevity and magnitude of the slowdown, it remains unclear how much longer it will persist.
The second major external risk facing 3D Systems is the potential impact that increased competition will have on 3D Systems' business. Carbon's recently introduced M1 and HP 's upcoming Multi Jet Fusion printers both claim to be significantly faster than any printer from 3D Systems. The risk is that 3D Systems' offerings become inferior by comparison and results in the company losing market share. In other words, these new entrants threaten to undermine 3D Systems' competitive positioning in the market.
Internal risks
Unlike external risks, internal risks are largely within 3D Systems' control. This includes areas like execution, setting the right strategy, and ability to innovate. If management fails to deliver in areas that require its action, the company's reputation, competitive positioning, and business results could come under pressure.
For instance, if Carbon and HP's offerings are well received by customers and 3D Systems is slow to respond to these threats, it'll give Carbon and HP more time to extend their advantage and take market share from 3D Systems. In this case, 3D Systems' delayed action would affect the company's competitive positioning and business results.
Financial risks
3D Systems' financial risks could be viewed from two perspectives: the stock and the business. The stock perspective takes into account the company's valuation, while the business perspective takes into account the strength of its balance sheet.
Generally speaking, the higher a stock trades above its intrinsic value, the smaller margin of safety it offers investors. 3D Systems' stock currently trades around 31 times forward earnings, or at about a 72% premium to the small cap-focused Russell 2000 index's forward P/E of 18. Based on other popular valuation measures, 3D Systems' stock mostly trades at a significant premium to the S&P 500 :
Data sources: Multpl, State Street Global Advisors, Yahoo! Finance, and The Wall Street Journal .
Although 3D Systems' stock is considered richly valued, its balance sheet remains strong. The company ended the second quarter with $176.3 million in cash and zero debt. Since the fourth quarter of last year, 3D Systems increased its cash balance by $20.6 million, thanks to positive operating cash flow that more than covered the business' other cash needs.
The bigger picture
When determining a stock's riskiness, it's important to consider both sides of argument to see how they balance each other out. Then there's the question of whether owning a stock that's been as volatile as 3D Systems is appropriate for an individual's risk tolerance.
Ultimately, 3D Systems' riskiness appears to be a mixed bag, hinging on management's ability to successfully navigate the challenges it faces. However, since 3D Systems' new leadership is largely unproven in this respect, it's yet another risk factor to consider.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Between an industrywide slowdown in customer spending, the threat of increased competition, lingering performance issues, and a highly volatile stock, 3D Systems (NYSE: DDD) appears to be a high-risk investment. On the other hand, 3D Systems has a diversified set of 3D printing solutions, strong balance sheet, a promising long-term growth opportunity, and its new leadership is focused on driving operational excellence. Based on other popular valuation measures, 3D Systems' stock mostly trades at a significant premium to the S&P 500 : Data sources: Multpl, State Street Global Advisors, Yahoo!
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Between an industrywide slowdown in customer spending, the threat of increased competition, lingering performance issues, and a highly volatile stock, 3D Systems (NYSE: DDD) appears to be a high-risk investment. Most recently, 3D Systems' printer sales fell 30% year over year while total revenue fell over 7% in the second quarter. Internal risks Unlike external risks, internal risks are largely within 3D Systems' control.
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Between an industrywide slowdown in customer spending, the threat of increased competition, lingering performance issues, and a highly volatile stock, 3D Systems (NYSE: DDD) appears to be a high-risk investment. External risks External risks are risks that 3D Systems faces and largely outside of its control. The second major external risk facing 3D Systems is the potential impact that increased competition will have on 3D Systems' business.
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Between an industrywide slowdown in customer spending, the threat of increased competition, lingering performance issues, and a highly volatile stock, 3D Systems (NYSE: DDD) appears to be a high-risk investment. The risk is that 3D Systems' offerings become inferior by comparison and results in the company losing market share. Financial risks 3D Systems' financial risks could be viewed from two perspectives: the stock and the business.
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ade5bf89-0d00-4773-96e1-c99021ff4277
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717176.0
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2016-08-26 00:00:00 UTC
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3D Systems Corporation in 6 Charts
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DDD
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https://www.nasdaq.com/articles/3d-systems-corporation-6-charts-2016-08-26
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DDD data by YCharts .
While 3D Systems' stock price would suggest that the company may be serious trouble, the following charts tell more of the story.
3D printer jam
The softness in customer spending that started in early 2015 didn't fully take hold until the third quarter of last year, when the company reported an annual revenue decline. The prevailing theory is that customers have too much 3D printing capacity on hand, and it's slowing demand for new printers.
It's worth noting that 3D Systems' diversified business model is lessening the impact of slowing 3D printer demand. For instance, 3D Systems' printer sales fell 30% year over year in the second quarter of this year, yet total revenue only fell 7.3%.
Modest improvement
3D Systems' gross margin has improved modestly over the last 18 months. The temporary blip in early 2016 was related to the costs associated with exiting the consumer 3D printing business:
DDD Gross Profit Margin (Quarterly) data by YCharts .
Most recently, 3D Systems' second-quarter gross profit margin increased 300 basis points year over year to 50.9%. This improvement was driven by the company's shift away from the consumer 3D printing market and increased sales of higher-margin materials, software, and healthcare solutions.
Narrowing losses
Under new leadership , 3D Systems is working to cut costs and improve its overall profitability. During the second quarter, operating expenses fell 20.2% year over year to $80.4 million, primarily driven by lower amortization, stock-based compensation, and research and development expenses. The reduction in operating expenses narrowed its operating loss from $23.8 million last year to $3.7 million this year.
Data source. 3D Systems. Chart by author.
Stagnating efficiency
Over the last 18 months, 3D Systems' cash conversion cycle, which measures how efficiently a business converts inventory into sales, collects payment, and pays its suppliers, has been on the rise. To find a company's cash conversion cycle, add the number of days of inventory on hand (i.e., days inventory outstanding), to the average time it takes to collect payment from customers (i.e., days sales outstanding), and then subtract the average number of days it takes to pay suppliers (i.e., days payable outstanding).
DDD Cash Conversion Cycle (Quarterly) data by YCharts .
The longer a company's cash conversion cycle, the less frequently it can reinvest said cash back into the business. The major dip at the end of 2015 was caused by a one-time, $27.4 million inventory charge related to exiting the consumer 3D printing business.
Digging deeper, it's clear that slowing sales caused 3D System's inventory to sit on the books for longer periods, which in turn, is keeping its cash conversion cycle elevated:
DDD Days Payable Outstanding (Quarterly) data by YCharts .
Cash hoard
Despite an inefficient cash conversion cycle and ongoing net losses, 3D Systems' cash balance started rising in the last two quarters -- thanks to improved operating cash flow. During this six-month period, 3D Systems generated over $31 million in operating cash flow -- more than enough to cover its cash needs for investing and financing activities:
DDD Cash and Equivalents (Quarterly) data by YCharts .
Putting it all together
Although 3D Systems has room for improvement, the company isn't necessarily in as bad of shape as a 50% sell-off over the last 18 months suggests. Going forward, if 3D Systems can make improvements in areas that are in its control, which is currently one of management's main objectives, the company's next 18 months may be less turbulent than the past 18 months.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The temporary blip in early 2016 was related to the costs associated with exiting the consumer 3D printing business: DDD Gross Profit Margin (Quarterly) data by YCharts . Digging deeper, it's clear that slowing sales caused 3D System's inventory to sit on the books for longer periods, which in turn, is keeping its cash conversion cycle elevated: DDD Days Payable Outstanding (Quarterly) data by YCharts . DDD data by YCharts .
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The temporary blip in early 2016 was related to the costs associated with exiting the consumer 3D printing business: DDD Gross Profit Margin (Quarterly) data by YCharts . Digging deeper, it's clear that slowing sales caused 3D System's inventory to sit on the books for longer periods, which in turn, is keeping its cash conversion cycle elevated: DDD Days Payable Outstanding (Quarterly) data by YCharts . DDD data by YCharts .
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Digging deeper, it's clear that slowing sales caused 3D System's inventory to sit on the books for longer periods, which in turn, is keeping its cash conversion cycle elevated: DDD Days Payable Outstanding (Quarterly) data by YCharts . DDD data by YCharts . The temporary blip in early 2016 was related to the costs associated with exiting the consumer 3D printing business: DDD Gross Profit Margin (Quarterly) data by YCharts .
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The temporary blip in early 2016 was related to the costs associated with exiting the consumer 3D printing business: DDD Gross Profit Margin (Quarterly) data by YCharts . DDD data by YCharts . DDD Cash Conversion Cycle (Quarterly) data by YCharts .
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8c47589d-b271-4758-8c8a-f7058d4095b3
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717177.0
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2016-08-26 00:00:00 UTC
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Stratasys Builds 3D Printing Partnership with Boeing & Ford
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DDD
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https://www.nasdaq.com/articles/stratasys-builds-3d-printing-partnership-with-boeing-ford-2016-08-26
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Stratasys Ltd.SSYS has been scaling newer heights across all its business segments. Over the past few months, the company has inked strategic partnerships as well as launched diverse products, reflecting its solid fundamentals.
The 3D printing company recently entered into a few strategic partnerships with the likes of The Boeing Co. BA , Ford Motor Co. F and Siemens. The collaborations are aimed at introducing advanced 3D printing technologies to the aerospace and automotive industries. The financial terms of the deal were not disclosed.
Adding to the slew of positives, Stratasys recently launched two new products - The Infinite-Build 3D Demonstrator and the Robotic Composite 3D Demonstrator.
These launches will help users to reduce complexities and data loss, thereby enhancing user experience and providing high-quality prints. Customers can benefit from greater accuracy and reliability, which are not otherwise available on a regular printer.
About Boeing and Ford
The Boeing Company is one of the world's major aerospace firms. The company operates in three principal segments: commercial airplanes; military aircraft and missiles; and space and communications.
Ford Motor Company produces cars and trucks. The company and its subsidiaries also engage in other businesses, including manufacturing automotive components and systems and financing and renting vehicles and equipment.
Inside the Headlines
The collaborations with Boeing and Ford for the development of the latest Infinite-Build 3-D Demonstrator is likely to reap synergistic benefits going forward. Partnering Boeing will be a positive for Stratasys. This will facilitate high printing speed, as much as ten times quicker than the existing 3D printing products. It will also enable change of materials while the printer is in-use.
On the other hand, as part of the partnership with Ford, Stratasys' Infinite-Build machine will print large lightweight components that are as huge as a building or a size of an entire airplane. Therefore, it will help Stratasys gain competitive advantage over players like 3D Systems Corp. DDD .
Going forward, Siemens' motion control hardware and product management software will perfectly complement the robust manufacturing expertise of Stratasys' new Robotic Composite 3-D Demonstrator, helping the latter in innovative additive manufacturing initiatives. We believe that the collaboration will expand and enhance Stratasys' additive manufacturing (AM) or 3D Printing Platform. Also, this association will enable Stratasys to attract new clients and strengthen its overall market position.
3D Printing Market
The 3D printing market presents a favorable long-term investment opportunity as a large number of engineers, designers, architects and entrepreneurs are resorting to 3D solutions for their primary designing and product modeling. According to market research firm CONTEXT, over half a million 3D printers have already been shipped across the globe between the 1980s and mid-2015 and the industry is currently on track to ship its millionth unit by 2017. Data from the Wohlers Report 2014 revealed that the worldwide 3D printing industry is expected to grow from $3.07 billion in 2013 to $12.8 billion by 2018, and exceed $21 billion by 2020 at a CAGR of 34%.
As the industry leader in 3D printing, this is encouraging information for Stratasys as it will be able to grab a large share of this market.
STRATASYS LTD Price
STRATASYS LTD Price | STRATASYS LTD Quote
To Conclude
The deal is a strategic move by Stratasys to expand its geographic reach and drive market penetration.
Both these partnership spell opportunities for Stratasys' 3D systems business and will increase its installed base. We believe that Stratasys' portfolio of new and innovative products will help it in the long run to generate incremental sales.
Stratasys has a Zacks Rank #3 (Hold).
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BOEING CO (BA): Free Stock Analysis Report
FORD MOTOR CO (F): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Therefore, it will help Stratasys gain competitive advantage over players like 3D Systems Corp. DDD . Click to get this free report BOEING CO (BA): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. The company and its subsidiaries also engage in other businesses, including manufacturing automotive components and systems and financing and renting vehicles and equipment.
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Click to get this free report BOEING CO (BA): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Therefore, it will help Stratasys gain competitive advantage over players like 3D Systems Corp. DDD . Adding to the slew of positives, Stratasys recently launched two new products - The Infinite-Build 3D Demonstrator and the Robotic Composite 3D Demonstrator.
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Click to get this free report BOEING CO (BA): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Therefore, it will help Stratasys gain competitive advantage over players like 3D Systems Corp. DDD . 3D Printing Market The 3D printing market presents a favorable long-term investment opportunity as a large number of engineers, designers, architects and entrepreneurs are resorting to 3D solutions for their primary designing and product modeling.
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Therefore, it will help Stratasys gain competitive advantage over players like 3D Systems Corp. DDD . Click to get this free report BOEING CO (BA): Free Stock Analysis Report FORD MOTOR CO (F): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. The 3D printing company recently entered into a few strategic partnerships with the likes of The Boeing Co. BA , Ford Motor Co. F and Siemens.
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4947f1f0-7574-4f62-b589-5e2484b7e6eb
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717178.0
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2016-08-23 00:00:00 UTC
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3 Beaten-Up 3D Printing Stocks: Are They Bargains?
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DDD
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https://www.nasdaq.com/articles/3-beaten-3d-printing-stocks-are-they-bargains-2016-08-23
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DDD data by YCharts .
Although investors have soured on 3D printing stocks in recent years, the long-term growth prospects remain attractive. According to Wohlers Report 2014, a leading 3D printing insights report, the 3D printing industry is estimated to generate over $21 billion in worldwide revenue by 2020. If true, this growth would represent a more than fourfold increase from the $5.1 billion in revenue the industry generated in 2015.
In the context of falling 3D printing stocks, this growth potential could spell opportunity. But are these beaten-up 3D printing stocks bargains?
3D Systems
Based on popular valuation metrics, 3D Systems' stock mostly trades at premium to the S&P 500 :
Data sources: Multpl, State Street Global Advisors, Yahoo! Finance, and The Wall Street Journal .
Despite its premium valuation, 3D Systems faces a number of challenges that its freshly installed management team is working to overcome. One of the more concerning issues is that the company's printer sales fell 30% year over year in the second quarter -- a steeper decline from the first quarter's 17% fall.
After all, 3D Systems operates a razor-and-blades business model where 3D printer sales fuel the subsequent and repeated sale of higher-margin materials that are consumed as a printer is used. Arguably, if 3D Systems' printer sales continue to remain weak, it could undermine the potential of these future revenue streams. Going forward, 3D Systems hopes to increase demand of its printers by emphasizing manufacturing solutions .
Stratasys
Unlike 3D Systems, Stratasys sports a much more palatable valuation:
Data sources: Multpl, State Street Global Advisors, Yahoo! Finance, and The Wall Street Journal .
Aside from this notable difference in valuation, 3D Systems and Stratasys performed similarly during the second quarter. Both companies experienced falling printer sales, improved material sales, and cut costs in order to narrow their operating losses.
During the second quarter, Stratasys' 3D printer sales fell 19% year over year -- a slightly steeper fall from the 14% decline in the first quarter. Additionally, Stratasys' consumable revenue increased 11% year over year and its operating loss narrowed from $33.5 million to $17.1 million, thanks to operating expenses falling 17%. For perspective, 3D Systems' second-quarter material sales increased 11.5% year over year and its operating expenses fell 20.2%.
Proto Labs
After a 30% fall from its all-time high, Proto Labs' stock remains richly valued:
Data sources: Multpl, State Street Global Advisors, Yahoo! Finance, and The Wall Street Journal .
While Proto Labs' business hasn't been hit with the customer spending slowdown that's affected 3D Systems and Stratasys since early 2015, the company's overall growth and profitability has recently begun to slow .
Specifically, Proto Labs' second-quarter revenue increased 17% year over year to a record $75 million. However, without the benefit of Alphaform AG, a German 3D printing service provider Proto Labs acquired in October, the company's legacy revenue only increased 10% year over year.
What's more, Proto Labs' operating expenses increased by a blistering 35.6% year over year -- far outpacing its revenue growth, which cut into its profitability. Proto Labs' second-quarter net income was essentially flat compared to last year.
A potential pitfall
Between the three, Stratasys appears to be the only 3D printing stock that (mostly) trades at a discount to the overall stock market. However, a fallen stock price often suggests that a business has challenges to overcome. In other words, buying Stratasys could offer investors the greatest margin of safety of the group, but it could also mean that the market views the company as the lowest quality -- with the most problems to overcome.
Ultimately, investors interested in buying a bargain stock should carefully consider the health of the underlying business and its future prospects, all in the context of its current stock price.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems and Proto Labs. The Motley Fool owns shares of and recommends Proto Labs. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DDD data by YCharts . Despite its premium valuation, 3D Systems faces a number of challenges that its freshly installed management team is working to overcome. While Proto Labs' business hasn't been hit with the customer spending slowdown that's affected 3D Systems and Stratasys since early 2015, the company's overall growth and profitability has recently begun to slow .
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DDD data by YCharts . Stratasys Unlike 3D Systems, Stratasys sports a much more palatable valuation: Data sources: Multpl, State Street Global Advisors, Yahoo! Additionally, Stratasys' consumable revenue increased 11% year over year and its operating loss narrowed from $33.5 million to $17.1 million, thanks to operating expenses falling 17%.
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DDD data by YCharts . Additionally, Stratasys' consumable revenue increased 11% year over year and its operating loss narrowed from $33.5 million to $17.1 million, thanks to operating expenses falling 17%. Proto Labs After a 30% fall from its all-time high, Proto Labs' stock remains richly valued: Data sources: Multpl, State Street Global Advisors, Yahoo!
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DDD data by YCharts . Specifically, Proto Labs' second-quarter revenue increased 17% year over year to a record $75 million. What's more, Proto Labs' operating expenses increased by a blistering 35.6% year over year -- far outpacing its revenue growth, which cut into its profitability.
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74c5a99c-427f-47e1-aa87-554cfc984486
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717179.0
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2016-08-22 00:00:00 UTC
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Interested in 3D Printing Stocks and ETFs? Check Out the First 3D Printing ETF in the U.S.
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DDD
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https://www.nasdaq.com/articles/interested-3d-printing-stocks-and-etfs-check-out-first-3d-printing-etf-us-2016-08-22
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Are you interested in investing in 3D printing stocks, but not sure which one to choose? You could consider investing in the 3D Printing ETF, the first exchange-traded fund in the U.S. to focus solely on the 3D printing ecosystem. This ETF, which trades under the ticker PRNT, launched on July 19.
We're going to pop open the hood of this relatively new investment vehicle to see if it's worthy of your investment dollars.
The 3D Printing ETF's goal, holdings, and expense ratio
The 3D Printing ETF, issued by Ark Investment Management, is an index-based fund, not an actively managed one. Its goal is to provide investment results that closely correspond, before fees and expenses, to the performance of the Total 3D-Printing Index, which is designed to track the price movements of stocks of companies involved in the 3D printing industry.
The 3D Printing ETF launched with 40 holdings and will be rebalanced quarterly. The weighted-average market cap of the portfolio is $18 billion, while the median market cap is $2 billion. The weighting system is multi-factor; two factors are likely application and geographic location. The fund's expense ratio is 0.66%, which is on the low side, as one might expect, because this is an index-based fund.
Here are the fund's top-10 holdings:
Data source: Ark Investment Management. *SLM Solutions, which is listed on the Frankfurt stock exchange, does not trade on any U.S. stock exchanges. **Groupe George is listed on the Paris Stock Exchange under GEO, but also trades over the counter in the U.S. under GGRGF. Arcam is listed on the Stockholm exchange under ARCM, but also trades over the counter in the U.S., under AMAVF.
Let's start with the names most familiar to 3D printing investors.
The leading diversified 3D printing companies, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) , are the fund's Nos. 8 and 9 largest holdings, respectively. Both companies are pure plays, meaning they're solely involved in 3D printing. 3D Systems and Stratasys both make 3D printers for commercial and industrial markets, though Stratasys also has a desktop unit, MakerBot, which primarily targets professional and educational markets. Both companies also have sizable on-demand 3D printing service operations.
3D Systems and Stratasys -- along with other 3D printer manufacturers, such as voxeljet -- have been struggling to grow revenue since early 2015 when a slowdown in demand among enterprise customers began. Several factors are likely at play: a glut of 3D printers in the field due to the large number that were purchased in the previous few years, increased competition that has lengthened the sales cycle, and companies delaying purchases to see what new offering would (and will) soon come to market.
The latter reason is a good lead-in to HP Inc. (NYSE: HPQ) . The 2D printing giant is one of two companies, along with start-up Carbon (formerly Carbon3D), whose planned entrance into the market had been greatly anticipated for some time. HP's 3D printer launch occurred in May, following Carbon's in April. Both companies' printers reportedly sport compelling features, including speed advantages over machines powered by the leading 3D printing technologies. HP is a huge company, so its nascent 3D printing business will most likely account for a very small portion of its total revenue for some time.
ExOne makes 3D printers for heavy industrial applications that can print in metal, sand, and glass. Arcam's primary business is making metal 3D printers for the orthopedic implant and aerospace industries.
OrganovoHoldings (NASDAQ: ONVO) and K2M Group are involved in the medical realm. Organovo is a biotech stock that uses its proprietary 3D printing technology to "3D bioprint" human tissues and organs. The products are primarily used for pharmaceutical testing, but the company's long-term goal is to produce organs for human transplantation. K2M is a medical device company that uses its proprietary 3D printing tech to produce some of its spine products.
Groupe George is primarily involved in the industrial safety business; it entered the 3D printing market in 2013 via an acquisition. SLM Solutions focuses on making 3D printers that print in metals for customers in a wide range of industries.
The ETF's holdings 11 through 20 are Microsoft, PTC Inc., Trimble Navigation, Dassault Systemes, Mentor Graphics, Anasys, Exa Corp., Mensch Und Maschine Software, and Ultra Clean Holdings.
The 3D Printing ETF's performance
The 3D Printing ETF has risen 5.3% since it launched about a month ago. Investors shouldn't expect monthly increases of this magnitude, which equates to an annualized return of more than 63%.
Data by YCharts .
3D Systems and Stratasys are included in the above chart for context because they're the leading diversified 3D printing companies, and investors are familiar with them. Both companies have performed well recently, but nothing substantial has changed with respect to their business performances.
Here's a look at the performances of nine of the top-10 stocks in the portfolio. (SML Solutions doesn't trade on a U.S. stock exchange, so it couldn't be included.)
Data by YCharts .
Takeaway
ETFs can have a place in some investors' portfolios. If you believe the 3D printing space is attractive, but aren't sure which one or two or three stocks to bet on, you might consider exploring investing in The 3D Printing ETF. The expense ratio, while not as low as index funds offered by fund-titan Vanguard, is reasonable.
Investors should know that this fund isn't slanted toward larger-cap companies, pure plays, or what many might think of as more "typical" 3D printing plays. Organovo, the ETF's largest holding, is essentially a small-cap biotech company -- and it's unprofitable. HP, the fund's third-largest holding, is about as far from a pure-play 3D printing stock as one can get. Smaller caps voxeljet and ExOne are more heavily weighted than 3D Systems and Stratasys.
While it's not the index that I'd put together, it does a decent job representing the very broad 3D printing space.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The leading diversified 3D printing companies, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) , are the fund's Nos. Its goal is to provide investment results that closely correspond, before fees and expenses, to the performance of the Total 3D-Printing Index, which is designed to track the price movements of stocks of companies involved in the 3D printing industry. 3D Systems and Stratasys -- along with other 3D printer manufacturers, such as voxeljet -- have been struggling to grow revenue since early 2015 when a slowdown in demand among enterprise customers began.
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The leading diversified 3D printing companies, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) , are the fund's Nos. The 3D Printing ETF's goal, holdings, and expense ratio The 3D Printing ETF, issued by Ark Investment Management, is an index-based fund, not an actively managed one. SLM Solutions focuses on making 3D printers that print in metals for customers in a wide range of industries.
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The leading diversified 3D printing companies, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) , are the fund's Nos. The 3D Printing ETF's goal, holdings, and expense ratio The 3D Printing ETF, issued by Ark Investment Management, is an index-based fund, not an actively managed one. The 3D Printing ETF's performance The 3D Printing ETF has risen 5.3% since it launched about a month ago.
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The leading diversified 3D printing companies, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) , are the fund's Nos. Its goal is to provide investment results that closely correspond, before fees and expenses, to the performance of the Total 3D-Printing Index, which is designed to track the price movements of stocks of companies involved in the 3D printing industry. Here are the fund's top-10 holdings: Data source: Ark Investment Management.
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112df676-c217-45e6-93a7-cdb92e74c5a6
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717180.0
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2016-08-22 00:00:00 UTC
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Notable Monday Option Activity: DDD, WFM, ISIL
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DDD
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https://www.nasdaq.com/articles/notable-monday-option-activity-ddd-wfm-isil-2016-08-22
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in 3D Systems Corp. (Symbol: DDD), where a total volume of 14,512 contracts has been traded thus far today, a contract volume which is representative of approximately 1.5 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 43.2% of DDD's average daily trading volume over the past month, of 3.4 million shares. Particularly high volume was seen for the $16 strike call option expiring August 26, 2016 , with 2,203 contracts trading so far today, representing approximately 220,300 underlying shares of DDD. Below is a chart showing DDD's trailing twelve month trading history, with the $16 strike highlighted in orange:
Whole Foods Market, Inc. (Symbol: WFM) options are showing a volume of 28,882 contracts thus far today. That number of contracts represents approximately 2.9 million underlying shares, working out to a sizeable 42.7% of WFM's average daily trading volume over the past month, of 6.8 million shares. Especially high volume was seen for the $31 strike call option expiring August 26, 2016 , with 6,445 contracts trading so far today, representing approximately 644,500 underlying shares of WFM. Below is a chart showing WFM's trailing twelve month trading history, with the $31 strike highlighted in orange:
And Intersil Corp. (Symbol: ISIL) options are showing a volume of 4,042 contracts thus far today. That number of contracts represents approximately 404,200 underlying shares, working out to a sizeable 42.4% of ISIL's average daily trading volume over the past month, of 953,825 shares. Especially high volume was seen for the $19 strike call option expiring September 16, 2016 , with 2,138 contracts trading so far today, representing approximately 213,800 underlying shares of ISIL. Below is a chart showing ISIL's trailing twelve month trading history, with the $19 strike highlighted in orange:
For the various different available expirations for DDD options , WFM options , or ISIL options , visit StockOptionsChannel.com.
Today's Most Active Call & Put Options of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Particularly high volume was seen for the $16 strike call option expiring August 26, 2016 , with 2,203 contracts trading so far today, representing approximately 220,300 underlying shares of DDD. Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in 3D Systems Corp. (Symbol: DDD), where a total volume of 14,512 contracts has been traded thus far today, a contract volume which is representative of approximately 1.5 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 43.2% of DDD's average daily trading volume over the past month, of 3.4 million shares.
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Below is a chart showing DDD's trailing twelve month trading history, with the $16 strike highlighted in orange: Whole Foods Market, Inc. (Symbol: WFM) options are showing a volume of 28,882 contracts thus far today. Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in 3D Systems Corp. (Symbol: DDD), where a total volume of 14,512 contracts has been traded thus far today, a contract volume which is representative of approximately 1.5 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 43.2% of DDD's average daily trading volume over the past month, of 3.4 million shares.
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in 3D Systems Corp. (Symbol: DDD), where a total volume of 14,512 contracts has been traded thus far today, a contract volume which is representative of approximately 1.5 million underlying shares (given that every 1 contract represents 100 underlying shares). Particularly high volume was seen for the $16 strike call option expiring August 26, 2016 , with 2,203 contracts trading so far today, representing approximately 220,300 underlying shares of DDD. That number works out to 43.2% of DDD's average daily trading volume over the past month, of 3.4 million shares.
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Looking at options trading activity among components of the Russell 3000 index, there is noteworthy activity today in 3D Systems Corp. (Symbol: DDD), where a total volume of 14,512 contracts has been traded thus far today, a contract volume which is representative of approximately 1.5 million underlying shares (given that every 1 contract represents 100 underlying shares). Below is a chart showing ISIL's trailing twelve month trading history, with the $19 strike highlighted in orange: For the various different available expirations for DDD options , WFM options , or ISIL options , visit StockOptionsChannel.com. That number works out to 43.2% of DDD's average daily trading volume over the past month, of 3.4 million shares.
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1d76d5dd-5d1d-4f3a-91f9-949f8449a552
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717181.0
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2016-08-20 00:00:00 UTC
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A 5-Point Checklist for Investing in 3D Printing Stocks
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https://www.nasdaq.com/articles/5-point-checklist-investing-3d-printing-stocks-2016-08-20
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Image source: Hewlett-Packard.
According to Wohlers Report 2016, a leading 3D printing insights report, the 3D printing industry generated more than $5.1 billion in worldwide revenue last year, a 25.9% year-over-year increase. By the end of 2020, Wohlers estimates that 3D printing will generate over $21 billion in revenue, an over fourfold increase from 2015 levels.
Before investing in 3D printing and trying capitalize on the expected growth it has to offer, it's important to have a fundamental understanding of the landscape. The following checklist will help you get started.
1. Understand the business model
First and foremost, have a solid understanding of how a 3D printing company makes money, which can differ greatly from one company to another.
For instance, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) primarily operate a razor-and-blades model, where 3D printer sales fuel the usage -- and subsequent sale -- of higher-margin materials over a printer's lifetime. Proto Labs (NYSE: PRLB) , on the other hand, is a 3D printing and quick-turn manufacturing service provider that lets customers get 3D printed and manufactured parts made on their behalf.
While both business models can capitalize on 3D printing's growth, they operate with completely different cost structures that drive profitability.
2. Estimate the market opportunity
Estimating a 3D printing company's market opportunity can be a difficult task. One way to approach it is from the perspective of a business' ability to target use cases. Generally speaking, the more uses that a 3D printing company can cater to, the greater its market opportunity.
In this context, 3D Systems' market opportunity is likely larger than Stratasys'. After all, 3D Systems has seven distinct 3D printing technologies in its portfolio to offer customers, including the ability to 3D print in metal, whereas Stratasys only offers three technologies -- all of them plastic-based.
For a service provider like Proto Labs, its opportunity is directly correlated to the types of technology it adopts and the number of materials it offers customers.
3. Think through differentiation
In order for a 3D printing company to sustain a competitive advantage in the market, it has to be differentiated, which can take on many forms. It could be an innovative technology, business model, process, specialization, or even a high barrier to entry.
One notably differentiated example is Carbon's recently introduced M1 printer, which claims to be anywhere from 25 to 100 times faster than anything before it. Moreover, the M1 can only be acquired through an industry-first subscription model, which requires a three-year, $40,000-per-year minimum commitment. For this price, users get an internet-connected 3D printer (another industry first) that gets better over time through over-the-air updates, in similar fashion to how Tesla Motors releases software updates for its electric vehicles.
4. Size up the competition
The attractive growth prospects of the 3D printing industry has invited new competition, which can undermine an incumbent 3D printing company's competitive positioning. In addition to Carbon, Hewlett-Packard (NYSE: HPQ) plans to enter the 3D printing industry later this year with a homegrown technology that leverages decades of inkjet experience. HP claims its Multi Jet Fusion printer will be 10 times faster than leading technologies on the market today.
Arguably, since Carbon and HP are focused on the plastic segment, Stratasys faces greater competitive pressure from these entrants than 3D Systems, which has a more diversified business model outside of plastic-based 3D printers.
In other words, the threat that competition poses on a 3D printing company should be evaluated on a case-by-case basis.
5. Understand the risks
Much like competitive threats, risks that affect one 3D printing company may not apply to another. At the same time, there are risks that affect the 3D printing industry in general. Overall, it's important to understand the risks that are specific to the company and the industry.
One such "global" risk is the ongoing slowdown in professional and industrial demand that began in early 2015, and has affected virtually every company that caters to the space. Most recently, in the second quarter, 3D Systems' printer sales fell 30% year over year, while Stratasys' printer sales fell 19%.
Another global risk is how a large portion of the 3D printing's expected growth trajectory is based on the technology's continued expansion into manufacturing uses. Although 3D printing offers promise for use in manufacturing, it remains a largely unproven technology in this realm. If 3D printing's adoption in manufacturing uses struggles to gain traction, it could change the growth outlook of the entire industry.
The next step
Between increased competition and improved capabilities, the 3D printing industry is widely expected to change in the coming years. This change is likely to make 3D printing stocks a volatile group for the foreseeable future. Ultimately, these factors increase the importance of continuously monitoring your 3D printing investments for material changes.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems, Proto Labs, and Tesla Motors. The Motley Fool owns shares of and recommends Proto Labs and Tesla Motors. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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For instance, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) primarily operate a razor-and-blades model, where 3D printer sales fuel the usage -- and subsequent sale -- of higher-margin materials over a printer's lifetime. For a service provider like Proto Labs, its opportunity is directly correlated to the types of technology it adopts and the number of materials it offers customers. In addition to Carbon, Hewlett-Packard (NYSE: HPQ) plans to enter the 3D printing industry later this year with a homegrown technology that leverages decades of inkjet experience.
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For instance, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) primarily operate a razor-and-blades model, where 3D printer sales fuel the usage -- and subsequent sale -- of higher-margin materials over a printer's lifetime. According to Wohlers Report 2016, a leading 3D printing insights report, the 3D printing industry generated more than $5.1 billion in worldwide revenue last year, a 25.9% year-over-year increase. Most recently, in the second quarter, 3D Systems' printer sales fell 30% year over year, while Stratasys' printer sales fell 19%.
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For instance, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) primarily operate a razor-and-blades model, where 3D printer sales fuel the usage -- and subsequent sale -- of higher-margin materials over a printer's lifetime. Proto Labs (NYSE: PRLB) , on the other hand, is a 3D printing and quick-turn manufacturing service provider that lets customers get 3D printed and manufactured parts made on their behalf. After all, 3D Systems has seven distinct 3D printing technologies in its portfolio to offer customers, including the ability to 3D print in metal, whereas Stratasys only offers three technologies -- all of them plastic-based.
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For instance, 3D Systems (NYSE: DDD) and Stratasys (NASDAQ: SSYS) primarily operate a razor-and-blades model, where 3D printer sales fuel the usage -- and subsequent sale -- of higher-margin materials over a printer's lifetime. After all, 3D Systems has seven distinct 3D printing technologies in its portfolio to offer customers, including the ability to 3D print in metal, whereas Stratasys only offers three technologies -- all of them plastic-based. Understand the risks Much like competitive threats, risks that affect one 3D printing company may not apply to another.
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ad8f757a-55d6-4d75-850e-2edad82d8639
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717182.0
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2016-08-14 00:00:00 UTC
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3D Systems Corporation's Best Business Segment in 2016 So Far
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https://www.nasdaq.com/articles/3d-systems-corporations-best-business-segment-2016-so-far-2016-08-14
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Simulating a medical procedure. Image source: 3D Systems.
Thus far, 2016 has been a challenging for 3D Systems (NYSE: DDD) . During the first six months of 2016, the 3D printer maker's revenue fell 6.2% year over year to $310.7 million. This weakness was primarily driven by falling 3D printer sales - an ongoing issue since customer demand began slowing in early 2015. Most recently, 3D Systems' second-quarter 3D printer sales fell 30% year over year -- a steeper fall from the 17% decline in the first quarter.
As concerning as it is for a 3D printer company's printer sales to be falling at an accelerated rate, 2016 hasn't been an entirely negative situation for 3D Systems. Most notably, 3D Systems' healthcare segment has been a steady growth engine -- arguably the company's best business segment in 2016 so far.
Holistic healthcare
3D Systems has taken a holistic approach in healthcare. Its offerings enable customers to simulate, plan, rehearse surgeries, as well as 3D print surgical instruments, medical implants, and dental devices. According to 3D Systems' CEO Vyomesh Joshi, this end-to-end approach -- from conceptualization to final product -- has been a major contributor to 3D Systems' success in healthcare.
Data source: 3D Systems.
Against the backdrop of falling 3D printer sales, taking a holistic approach appears to resonate well with customers. It also reinforces that there's likely an opportunity for 3D printing companies to generate meaningful growth outside of 3D printer sales.
A blueprint for success
During 3D Systems' second-quarterearnings call Joshi highlighted that he wants to replicate the company's successful approach in healthcare to other major target segments as a way to drive growth:
Essentially, 3D Systems wants to build a complete suite of offerings that cater to specific markets and enable customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow. Given this emphasis, which Joshi believes is a more valuable proposition than merely offering a 3D printer for sale, it's clear that 3D Systems wants to own more of the 3D printing process in the future.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Thus far, 2016 has been a challenging for 3D Systems (NYSE: DDD) . Its offerings enable customers to simulate, plan, rehearse surgeries, as well as 3D print surgical instruments, medical implants, and dental devices. A blueprint for success During 3D Systems' second-quarterearnings call Joshi highlighted that he wants to replicate the company's successful approach in healthcare to other major target segments as a way to drive growth: Essentially, 3D Systems wants to build a complete suite of offerings that cater to specific markets and enable customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Thus far, 2016 has been a challenging for 3D Systems (NYSE: DDD) . Most recently, 3D Systems' second-quarter 3D printer sales fell 30% year over year -- a steeper fall from the 17% decline in the first quarter.
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Thus far, 2016 has been a challenging for 3D Systems (NYSE: DDD) . As concerning as it is for a 3D printer company's printer sales to be falling at an accelerated rate, 2016 hasn't been an entirely negative situation for 3D Systems. According to 3D Systems' CEO Vyomesh Joshi, this end-to-end approach -- from conceptualization to final product -- has been a major contributor to 3D Systems' success in healthcare.
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Thus far, 2016 has been a challenging for 3D Systems (NYSE: DDD) . As concerning as it is for a 3D printer company's printer sales to be falling at an accelerated rate, 2016 hasn't been an entirely negative situation for 3D Systems. Its offerings enable customers to simulate, plan, rehearse surgeries, as well as 3D print surgical instruments, medical implants, and dental devices.
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76cbc6da-8f4b-486a-acb2-7696421a0712
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717183.0
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2016-08-13 00:00:00 UTC
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Where Will 3D Systems Be in 10 Years?
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https://www.nasdaq.com/articles/where-will-3d-systems-be-10-years-2016-08-13
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The last decade has not been kind to investors in three-dimensional printer manufacturer 3D Systems (NYSE: DDD) . Will the next 10 years be any kinder?
From August 2006 to August 2016, 3D Systems' stock almost made a complete (short) circuit , rising from a single-digit stock price to approach $100 a share, only to lose nearly all of its gains and end up close to where it began. Now, as we peer into the future, we've asked three Fool contributors to dust off their crystal balls and predict what the next decade might hold for 3D Systems.
Here's what they came up with.
Image source: Getty Images.
Expect an ongoing transformation and a focus on healthcare
Sean Williams: There's little denying that the past two-and-a-half years have been miserable for shareholders of 3D Systems. A slowdown in enterprise orders, which was likely precipitated by some mixture of slowing U.S. economic growth, increased 3D printing competition, and the desire of enterprise customers to see what new products could soon be coming to market, has weighed on the industry. So, what's next for an industry giant like 3D Systems? That's the big question.
As is often the case with next-generation technology, investors overestimate its immediate impact and bid company valuations well beyond a reasonable level. In my opinion, 3D Systems could be thriving 10 years from now, but not before undergoing a few major transformations first.
For example, in late 2015, 3D Systems announced the end of its entry-level 3D printer, the Cube, after demand proved lukewarm at best. Wall Street had been banking on consumer-level adoption of 3D printers as one of their strongest growth drivers, but it doesn't appear that'll happen anytime soon. Though the move only reduced revenue by about 2%, ending the consumer line took the wind right out of shareholders' sails. It's possible we could see 3D Systems move away from other ventures, too, after it figures out which products and segments offer the best bang for the buck.
Let's not forget that 3D Systems purchased more than 30 companies between 2009 and 2012, and it takes time to integrate those businesses to realize cost synergies and understand how those products can best impact 3D Systems' customers. We may still be witnessing the disorganization created by 3D Systems' half-decade-long buying spree. I should hope that in 10 years 3D Systems has abandoned its M&A-focused growth strategy and chosen to grow organically.
Where I believe 3D Systems has an opportunity to really shine is in healthcare. Baby boomers are aging, and the U.S. Census Bureau predicts that by 2050 we'll have 83.7 million elderly Americans, up from around 43 million in 2012. That means more people reliant on medicine and medical devices to make their lives easier. That's where the ongoing push to personalize medicine comes into play. 3D Systems is developing everything from implants to dental aligners and hearing aids for the healthcare industry. Furthermore, it should have no problem maintaining its pricing power on the healthcare side of the equation thanks to rising costs from prescription drugmakers.
If healthcare solutions become 3D Systems' most robust industry in 10 years, my forecast would be to expect the stock to be notably higher then than it is now.
Expect the best, fear the worst?
Rich Smith : Notably higher? That's one possible outcome, I suppose -- but it's not the one I'd predict.
Remember, while most of us only became familiar with the 3D printing revolution in industry a few short years ago, 3D Systems' stock has been around a lot longer. For most of the company's history, though, it's been pretty much a dud, with a stock price stuck in the single digits.
DDD Total Return Price data by YCharts .
Why is that? Here are a few clues. According to data from S&P Global Market Intelligence , 3D Systems has grown its revenues at an average 27% annual clip over the past five years. Profit growth, on the other hand, has been anything but consistent. Emerging from GAAP losses into GAAP profitability only in 2009, 3D Systems' stock rocketed to $44 million in annual net profit by 2013, fueling hopes of boundless profits in years to come. Instead of that outcome, though, profits stalled in 2014 -- falling 74% -- then fell clean off the cliff last year, as the company began reporting massive losses on its income statement.
3D Systems lost more than $655 million last year, or more than three times as much profit as it had reported over the preceding 25 years combined -- an entire corporate lifetime's worth of profits, wiped out in just one year.
So, will 2015 prove fatal to 3D Systems? Is it "the beginning of the end," and the start of a trend that will end in the company's bankruptcy? That would be a nice, clear "10 year forecast" to make. In truth, though, I don't believe that's the fate that awaits the company, which boasts a cash-rich balance sheet, no long-term debt, and reasonable levels of free-cash-flow generation, despite the lack of GAAP profits.
Rather, I see slowing sales, stagnating profit margins, and heightened competition from the likes of HP Inc. combining to consign 3D Systems stock to its historical pattern of subpar performance and low stock prices in future years. It's not bankruptcy that I predict, therefore, but merely uninspiring performance as an investment.
Heller-berg's uncertainty principle
Steve Heller: In an industry that's been changing as quickly as 3D printing has, there's no telling where 3D Systems will be in 10 years. Despite this uncertainty, I still think the company's long-term success hinges on its ability to offer compelling manufacturing solutions to the market.
Over the next 10 years, I expect 3D printing to have fully transitioned from primarily being a prototyping technology to being a viable manufacturing technology. Currently, 3D printing is at the point where it's trying to "cross the chasm" into manufacturing applications. These efforts have been slow going and challenging, as customers are not quite ready to fully embrace the Third Industrial Revolution, a term coined by The Economist that envisions 3D printing sparking a paradigm shift in how the world approaches design and manufacturing.
Eventually, when this chasm is crossed, because of greater customer acceptance and the continued evolution of the technology, the opportunity surrounding using 3D printing to manufacture final parts and products will far exceed -- by orders of magnitude -- prototyping applications. After all, designers usually only makes dozens of prototypes compared to the thousands -- and sometimes millions -- of final parts produced.
From a business standpoint, 3D Systems operates a razor-and-blades model where 3D printer usage fuels the recurring sales of materials, which tend to command higher profit margins. Since manufacturing uses are likely to drive higher usage rates than prototyping, 3D Systems will have more opportunities to generate recurring sales of materials.
In other words, if 3D Systems can successfully cater to manufacturing applications, a strategy it recently started to emphasize , the company is likely to increase the lifetime value of its customer base.
The future's uncertain, but 3D Systems' end is nowhere near
And maybe that's the best way to sum up the next 10 years -- not just for 3D Systems' stock in particular, but for 3D printing in general.
In an industry this young, it's not easy to pick the ultimate winners and losers. 3D Systems might "win" the 3D printing revolution, or it might not. With strong cash flow and a well-managed balance sheet, though, we can say with some assurance that while we don't know whether 3D Systems will win or lose, it's well-positioned to claim a place in this industry -- today and for years to come.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early, in-the-know investors! To be one of them, just click here .
Rich Smith has no position in any stocks mentioned. Sean Williams has no position in any stocks mentioned. Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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The last decade has not been kind to investors in three-dimensional printer manufacturer 3D Systems (NYSE: DDD) . DDD Total Return Price data by YCharts . In truth, though, I don't believe that's the fate that awaits the company, which boasts a cash-rich balance sheet, no long-term debt, and reasonable levels of free-cash-flow generation, despite the lack of GAAP profits.
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The last decade has not been kind to investors in three-dimensional printer manufacturer 3D Systems (NYSE: DDD) . DDD Total Return Price data by YCharts . If healthcare solutions become 3D Systems' most robust industry in 10 years, my forecast would be to expect the stock to be notably higher then than it is now.
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The last decade has not been kind to investors in three-dimensional printer manufacturer 3D Systems (NYSE: DDD) . DDD Total Return Price data by YCharts . Emerging from GAAP losses into GAAP profitability only in 2009, 3D Systems' stock rocketed to $44 million in annual net profit by 2013, fueling hopes of boundless profits in years to come.
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The last decade has not been kind to investors in three-dimensional printer manufacturer 3D Systems (NYSE: DDD) . DDD Total Return Price data by YCharts . Expect an ongoing transformation and a focus on healthcare Sean Williams: There's little denying that the past two-and-a-half years have been miserable for shareholders of 3D Systems.
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717184.0
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2016-08-12 00:00:00 UTC
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3D Systems Corporation's Most Disappointing Segment in 2016 So Far
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https://www.nasdaq.com/articles/3d-systems-corporations-most-disappointing-segment-2016-so-far-2016-08-12
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Demand for 3D printers has slowed notably in 2016. Image source: 3D Systems.
After six months of results, it's looking like 2016 is shaping up to be a transition year for 3D Systems (NYSE: DDD) . During this time, 3D Systems' revenue has fallen 6.2% compared to the same six-month period in 2015. For the most part, 3D Systems' falling sales can be attributed to the widespread slowdown in customer spending that's affected the industrial and professional 3D printing markets since the start of 2016.
Out of all of 3D Systems' segments, this slowdown has put the most pressure on its 3D printer sales, making it the company's most disappointing segment in 2016 so far.
From bad to worse
3D Systems' 3D printer sales have gone from bad to worse in 2016. Excluding consumer 3D printers, which 3D Systems' no longer offers, printer sales fell 17% year over year in the first quarter and 30% in the second quarter. This worsening situation suggests that demand has yet to stabilize for 3D printers -- a potentially worrying sign for investors.
After all, each printer sale fuels the repeated sales of materials, which tend to command higher margins. Without healthy growth of 3D printer sales, the long-term prospects of this margin-enhancing revenue stream come into question.
Signs of encouragement
The prevailing theory behind the widespread slowdown in 3D printer spending is that customers have an oversupply of 3D printing capacity on their hands, which is prompting them to increase the utilization of their existing printer systems instead of purchasing new printers.
Judging by 3D Systems' rising material sales, which increased 7.5% to $79.1 million during the first six months of 2016, this theory may hold some truth. It suggests that utilization of its previously sold 3D printers is on the rise, and existing customers may be finding more uses -- and greater value -- out of their printers.
The bigger picture
Being a 3D printer hardware company first and foremost, it's certainly not ideal that 3D Systems' printer sales are struggling in 2016. However, it's worth noting that 3D Systems is growing its installed base of 3D printers with each sale it makes, regardless of growth rate. Technically, each 3D printer sale creates a potential stream of recurring revenue that's realized over the printer's lifetime. In other words, as long as 3D Systems sells more 3D printers, the base from which it can generate recurring sales of materials continues to grow -- albeit much slower than if printer sales were increasing.
Going forward, 3D Systems will continue to build out and emphasize its manufacturing solutions over its prototyping solutions as a way to drive 3D printer sales. But until printer sales pick up, 3D Systems doesn't seem likely to realize its full potential.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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After six months of results, it's looking like 2016 is shaping up to be a transition year for 3D Systems (NYSE: DDD) . For the most part, 3D Systems' falling sales can be attributed to the widespread slowdown in customer spending that's affected the industrial and professional 3D printing markets since the start of 2016. Without healthy growth of 3D printer sales, the long-term prospects of this margin-enhancing revenue stream come into question.
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After six months of results, it's looking like 2016 is shaping up to be a transition year for 3D Systems (NYSE: DDD) . From bad to worse 3D Systems' 3D printer sales have gone from bad to worse in 2016. Judging by 3D Systems' rising material sales, which increased 7.5% to $79.1 million during the first six months of 2016, this theory may hold some truth.
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After six months of results, it's looking like 2016 is shaping up to be a transition year for 3D Systems (NYSE: DDD) . Excluding consumer 3D printers, which 3D Systems' no longer offers, printer sales fell 17% year over year in the first quarter and 30% in the second quarter. Signs of encouragement The prevailing theory behind the widespread slowdown in 3D printer spending is that customers have an oversupply of 3D printing capacity on their hands, which is prompting them to increase the utilization of their existing printer systems instead of purchasing new printers.
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After six months of results, it's looking like 2016 is shaping up to be a transition year for 3D Systems (NYSE: DDD) . This worsening situation suggests that demand has yet to stabilize for 3D printers -- a potentially worrying sign for investors. Judging by 3D Systems' rising material sales, which increased 7.5% to $79.1 million during the first six months of 2016, this theory may hold some truth.
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826577d9-6ed0-4949-a48f-64d023a83248
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717185.0
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2016-08-10 00:00:00 UTC
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3 Reasons 3D Systems Corporation's Stock Could Fall
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https://www.nasdaq.com/articles/3-reasons-3d-systems-corporations-stock-could-fall-2016-08-10
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nan
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Demand for industrial 3D printers has slowed notably over the last 18 months. Image source: 3D Systems.
As long as a stock remains above $0, there's no rule in investing that says a falling stock can't fall further. After all, a company's fundamentals could deteriorate to the point that it negatively impacts the company's long-term earnings potential, which prompts investors to head for the exit. Unfortunately, even after 3D Systems (NYSE: DDD) has fallen over 80% since its all-time high, there's the risk that things could still get worse from here.
Here are three reasons 3D Systems could fall further.
3D Systems doesn't innovate fast enough
With the recent introduction of Carbon's M1 3D printer and Hewlett-Packard 's(NYSE: HPQ) upcoming release of its Multi Jet Fusion printer , 3D Systems faces more competition than ever before. Considering that both of these technologies are significantly faster at building parts than 3D Systems' offerings, they threaten to undermine the company's competitive positioning in the market.
Although management has recently remarked that it hasn't seen mounting competitive pressure, the company hasn't been forthcoming about how it plans to respond to these new technologies -- and how quickly it plans to do so.
Essentially, there are two risks that could weaken 3D Systems' competitive positioning. The first is that HP and Carbon take market share from it. The second is that 3D Systems doesn't respond quickly enough, giving HP and Carbon more time to extend their advantage. Ultimately, the magnitude of both risks could mean that 3D Systems struggles to maintain its positioning.
Joshi's actions don't improve 3D printer demand
3D Systems' recently-appointed CEO, Vyomesh Joshi, brings 32 years of experience as an HP executive and a track record of operational excellence . But with only four months on the job, Joshi hasn't objectively proven that he can replicate his previous successes at 3D Systems. The reason to be skeptical of Joshi's staging a turnaround is that the 3D printing industry has been seeing slowing demand for the past 18 months. Most recently, 3D Systems' second-quarter printer sales fell 30% year over year -- a significant acceleration from the 17% fall it reported in the first quarter.
Between the slowdown in demand, which hasn't shown any notable signs of improvement, and new competition coming online, 3D Systems may have to compete harder for less available business. In this scenario, it could prove challenging for 3D Systems to sell customers on how its offerings are differentiated.
Reseller woes
3D Systems currently sells its products directly to customers and through a network of resellers. Typically, 3D Systems' resellers are contractually obligated to sell only the company's products, meaning a 3D Systems reseller cannot also become a reseller for another 3D printer company.
However, if 3D Systems struggles to remain competitive in the future, its resellers may push for renegotiation to allow selling other 3D printing brands. In other words, the competitive environment can also have a major impact on 3D Systems' distribution channel.
During 3D Systems' second-quarterearnings call Joshi noted, "I don't think we are seeing any [reseller] turnover. There is lot of noise in the market, but we don't see any turnover." The risk is if this "noise" turns into action.
Look before you leap
As is always the case with investing, there are no guarantees, even when it comes to risks facing a company. However, being aware of the risks before making an investment is an important step in understanding the major factors that could derail an investment thesis. As far as 3D Systems is concerned, the majority of its risk currently hinges on how well the company navigates the uncertainties surrounding the competitive and macro environment.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Unfortunately, even after 3D Systems (NYSE: DDD) has fallen over 80% since its all-time high, there's the risk that things could still get worse from here. Considering that both of these technologies are significantly faster at building parts than 3D Systems' offerings, they threaten to undermine the company's competitive positioning in the market. Between the slowdown in demand, which hasn't shown any notable signs of improvement, and new competition coming online, 3D Systems may have to compete harder for less available business.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Unfortunately, even after 3D Systems (NYSE: DDD) has fallen over 80% since its all-time high, there's the risk that things could still get worse from here. Joshi's actions don't improve 3D printer demand 3D Systems' recently-appointed CEO, Vyomesh Joshi, brings 32 years of experience as an HP executive and a track record of operational excellence .
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Unfortunately, even after 3D Systems (NYSE: DDD) has fallen over 80% since its all-time high, there's the risk that things could still get worse from here. 3D Systems doesn't innovate fast enough With the recent introduction of Carbon's M1 3D printer and Hewlett-Packard 's(NYSE: HPQ) upcoming release of its Multi Jet Fusion printer , 3D Systems faces more competition than ever before. Joshi's actions don't improve 3D printer demand 3D Systems' recently-appointed CEO, Vyomesh Joshi, brings 32 years of experience as an HP executive and a track record of operational excellence .
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Unfortunately, even after 3D Systems (NYSE: DDD) has fallen over 80% since its all-time high, there's the risk that things could still get worse from here. As long as a stock remains above $0, there's no rule in investing that says a falling stock can't fall further. Joshi's actions don't improve 3D printer demand 3D Systems' recently-appointed CEO, Vyomesh Joshi, brings 32 years of experience as an HP executive and a track record of operational excellence .
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2016-08-08 00:00:00 UTC
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3 Reasons 3D Systems Corporation's Stock Could Rise
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https://www.nasdaq.com/articles/3-reasons-3d-systems-corporations-stock-could-rise-2016-08-08
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Image source: 3D Systems.
After two and half years of disappointment, 3D Systems (NYSE: DDD) is ready to turn over a new leaf. Under the new leadership of Vyomesh Joshi, a 32-year Hewlett-Packard (NYSE: HPQ) veteran with a track record of improving operational performance , the company has a fresh perspective on how to win the future. Going forward, 3D Systems will focus on operational excellence, growing the lifetime value of its customers, and investing in reliable and valuable 3D printing solutions.
The company has only had four months under Joshi, so his new approach hasn't had enough time to show results. However, if Joshi can prove that his turnaround plan is working, 3D Systems' stock could rise again. Here are three factors that could help that happen.
3D Systems repairs its reputational damage
Under the previous leadership of Avi Reichental, some of 3D Systems' professional and industrial 3D printers had ongoing quality and reliability issues, which damaged the company's reputation in the marketplace. In hindsight, it's clear that management was too distracted by Reichental's overly aggressive acquisition strategy to properly enforce its quality control procedures.
During 3D Systems' second-quarterearnings calllast week, Joshi noted that the company has been investing in repairing that reputational damage by hiring a supply chain and operations manager and incurring greater than expected warranty servicing costs. The aim of these investments is to improve trust and goodwill between the company and its customers, and communicate that management is taking a more measured approach when it comes to introducing new products. On the call, Joshi also suggested that he would rather delay a new product launch than meet a deadline at the risk of having quality controls issues.
If these measures pay off, frustrated customers could become satisfied customers, and satisfied customers are more likely to expand their relationship with 3D Systems in the future.
Driving growth by expanding end-to-end solutions
An exoskeleton augmented with 3D-printed parts (white) for a customized fit. Image source: 3D Systems.
One of the bright spots in 3D Systems' second-quarter earnings was its healthcare solutions revenue, which increased 11.4% year over year to $38.8 million, even as overall revenue fell 7% to $158.1 million. Joshi believes that the company's holistic approach in healthcare played a major role in the segment's success. On a high level, 3D Systems' end-to-end healthcare solution enables customers to simulate, plan, rehearse surgeries, as well as 3D print surgical instruments, medical implants, and dental devices.
In other words, an end-to-end solution enables customers to manage their entire 3D printing workflow - from conceptualization to final product. Not only does this approach appear to resonate well with customers who are looking for more than a 3D printer, it's also 3D Systems' blueprint for driving growth and remaining differentiated in the marketplace.
In the future, it plans to apply what it learned from building out its suite of healthcare solutions to its other three main target segments: automotive, aerospace, and consumer goods. If 3D Systems can replicate it success in healthcare in other key markets, the company is likely to improve its long-term growth prospects.
Competition packs more bark than bite
With the entrance of HP and Carbon3D into its space, 3D Systems faces increased competition. Carbon3D's M1 printer claims to be anywhere from 25 to 100 times faster than anything before it , while HP's Mutli Jet Fusion technology claims to be 10 times faster than leading extrusion-based and selective-laser-sintering technologies . Although there's been a growing concern among investors that these companies will threaten 3D Systems' competitive position, the magnitude of that threat remains unknown.
When asked about HP and Carbon3D, Joshi noted that both of these companies are initially offering their printers with limited materials and value-added solutions. He also emphasized that 3D Systems provides complete 3D printing solutions:
If Joshi's belief that customers want more than a 3D printer is accurate, the competitive concerns that investors are worried about could be overblown.
The bigger picture
Ultimately, the long-term success of 3D Systems -- and the direction of its stock price -- hinge on the performance of the underlying business, driven by factors that improve the demand of its products and services. If the company shows meaningful progress in these areas, it can help improve its value proposition in the marketplace, which in turn, may result in a higher stock price.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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After two and half years of disappointment, 3D Systems (NYSE: DDD) is ready to turn over a new leaf. During 3D Systems' second-quarterearnings calllast week, Joshi noted that the company has been investing in repairing that reputational damage by hiring a supply chain and operations manager and incurring greater than expected warranty servicing costs. On a high level, 3D Systems' end-to-end healthcare solution enables customers to simulate, plan, rehearse surgeries, as well as 3D print surgical instruments, medical implants, and dental devices.
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After two and half years of disappointment, 3D Systems (NYSE: DDD) is ready to turn over a new leaf. 3D Systems repairs its reputational damage Under the previous leadership of Avi Reichental, some of 3D Systems' professional and industrial 3D printers had ongoing quality and reliability issues, which damaged the company's reputation in the marketplace. One of the bright spots in 3D Systems' second-quarter earnings was its healthcare solutions revenue, which increased 11.4% year over year to $38.8 million, even as overall revenue fell 7% to $158.1 million.
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After two and half years of disappointment, 3D Systems (NYSE: DDD) is ready to turn over a new leaf. 3D Systems repairs its reputational damage Under the previous leadership of Avi Reichental, some of 3D Systems' professional and industrial 3D printers had ongoing quality and reliability issues, which damaged the company's reputation in the marketplace. During 3D Systems' second-quarterearnings calllast week, Joshi noted that the company has been investing in repairing that reputational damage by hiring a supply chain and operations manager and incurring greater than expected warranty servicing costs.
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After two and half years of disappointment, 3D Systems (NYSE: DDD) is ready to turn over a new leaf. The company has only had four months under Joshi, so his new approach hasn't had enough time to show results. In other words, an end-to-end solution enables customers to manage their entire 3D printing workflow - from conceptualization to final product.
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2016-08-08 00:00:00 UTC
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Stratasys’ Q2 Earnings Call: HP's 3D Printer, a Pseudo Guidance Cut, and the J750 Superstar
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https://www.nasdaq.com/articles/stratasys-q2-earnings-call-hps-3d-printer-pseudo-guidance-cut-and-j750-superstar-2016-08
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Stratasys (NASDAQ: SSYS) reported its second-quarter 2016 results last week. The diversified 3D printing company posted a year-over-year revenue decline of 5.6%, while GAAP and adjusted earnings per share rose 35% and fell 20%, respectively.
Though the report contained some bright spots, Stratasys continues to face the widespread slowdown in demand for enterprise 3D printers that began in early 2015 and has also affected its rival, 3D Systems (NYSE: DDD) . To provide color to the earnings results (you can read my take on them here ), the following are four things you should know from Stratasys' analyst conference call. (Transcript via Thomson Reuters .)
The J750 is the world's first full-color, multimaterial 3D printer, and can automatically map more than 360,000 colors from design software or photorealistic models and load six materials at once without swapping canisters. The printer, which is aimed at improving the new product design process, is an addition to Stratasys' Objet line.
Management said early sales of the J750 were to customers in the consumer products, medical device, and education industries, and to service bureaus.
The reoccurring revenue streams keep on flowing
From Simha's remarks:
Simha's comments address how the company's razor-and-blade-like business model -- 3D printers are the "razors" and consumables and service contracts are the "blades" -- continues to generate recurring revenue from the growing installed base, even during a slowdown of 3D printer sales. Consumables at least tend to have higher profit margins than the company average, which can make razor-and-blade business models quite lucrative when they're working successfully.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Though the report contained some bright spots, Stratasys continues to face the widespread slowdown in demand for enterprise 3D printers that began in early 2015 and has also affected its rival, 3D Systems (NYSE: DDD) . The J750 is the world's first full-color, multimaterial 3D printer, and can automatically map more than 360,000 colors from design software or photorealistic models and load six materials at once without swapping canisters. Consumables at least tend to have higher profit margins than the company average, which can make razor-and-blade business models quite lucrative when they're working successfully.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. Though the report contained some bright spots, Stratasys continues to face the widespread slowdown in demand for enterprise 3D printers that began in early 2015 and has also affected its rival, 3D Systems (NYSE: DDD) . The reoccurring revenue streams keep on flowing From Simha's remarks: Simha's comments address how the company's razor-and-blade-like business model -- 3D printers are the "razors" and consumables and service contracts are the "blades" -- continues to generate recurring revenue from the growing installed base, even during a slowdown of 3D printer sales.
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Though the report contained some bright spots, Stratasys continues to face the widespread slowdown in demand for enterprise 3D printers that began in early 2015 and has also affected its rival, 3D Systems (NYSE: DDD) . The reoccurring revenue streams keep on flowing From Simha's remarks: Simha's comments address how the company's razor-and-blade-like business model -- 3D printers are the "razors" and consumables and service contracts are the "blades" -- continues to generate recurring revenue from the growing installed base, even during a slowdown of 3D printer sales. A secret billion-dollar stock opportunity The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology.
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Though the report contained some bright spots, Stratasys continues to face the widespread slowdown in demand for enterprise 3D printers that began in early 2015 and has also affected its rival, 3D Systems (NYSE: DDD) . Stratasys (NASDAQ: SSYS) reported its second-quarter 2016 results last week. The reoccurring revenue streams keep on flowing From Simha's remarks: Simha's comments address how the company's razor-and-blade-like business model -- 3D printers are the "razors" and consumables and service contracts are the "blades" -- continues to generate recurring revenue from the growing installed base, even during a slowdown of 3D printer sales.
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717188.0
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2016-08-07 00:00:00 UTC
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As the Prototyping Market Weakens, 3D Systems Corporation Shifts Gears
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https://www.nasdaq.com/articles/prototyping-market-weakens-3d-systems-corporation-shifts-gears-2016-08-07
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Image source: 3D Systems.
Since the start of 2015, customer demand for 3D printers has slowed notably across the industry and weighed on 3D Systems '(NYSE: DDD) performance. Rival Stratasys believes the slowdown was created by an oversupply of 3D printing capacity in the hands of customers, prompting them to increase their utilization instead of buying additional printers.
Last week, 3D Systems' second-quarterearnings callshed more light on the issue. Essentially, the prototyping market appears to be far more saturated and slower growing than production (i.e., manufacturing) applications. And that's exactly why 3D Systems will be emphasizing its production portfolio more going forward.
Shifting gears
During 3D Systems' second-quarterearnings call CEO Vyomesh Joshi highlighted that growth in the prototyping market "is going to be difficult" going forward, likely because the value proposition around using 3D printing for prototyping purposes is well known in the marketplace.
After all, 3D printing has been around as a prototyping technology for about 30 years -- plenty of time to convey that 3D printing requires no tooling, which saves users time and money developing new products. The likelihood of a user who prototypes, but isn't aware of these benefits today, is extremely low. Additionally, from a competitive perspective, the number of 3D printers that cater to prototyping applications is greater than the number of 3D printers that can handle manufacturing applications.
Crossing the chasm
Even though 3D printing has existed since the 1980s, the idea of using 3D printing for direct manufacturing applications is relatively new -- and growing fast. According to Wohlers Report 2014, a 3D printing insights report, revenue from the production of 3D-printed parts for final products has risen from 4% of overall industry revenue in 2003 to more than one-third of industry revenue in 2013. Between 2012 and 2013, this segment grew by an estimated 65.4% to nearly $1.1 billion. For perspective, the entire 3D printing industry grew by 34.9% between 2012 and 2013.
With General Electric planning to 3D print more than 100,000 aviation parts a year by 2020, including the fuel nozzle for its upcoming Leap jet engine, this figure is widely expected to rise, because it'll likely validate the technology for other mission-critical manufacturing uses.
GE plans to 3D print more than 40,000 of these fuel nozzles per year. Image source: GE.
From handfuls to boatloads
The opportunity surrounding 3D printing for direct manufacturing far exceeds the market opportunity surrounding prototyping applications. That's because the ratio of prototypes to finished parts often exceeds 1:1,000. After all, a designer usually only makes a handful of prototypes compared to the thousands -- and sometimes millions -- of final parts produced.
With orders of magnitude difference in volume between prototyping and manufacturing, there's far more at stake for 3D printing companies to cater to direct manufacturing.
Superior economics
Another way to look at this opportunity is from the perspective of utilization. 3D Systems operates a razor-and-blades model where 3D printer usage fuels the recurring sales of materials, which tend to command higher profit margins. Essentially, 3D System's focus on manufacturing is likely to drive higher utilization rates than prototyping, which in turn, fuels more frequent recurring sales of materials. And this, in turn, increases the lifetime value of 3D Systems' customer base.
According to Joshi, 3D Systems offers three technologies that can be used for direct manufacturing -- direct metal printing, selective laser sintering, and stereolithography -- which the company will continue investing in.
Reality check
Although the practices surrounding 3D printing for direct manufacturing are less established and the competition in the space isn't as fierce as prototyping, investors shouldn't perceive this as an open-ended opportunity that's 3D Systems' for the taking. The reality is that transitioning 3D printing to becoming a viable and widely used manufacturing technology is going to require 3D Systems to take a more consultative approach with its customers, which likely entails developing manufacturing workflow solutions on a case-by-case basis. Frankly, it's likely going to take years for this to play out.
However, when the industry is ready to fully embrace 3D printing as a "factory in a box," 3D Systems will be waiting with a competitive set of offerings.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early in-the-know investors! To be one of them, just click here .
Steve Heller owns shares of 3D Systems. The Motley Fool owns shares of General Electric. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Since the start of 2015, customer demand for 3D printers has slowed notably across the industry and weighed on 3D Systems '(NYSE: DDD) performance. Rival Stratasys believes the slowdown was created by an oversupply of 3D printing capacity in the hands of customers, prompting them to increase their utilization instead of buying additional printers. With General Electric planning to 3D print more than 100,000 aviation parts a year by 2020, including the fuel nozzle for its upcoming Leap jet engine, this figure is widely expected to rise, because it'll likely validate the technology for other mission-critical manufacturing uses.
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Since the start of 2015, customer demand for 3D printers has slowed notably across the industry and weighed on 3D Systems '(NYSE: DDD) performance. According to Wohlers Report 2014, a 3D printing insights report, revenue from the production of 3D-printed parts for final products has risen from 4% of overall industry revenue in 2003 to more than one-third of industry revenue in 2013. From handfuls to boatloads The opportunity surrounding 3D printing for direct manufacturing far exceeds the market opportunity surrounding prototyping applications.
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Since the start of 2015, customer demand for 3D printers has slowed notably across the industry and weighed on 3D Systems '(NYSE: DDD) performance. From handfuls to boatloads The opportunity surrounding 3D printing for direct manufacturing far exceeds the market opportunity surrounding prototyping applications. Reality check Although the practices surrounding 3D printing for direct manufacturing are less established and the competition in the space isn't as fierce as prototyping, investors shouldn't perceive this as an open-ended opportunity that's 3D Systems' for the taking.
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Since the start of 2015, customer demand for 3D printers has slowed notably across the industry and weighed on 3D Systems '(NYSE: DDD) performance. For perspective, the entire 3D printing industry grew by 34.9% between 2012 and 2013. GE plans to 3D print more than 40,000 of these fuel nozzles per year.
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2016-08-06 00:00:00 UTC
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Stratasys Q2 Earnings: Amid Bright Spots, 3D Printer Sales Continue to Drop
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https://www.nasdaq.com/articles/stratasys-q2-earnings-amid-bright-spots-3d-printer-sales-continue-drop-2016-08-06
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Stratasys (NASDAQ: SSYS) reported its second-quarter 2016 earnings before the market opened on Thursday. The leading 3D printing company posted a modest year-over-year revenue decline of 5.6%, though crucial 3D printer sales dropped 19%. GAAP and adjusted earnings per share increased 35% and declined 20%, respectively.
This report was the first under Stratasys' new CEO, Ilan Levin, who took the helm on July 1.
Shares of Stratasys surged to a 7.8% gain at the open, but by late morning had given back their gains and moved into negative territory. The stock is down 4.3% in late-afternoon trading.
Rival 3D Systems (NYSE: DDD) released results on Wednesday that significantly beat most expectations on the bottom line, resulting in shares closing the day with a nearly 18% gain. Both companies continue to struggle to grow revenue, as they have since the first quarter of 2015, in the wake of a widespread slowdown of 3D printer purchases among enterprise customers.
Image source: Stratasys. This true product-matching athletic shoe prototype was produced with full color, smooth surfaces, and a rubber-like sole in a single-print operation on the new J750 3D printer.
Stratasys' Q2 headline numbers
Data source: Stratasys. GAAP = generally accepted accounting principles. YOY = year over year.
The company generated $6.9 million in cash from operations and currently holds approximately $253.9 million in cash and cash equivalents.
Analysts expected Stratasys to deliver adjusted EPS of $0.06 on revenue of $175.78 million. So, the company fell a bit short on the top line, but it beat bottom-line estimates by a factor of two. It can be helpful to keep these estimates in mind since they often help explain market reactions, but long-term investors shouldn't pay them much heed since Wall Street is focused on the short term.
Segment results
Data source: Stratasys. YOY = year over year.
Within the product category, 3D printer sales fell 19%, while sales of consumables (materials) rose 11%. (Stratasys doesn't break out 3D printer sales by enterprise vs. MakerBot. However, since overall MakerBot sales were roughly flat on a year-over-year basis, we can assume enterprise 3D printer sales declined in the general ballpark of 19%.) As a point of comparison, 3D Systems' printer sales plunged 30% while its materials sales grew 11%.
Like materials, customer support revenue was another bright spot, increasing 11%. These two revenue sources are very attractive since they're recurring, with materials at least sporting margins higher than the company average. However, both of these revenue streams are driven from sales of 3D printers, which is why the slowdown in printer sales is particularly concerning.
The 11% growth in material sales might suggest that customers are increasing their utilization of their 3D printers, indicating that a bounce-back in demand could be on the horizon. However, it's also possible a fair chunk of this rise is because of the initial sales of the new J750 printer, discussed below.
MakerBot: Steady as she goes
MakerBot product and service revenue declined 2% from the prior year's period. However, MakerBot sales increased sequentially by 8%, driven by the positive impact of the ongoing reorganization of that business, and the trend toward the use of desktop systems for modeling applications. Last quarter, MakerBot also saw a sequential rise, suggesting the worst is likely over for the beleaguered desktop 3D printer unit.
Gross margin rises on cost-cutting and J750 sales
Stratasys' management called out sales of the J750, launched last quarter, and improved operating efficiency, thanks in part to cost-cutting, as the primary drivers of the year-over-year improvement in the gross margin. The GAAP gross margin increased to 46.2% from 45.5% in the year-ago period, while the adjusted gross margin rose to 55.9% from 54.7%.
The J750 is the world's first full-color, multimaterial 3D printer, and it can automatically map more than 360,000 colors from design software or photorealistic models and load six materials at once without changing canisters. The printer is an addition to Stratasys' highly regarded Objet Connex line, arguably its line that sports the highest moat to keep competitors at bay.
3D Systems does not offer a product similar to the J750, nor does it appear that start-up Carbon's (formerly Carbon3D) impressive Continuous Liquid Interface Production (CLIP) technology will be able to produce multicolor or multimaterial objects. It remains to be seen if and when HP Inc. 's newly launched 3D printer, powered by its reportedly speedy Multi Jet Fusion tech, will sport multimaterial combined with multicolor capabilities. At its May launch, HP's printer, which will be available in the fall, had just one material capability, and that material was only available in black.
Full-year 2016 guidance reiterated
Stratasys reiterated its previously issued 2016 guidance as follows:
Revenue of $700 million to $730 million.
GAAP net loss of $84 million to $67 million, or ($1.60) to ($1.28) per share.
Non-GAAP net income of $9 million to $23 million, or $0.17 to $0.43 per share.
Takeaway
As widely expected, Stratasys had another tough quarter. There were some bright spots: the market reaction to the J750, solid material sales, and continued improvements in operating performance driven largely by cost-cutting measures. Nonetheless, the company's overall results won't improve meaningfully until there is a significant rebound in sales of its critical enterprise 3D printers.
A secret billion-dollar stock opportunity
The world's biggest tech company forgot to show you something, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early, in-the-know investors! To be one of them, just click here .
Beth McKenna has no position in any stocks mentioned. The Motley Fool recommends 3D Systems and Stratasys. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Rival 3D Systems (NYSE: DDD) released results on Wednesday that significantly beat most expectations on the bottom line, resulting in shares closing the day with a nearly 18% gain. This true product-matching athletic shoe prototype was produced with full color, smooth surfaces, and a rubber-like sole in a single-print operation on the new J750 3D printer. The J750 is the world's first full-color, multimaterial 3D printer, and it can automatically map more than 360,000 colors from design software or photorealistic models and load six materials at once without changing canisters.
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Rival 3D Systems (NYSE: DDD) released results on Wednesday that significantly beat most expectations on the bottom line, resulting in shares closing the day with a nearly 18% gain. Within the product category, 3D printer sales fell 19%, while sales of consumables (materials) rose 11%. Gross margin rises on cost-cutting and J750 sales Stratasys' management called out sales of the J750, launched last quarter, and improved operating efficiency, thanks in part to cost-cutting, as the primary drivers of the year-over-year improvement in the gross margin.
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Rival 3D Systems (NYSE: DDD) released results on Wednesday that significantly beat most expectations on the bottom line, resulting in shares closing the day with a nearly 18% gain. (Stratasys doesn't break out 3D printer sales by enterprise vs. MakerBot. However, both of these revenue streams are driven from sales of 3D printers, which is why the slowdown in printer sales is particularly concerning.
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Rival 3D Systems (NYSE: DDD) released results on Wednesday that significantly beat most expectations on the bottom line, resulting in shares closing the day with a nearly 18% gain. GAAP and adjusted earnings per share increased 35% and declined 20%, respectively. However, both of these revenue streams are driven from sales of 3D printers, which is why the slowdown in printer sales is particularly concerning.
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6811204d-8d35-4749-8aa2-3609a37a40b0
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717190.0
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2016-08-06 00:00:00 UTC
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5 Key Takeaways From 3D Systems Corporation's Earnings Call
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DDD
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https://www.nasdaq.com/articles/5-key-takeaways-3d-systems-corporations-earnings-call-2016-08-06
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nan
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nan
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Image source: 3D Systems.
Last Wednesday, 3D Systems '(NYSE: DDD) second-quarter earnings highlighted several positive developments that suggest the company is making notable improvements in its business despite falling 3D printer sales.
Along with its earnings release, 3D Systems' management hosted a conference call to provide deeper insights about the underlying health of its business and future prospects. It marked the second time that investors got to hear from 3D Systems' recently appointed CEO, Vyomesh Joshi, a 32-year HP (NYSE: HPQ) executive with a history of improving operational performance .
There were five main takeaways from the call.
1. Differentiation
Having only been at the helm for four months, Joshi is still getting his bearings about the value proposition of 3D Systems' offerings. Early on the call, Joshi made it clear how he thinks 3D Systems is differentiated:
In 3D printing, an end-to-end solutions-based approach enables customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow. In the context of the competitive environment, which is intensifying with the entrance of HP and Carbon , this diversified approach can help it mitigate the threat that these entrants pose to its competitive position.
2. Becoming a world-class organization
During the two years before Joshi was hired, 3D Systems struggled with myriad execution and quality issues, which weighed on its overall performance. In hindsight, it's clear that former CEO Avi Reichental's overly aggressive acquisition strategy came at the expense of operational excellence. To right those wrongs, Joshi has developed and begun implementing guiding principles to help build a world-class organization:
Along with a major restructuring, 3D Systems has been spending to improve the quality and reliability of its products, which suffered some reputational damage under previous leadership.
3. Plunging printer orders
Although 3D Systems' total revenue fell 7% year over year, its printer sales fell 30% and unit sales fell 16%. This undermines the attractiveness of 3D Systems' razor-and-blade model, where 3D printer sales fuel the recurring sales of consumable materials, which tend to command higher profit margins. During the call, Joshi explained that the timing of orders and the mix of printers being sold were mainly to blame -- and that he expects unit growth to improve in the second half:
4. The future
Throughout the call, it's became clear that 3D Systems will be focused on a solutions-based approach to the market going forward, emphasizing higher utilization rates and production (i.e., manufacturing) uses over lower utilization rates and prototyping. Essentially, production uses tend to command higher utilization rates than prototyping uses, which in turn, fuel more recurring sales of materials.
Vyomesh Joshi. Image source: LinkedIn.
Here's how Joshi spelled it out:
5. Competition
During the Q&A section, management was asked about its views on the competitive landscape, specifically around HP's and Carbon's offerings. Overall, Joshi believes that customers want more than a one-material 3D printer, which reinforces its solutions-based approach:
More to come
While Joshi and his team are optimistic about 3D Systems' future, they also made it clear that the company has its work cut out before it can create long-term shareholder value. More details will be available on Sept. 12, when the company hosts a special event outlining its market-based strategy to drive profitable growth. Based on this conference call, investors should expect to management to expound upon its solution-based approach to increase the lifetime value of its customers.
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Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Last Wednesday, 3D Systems '(NYSE: DDD) second-quarter earnings highlighted several positive developments that suggest the company is making notable improvements in its business despite falling 3D printer sales. Early on the call, Joshi made it clear how he thinks 3D Systems is differentiated: In 3D printing, an end-to-end solutions-based approach enables customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow. To right those wrongs, Joshi has developed and begun implementing guiding principles to help build a world-class organization: Along with a major restructuring, 3D Systems has been spending to improve the quality and reliability of its products, which suffered some reputational damage under previous leadership.
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Last Wednesday, 3D Systems '(NYSE: DDD) second-quarter earnings highlighted several positive developments that suggest the company is making notable improvements in its business despite falling 3D printer sales. Plunging printer orders Although 3D Systems' total revenue fell 7% year over year, its printer sales fell 30% and unit sales fell 16%. This undermines the attractiveness of 3D Systems' razor-and-blade model, where 3D printer sales fuel the recurring sales of consumable materials, which tend to command higher profit margins.
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Last Wednesday, 3D Systems '(NYSE: DDD) second-quarter earnings highlighted several positive developments that suggest the company is making notable improvements in its business despite falling 3D printer sales. Early on the call, Joshi made it clear how he thinks 3D Systems is differentiated: In 3D printing, an end-to-end solutions-based approach enables customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow. The future Throughout the call, it's became clear that 3D Systems will be focused on a solutions-based approach to the market going forward, emphasizing higher utilization rates and production (i.e., manufacturing) uses over lower utilization rates and prototyping.
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Last Wednesday, 3D Systems '(NYSE: DDD) second-quarter earnings highlighted several positive developments that suggest the company is making notable improvements in its business despite falling 3D printer sales. It marked the second time that investors got to hear from 3D Systems' recently appointed CEO, Vyomesh Joshi, a 32-year HP (NYSE: HPQ) executive with a history of improving operational performance . Early on the call, Joshi made it clear how he thinks 3D Systems is differentiated: In 3D printing, an end-to-end solutions-based approach enables customers to digitize, design, simulate, prototype, inspect, and manage their entire workflow.
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f8800c8a-6cdf-4fae-b5fd-280df9f57d81
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717191.0
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2016-08-05 00:00:00 UTC
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Stratasys (SSYS) Down on Revenue Miss, Q2 Earnings Beat
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DDD
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https://www.nasdaq.com/articles/stratasys-ssys-down-on-revenue-miss-q2-earnings-beat-2016-08-05
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nan
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nan
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Shares of Stratasys Ltd.SSYS went down more than 4% yesterday after the company reported lower-than-expected second-quarter 2016 revenues. Also, both revenues and earnings decreased year over year, which in turn impacted the share price.
The company reported adjusted income per share (excluding amortization, impairment and other one-time items but including stock-based compensation) of 1 cent as against the Zacks Consensus Estimate of a loss of 7 cents per share. However, the company's quarterly income decreased on a year-over-year basis.
Quarter Details
Stratasys' revenues not only declined 5.6% year over year to $172.1 million, but also missed the Zacks Consensus Estimate of $177 million. Product revenues were down 7.8% from the year-ago quarter to $12.7 million. However, revenues from Services increased 1% year over year to $48.3 million. The company's soft revenues reflect weak performance at its MakerBot business.
Stratasys stated that revenues from the MakerBot business decreased 2% on a year-over-year basis. The decline was primarily due to softness in overall market conditions.
Stratasys' adjusted gross margin (excluding amortization and other one-time expenses but including share-based compensation) expanded 180 basis points (bps) to 55.5%, primarily due to favourable product mix and lower cost of sales.
The company's adjusted operating expenses decreased 12.5% year over year to $90.8 million, primarily due to a lower cost structure. Also, as a percentage of revenues, operating expenses decreased year over year from 56.9% to 52.8%. The decrease was primarily due to lower research and development expenses and selling, general and administrative expenses.
The company posted adjusted operating income of $4.7 million in the reported quarter as against adjusted operating loss of $5.9 million a year ago mainly due to lower expenses as a percentage of revenues.
Adjusted net income (excluding amortization, impairment and other one-time items but including stock-based compensation) during the quarter came in at approximately $5.1 million.
The company exited the quarter with cash and cash equivalents and short-term bank deposits of $253.9 million compared with $280.2 million in the previous quarter. Inventories came in at approximately $125.7 million compared with $124.5 million in the first quarter. The company does not have any long-term debt.
Guidance
Stratasys reiterated its full year 2016 guidance. The company expects revenues in a range of $700 million to $730 million (mid-point $715 million). The midpoint of the guidance is above the Zacks Consensus Estimate of $712 million. Non-GAAP income per share is projected between 17 cents and 43 cents. Currently, the Zacks Consensus Estimate is pegged at a loss of 16 cents.
Further, the company expects gross margin to be in a range of 54% to 55%. Operating margin is expected to be in a range of 3% to 5%. Capital expenditure is expected to be in a range of $60 million to $70 million.
STRATASYS LTD Price, Consensus and EPS Surprise
STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote
Conclusion
Stratasys reported mixed second-quarter results, wherein the top line missed the Zacks Consensus Estimate but the bottom line was better than the same. Also, year-over-year revenue comparisons were unfavourable. The company's quarterly results were negatively impacted by difficult market conditions and lower-than-expected performance at its MakerBot business. However, the company provided an encouraging guidance for 2016.
But we note that customers are delaying their purchases owing to the current economic conditions. In the 3D printer business, the majority of customers have moved toward the lower-priced uPrint, which may affect the company's margins in the upcoming quarters. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind.
Stratasys carries a Zacks Rank #3 (Hold).
A couple of better-ranked stocks in the technology sector are Facebook, Inc. FB and FormFactor Inc. FORM , both of which sport a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days.Click to get this free report >>
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FORMFACTOR INC (FORM): Free Stock Analysis Report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
FACEBOOK INC-A (FB): Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report FORMFACTOR INC (FORM): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report To read this article on Zacks.com click here. Stratasys' adjusted gross margin (excluding amortization and other one-time expenses but including share-based compensation) expanded 180 basis points (bps) to 55.5%, primarily due to favourable product mix and lower cost of sales.
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Click to get this free report FORMFACTOR INC (FORM): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report To read this article on Zacks.com click here. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. The company reported adjusted income per share (excluding amortization, impairment and other one-time items but including stock-based compensation) of 1 cent as against the Zacks Consensus Estimate of a loss of 7 cents per share.
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Click to get this free report FORMFACTOR INC (FORM): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report To read this article on Zacks.com click here. Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. Quarter Details Stratasys' revenues not only declined 5.6% year over year to $172.1 million, but also missed the Zacks Consensus Estimate of $177 million.
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Going forward, competition from 3D Systems Corporation DDD is also a potent headwind. Click to get this free report FORMFACTOR INC (FORM): Free Stock Analysis Report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report FACEBOOK INC-A (FB): Free Stock Analysis Report To read this article on Zacks.com click here. Quarter Details Stratasys' revenues not only declined 5.6% year over year to $172.1 million, but also missed the Zacks Consensus Estimate of $177 million.
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5e4c9c36-4f16-423b-a1b4-6653136724b5
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717192.0
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2016-08-05 00:00:00 UTC
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3D Printing ETF (PRNT): What Investors Need to Know
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DDD
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https://www.nasdaq.com/articles/3d-printing-etf-prnt-what-investors-need-know-2016-08-05
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nan
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nan
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In this video, Eric takes a closer look at a relatively new ETF from Ark-Invest, the 3D Printing ETF (PRNT). This new product offers investors first-of-its-kind exposure to the industry, holding about forty companies in total, and charging investors 66 basis points a year in fees.
The video also takes a look at why a 3D printing ETF might make more sense now, and why this space could be worth a closer look by investors. Additionally, Eric also delves into some of the risks in this market, and what that might mean for investors in the near term.
And if you are more of a single stock person, Eric also takes a look at a few key 3D printing stocks which are among the most well-known in the industry. In particular, he takes a closer look at recent performance in both Stratasys (SSYS) and 3D Systems (DDD), with a focus on the earnings performance for each. As you can see in the charts below, it has been a rocky time to say the least…
Here's DDD…
3D SYSTEMS CORP Price, Consensus and EPS Surprise
3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote
And now SSYS…
STRATASYS LTD Price, Consensus and EPS Surprise
STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote
Watch the video for a more in-depth discussion of the 3D Printing industry, and make sure to read our recent articles on the topic for additional information.
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Author is long SSYS
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
STRATASYS LTD (SSYS): Free Stock Analysis Report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
3D-PRINTING ETF (PRNT): ETF Research Reports
To read this article on Zacks.com click here.
Zacks Investment Research
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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As you can see in the charts below, it has been a rocky time to say the least… Here's DDD… 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote And now SSYS… STRATASYS LTD Price, Consensus and EPS Surprise STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote Watch the video for a more in-depth discussion of the 3D Printing industry, and make sure to read our recent articles on the topic for additional information. In particular, he takes a closer look at recent performance in both Stratasys (SSYS) and 3D Systems (DDD), with a focus on the earnings performance for each. Click to get this free report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report 3D-PRINTING ETF (PRNT): ETF Research Reports To read this article on Zacks.com click here.
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As you can see in the charts below, it has been a rocky time to say the least… Here's DDD… 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote And now SSYS… STRATASYS LTD Price, Consensus and EPS Surprise STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote Watch the video for a more in-depth discussion of the 3D Printing industry, and make sure to read our recent articles on the topic for additional information. Click to get this free report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report 3D-PRINTING ETF (PRNT): ETF Research Reports To read this article on Zacks.com click here. In particular, he takes a closer look at recent performance in both Stratasys (SSYS) and 3D Systems (DDD), with a focus on the earnings performance for each.
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As you can see in the charts below, it has been a rocky time to say the least… Here's DDD… 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote And now SSYS… STRATASYS LTD Price, Consensus and EPS Surprise STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote Watch the video for a more in-depth discussion of the 3D Printing industry, and make sure to read our recent articles on the topic for additional information. Click to get this free report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report 3D-PRINTING ETF (PRNT): ETF Research Reports To read this article on Zacks.com click here. In particular, he takes a closer look at recent performance in both Stratasys (SSYS) and 3D Systems (DDD), with a focus on the earnings performance for each.
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Click to get this free report STRATASYS LTD (SSYS): Free Stock Analysis Report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report 3D-PRINTING ETF (PRNT): ETF Research Reports To read this article on Zacks.com click here. In particular, he takes a closer look at recent performance in both Stratasys (SSYS) and 3D Systems (DDD), with a focus on the earnings performance for each. As you can see in the charts below, it has been a rocky time to say the least… Here's DDD… 3D SYSTEMS CORP Price, Consensus and EPS Surprise 3D SYSTEMS CORP Price, Consensus and EPS Surprise | 3D SYSTEMS CORP Quote And now SSYS… STRATASYS LTD Price, Consensus and EPS Surprise STRATASYS LTD Price, Consensus and EPS Surprise | STRATASYS LTD Quote Watch the video for a more in-depth discussion of the 3D Printing industry, and make sure to read our recent articles on the topic for additional information.
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f53f2b19-d629-41a3-97e5-bc2cda0f1eec
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717193.0
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2016-08-04 00:00:00 UTC
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DDD Crosses Above Average Analyst Target
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DDD
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https://www.nasdaq.com/articles/ddd-crosses-above-average-analyst-target-2016-08-04
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nan
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nan
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $13.47, changing hands for $14.35/share. When a stock reaches the target an analyst has set, the analyst logically has two ways to react: downgrade on valuation, or, re-adjust their target price to a higher level. Analyst reaction may also depend on the fundamental business developments that may be responsible for driving the stock price higher - if things are looking up for the company, perhaps it is time for that target price to be raised.
There are 8 different analyst targets contributing to that average for 3D Systems Corp. , but the average is just that - a mathematical average. There are analysts with lower targets than the average, including one looking for a price of $9.00. And then on the other side of the spectrum one analyst has a target as high as $25.00. The standard deviation is $5.464.
But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $13.47/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $13.47 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? Below is a table showing the current thinking of the analysts that cover 3D Systems Corp. :
The average rating presented in the last row of the above table above is from 1 to 5 where 1 is Strong Buy and 5 is Strong Sell. This article used data provided by Zacks Investment Research via Quandl.com . Get the latest Zacks research report on DDD - FREE .
10 ETFs With Most Upside To Analyst Targets »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $13.47, changing hands for $14.35/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $13.47/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $13.47 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $13.47, changing hands for $14.35/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $13.47/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $13.47 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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And so with DDD crossing above that average target price of $13.47/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $13.47 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table? In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $13.47, changing hands for $14.35/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes.
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In recent trading, shares of 3D Systems Corp. (Symbol: DDD) have crossed above the average analyst 12-month target price of $13.47, changing hands for $14.35/share. But the whole reason to look at the average DDD price target in the first place is to tap into a "wisdom of crowds" effort, putting together the contributions of all the individual minds who contributed to the ultimate number, as opposed to what just one particular expert believes. And so with DDD crossing above that average target price of $13.47/share, investors in DDD have been given a good signal to spend fresh time assessing the company and deciding for themselves: is $13.47 just one stop on the way to an even higher target, or has the valuation gotten stretched to the point where it is time to think about taking some chips off the table?
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162de5b6-c292-49d9-9abb-9c54b352cd01
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717194.0
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2016-08-04 00:00:00 UTC
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3D Systems Corporation: DDD Stock Is Primed for Growth Again
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DDD
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https://www.nasdaq.com/articles/3d-systems-corporation-ddd-stock-primed-growth-again-2016-08-04
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nan
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nan
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips
3D Systems Corporation (NYSE: DDD ) could become an investment again after finding a bottom in its second-quarter earnings report. The company still lost money, 4 cents per share, on revenue of $158.1 million, but that was far less than the losses it had been sustaining over the previous year, and there was a $5.6 million revenue gain from the last quarter.
It had a gross margin on those sales of 50.9%, said new CFO John McMullen, who joined the company just a month ago.
Without accounting adjustments for past mistakes, the company actually earned 12 cents per share, double what was expected. DDD stock rose almost 18% in Wednesday trading from $12.18 per share to $14.35, after new CEO Vyomesh Joshi said he would lay out a detailed growth program at an industry meeting Sep. 12.
3D got the June result by cutting research and administrative expenses, and growing its health care systems sales 11% during the second quarter. It is looking for other niches like health care, where accuracy counts more than speed in making things like replacement teeth and knees.
3D Systems: Consumer 3D Printing Was a Mistake
The mistake was getting involved in the consumer hype over "3D Printers," which sound nifty but in practice turned out to be less than useful, essentially dripping liquid plastic onto small "build plates" to create models.
5 Stocks to Buy for August
3D Systems' entry in this space was called the Cube. It competed with a similar product called the MakerBot, whose founder Bre Pettis became a media darling early this decade, a symbol of the "new Brooklyn" and sold his company to 3D's archrival, Stratasys Ltd. (NASDAQ: SSYS ) for $400 million in 2013 .
But the consumer divisions of both companies had to be written off, Pettis is back on his own with a start-up called Bold Machines , and the financial hangover has taken two years to recover from.
3D Systems founder Chuck Hull had called his own industry additive manufacturing, not 3D printing, and his process stereolithography, when he patented the technique in 1986. The concept of computer-controlled manufacture has advanced since, with new materials and techniques, and the whole consumer market is now thought of as an unwelcome distraction for a technology that was not ready for prime time.
DDD Stock: Evolution, Not Revolution
The question for investors was whether there is a there, there. Many of those pounding the table for DDD stock before earnings were technicians looking at price charts, not market fundamentals. It seems the field has stopped the bleeding, but it remains fairly primitive, and niche-driven.
There is hope that HP Inc (NYSE: HPQ ), the printer-PC part of the split-up with Hewlett Packard Enterprise Co (NYSE: HPE ), can reboot the space with its MultiJet Fusion device, due out this fall, which fuses powder rather than depositing liquids. But neither 3D nor Stratasys has anything like the MultiJet, so it's hard to see how even that success could drive their businesses forward.
What is more likely is that new 3D CEO Vyomesh Joshi, who joined the company in April from HP, will be able to evolve from simple prototyping machines into light manufacturing , in specific niches and use cases where accuracy is more important than speed. Joshi seems to have achieved success this quarter in "right-sizing" the company, but that does not mean you should expect to buy a fast-growth, speculative stock.
The 7 Best Cheap Dividend Stocks to Buy Now
On the call, Joshi said "On demand manufacturing solutions," which declined 20%, "can serve as a platform" for system sales. The company's exit from the consumer business, on the other hand, is permanent.
"We have powerful, synergistic and differentiated technology," he said. "We will have end-to-end solutions for aerospace, health care, automotive, consumer goods, and training." McMullen emphasized that the company has the financial strength to execute its plans.
3D Systems could turn a small profit for the September quarter, and could grow organically in 2017, getting back on the track it was on before the mass-market dream distracted everyone. "We have a lot of work to do," Joshi concluded, but the turnaround has now begun.
Dana Blankenhorn is a financial journalist who dabbles in fiction, his latest being The Reluctant Detective Travels in Time . Write him at danablankenhorn@gmail.com or follow him on Twitter at @danablankenhorn. At the time of this writing, he did not hold a position in any of the aforementioned securities.
More From InvestorPlace
10 Market Predictions for the Rest of 2016
5 Stocks to Sell for August
The post 3D Systems Corporation: DDD Stock Is Primed for Growth Again appeared first on InvestorPlace .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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DDD stock rose almost 18% in Wednesday trading from $12.18 per share to $14.35, after new CEO Vyomesh Joshi said he would lay out a detailed growth program at an industry meeting Sep. 12. InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) could become an investment again after finding a bottom in its second-quarter earnings report. DDD Stock: Evolution, Not Revolution The question for investors was whether there is a there, there.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) could become an investment again after finding a bottom in its second-quarter earnings report. More From InvestorPlace 10 Market Predictions for the Rest of 2016 5 Stocks to Sell for August The post 3D Systems Corporation: DDD Stock Is Primed for Growth Again appeared first on InvestorPlace . DDD stock rose almost 18% in Wednesday trading from $12.18 per share to $14.35, after new CEO Vyomesh Joshi said he would lay out a detailed growth program at an industry meeting Sep. 12.
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InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) could become an investment again after finding a bottom in its second-quarter earnings report. More From InvestorPlace 10 Market Predictions for the Rest of 2016 5 Stocks to Sell for August The post 3D Systems Corporation: DDD Stock Is Primed for Growth Again appeared first on InvestorPlace . DDD stock rose almost 18% in Wednesday trading from $12.18 per share to $14.35, after new CEO Vyomesh Joshi said he would lay out a detailed growth program at an industry meeting Sep. 12.
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More From InvestorPlace 10 Market Predictions for the Rest of 2016 5 Stocks to Sell for August The post 3D Systems Corporation: DDD Stock Is Primed for Growth Again appeared first on InvestorPlace . InvestorPlace InvestorPlace - Stock Market News, Stock Advice & Trading Tips 3D Systems Corporation (NYSE: DDD ) could become an investment again after finding a bottom in its second-quarter earnings report. DDD stock rose almost 18% in Wednesday trading from $12.18 per share to $14.35, after new CEO Vyomesh Joshi said he would lay out a detailed growth program at an industry meeting Sep. 12.
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a7cb7f0a-6c17-45dd-aaff-d07bb32abd45
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717195.0
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2016-08-03 00:00:00 UTC
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Commit To Buy 3D Systems At $8, Earn 12.1% Using Options
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DDD
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https://www.nasdaq.com/articles/commit-buy-3d-systems-8-earn-121-using-options-2016-08-03
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nan
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nan
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) shares, but tentative about paying the going market price of $14.28/share, might benefit from considering selling puts among the alternative strategies at their disposal. One interesting put contract in particular, is the January 2018 put at the $8 strike, which has a bid at the time of this writing of 97 cents. Collecting that bid as the premium represents a 12.1% return against the $8 commitment, or a 8.3% annualized rate of return (at Stock Options Channel we call this the YieldBoost ).
Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. And the person on the other side of the contract would only benefit from exercising at the $8 strike if doing so produced a better outcome than selling at the going market price. ( Do options carry counterparty risk? This and six other common options myths debunked ). So unless 3D Systems Corp. sees its shares fall 43.1% and the contract is exercised (resulting in a cost basis of $7.03 per share before broker commissions, subtracting the 97 cents from $8), the only upside to the put seller is from collecting that premium for the 8.3% annualized rate of return.
Below is a chart showing the trailing twelve month trading history for 3D Systems Corp. , and highlighting in green where the $8 strike is located relative to that history:
The chart above, and the stock's historical volatility, can be a helpful guide in combination with fundamental analysis to judge whether selling the January 2018 put at the $8 strike for the 8.3% annualized rate of return represents good reward for the risks. We calculate the trailing twelve month volatility for 3D Systems Corp. (considering the last 253 trading day closing values as well as today's price of $14.28) to be 73%. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
Top YieldBoost Puts of the S&P 500 »
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) shares, but tentative about paying the going market price of $14.28/share, might benefit from considering selling puts among the alternative strategies at their disposal. Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) shares, but tentative about paying the going market price of $14.28/share, might benefit from considering selling puts among the alternative strategies at their disposal. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised. Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) shares, but tentative about paying the going market price of $14.28/share, might benefit from considering selling puts among the alternative strategies at their disposal. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com.
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Investors considering a purchase of 3D Systems Corp. (Symbol: DDD) shares, but tentative about paying the going market price of $14.28/share, might benefit from considering selling puts among the alternative strategies at their disposal. For other put options contract ideas at the various different available expirations, visit the DDD Stock Options page of StockOptionsChannel.com. Selling a put does not give an investor access to DDD's upside potential the way owning shares would, because the put seller only ends up owning shares in the scenario where the contract is exercised.
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80369b89-fc2b-48de-9357-2e4701840c19
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717196.0
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2016-08-03 00:00:00 UTC
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3D Systems (DDD) Q2 Earnings Beat Estimates, Revenues Weak
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DDD
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https://www.nasdaq.com/articles/3d-systems-ddd-q2-earnings-beat-estimates-revenues-weak-2016-08-03
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nan
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nan
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Headquartered in Rock Hill, SC, 3D Systems Corp.DDD is a leading provider of 3D content-to-print solutions including 3D printers, print materials, on-demand custom parts services and 3D authoring solutions for professionals and consumers, worldwide. The company also provides scanners for a variety of medical and mechanical X-Ray film digital archiving.
3D Systems has been making consistent efforts to strengthen its operational efficiency and expand its business via acquisitions. Surging popularity of 3D printing in almost every field, ranging from automotive and consumer products to defense and industrial/business machines, has provided the much-needed pick-up for the company after a relatively gloomy 2015.
The company has had a dismal earnings history, wherein it missed estimates by a huge margin thrice in the last four quarters, leading to an average negative earnings surprise of 158.3%.
3D SYSTEMS CORP Price and EPS Surprise
3D SYSTEMS CORP Price and EPS Surprise | 3D SYSTEMS CORP Quote
Currently, DDD has a Zacks Rank #3 (Hold) but that could definitely change following its second-quarter 2016 earnings report, which has just released. We have highlighted some of the key stats from this just-revealed announcement below:
Earnings: DDD's adjusted earnings came in at 6 cents per share, beating the Zacks Consensus Estimate of breakeven level by a colossal margin.
Revenue: Revenues of $158.1 million lagged the Zacks Consensus Estimate of $161 million.
Key Stats: A continued challenging operating environment and a shift away from consumer products and services led to the 7% year-over-year decline in revenues.
Stock Price: Shares had risen about 3% and were trending up in pre-market trading session at the time of writing, as investors cheered the company's results.
Check back later for our full write up on this DDD earnings report later!
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Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
3D SYSTEMS CORP (DDD): Free Stock Analysis Report
To read this article on Zacks.com click here.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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Headquartered in Rock Hill, SC, 3D Systems Corp.DDD is a leading provider of 3D content-to-print solutions including 3D printers, print materials, on-demand custom parts services and 3D authoring solutions for professionals and consumers, worldwide. 3D SYSTEMS CORP Price and EPS Surprise 3D SYSTEMS CORP Price and EPS Surprise | 3D SYSTEMS CORP Quote Currently, DDD has a Zacks Rank #3 (Hold) but that could definitely change following its second-quarter 2016 earnings report, which has just released. We have highlighted some of the key stats from this just-revealed announcement below: Earnings: DDD's adjusted earnings came in at 6 cents per share, beating the Zacks Consensus Estimate of breakeven level by a colossal margin.
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3D SYSTEMS CORP Price and EPS Surprise 3D SYSTEMS CORP Price and EPS Surprise | 3D SYSTEMS CORP Quote Currently, DDD has a Zacks Rank #3 (Hold) but that could definitely change following its second-quarter 2016 earnings report, which has just released. Click to get this free report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Headquartered in Rock Hill, SC, 3D Systems Corp.DDD is a leading provider of 3D content-to-print solutions including 3D printers, print materials, on-demand custom parts services and 3D authoring solutions for professionals and consumers, worldwide.
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3D SYSTEMS CORP Price and EPS Surprise 3D SYSTEMS CORP Price and EPS Surprise | 3D SYSTEMS CORP Quote Currently, DDD has a Zacks Rank #3 (Hold) but that could definitely change following its second-quarter 2016 earnings report, which has just released. We have highlighted some of the key stats from this just-revealed announcement below: Earnings: DDD's adjusted earnings came in at 6 cents per share, beating the Zacks Consensus Estimate of breakeven level by a colossal margin. Click to get this free report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here.
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We have highlighted some of the key stats from this just-revealed announcement below: Earnings: DDD's adjusted earnings came in at 6 cents per share, beating the Zacks Consensus Estimate of breakeven level by a colossal margin. Click to get this free report 3D SYSTEMS CORP (DDD): Free Stock Analysis Report To read this article on Zacks.com click here. Headquartered in Rock Hill, SC, 3D Systems Corp.DDD is a leading provider of 3D content-to-print solutions including 3D printers, print materials, on-demand custom parts services and 3D authoring solutions for professionals and consumers, worldwide.
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aad5c535-03fe-4947-8b59-9be65bde8761
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717197.0
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2016-08-03 00:00:00 UTC
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Technology Sector Update for 08/03/2016: CALD,DDD,RUBI
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DDD
|
https://www.nasdaq.com/articles/technology-sector-update-08032016-calddddrubi-2016-08-03
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nan
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nan
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Top Tech Stocks
MSFT +0.53%
AAPL +1.26%
IBM -0.16%
CSCO +0.28%
GOOG +0.16%
Technology stocks were slightly higher in late-afternoon trading, with shares of tech companies in the S&P 500 hanging on to a 0.2% advance.
In company news, Callidus Software ( CALD ) slumped Wednesday after the company last night reported Q2 revenue trailing analyst expectations and guided revenue for the current quarter and the full fiscal year also lagging the Street view.
Excluding one-time items, the company earned $0.06 per share, beating the Capital IQ consensus by $0.01 per share. Revenue rose 19.7% to $49.8 million, missing the $50.32 million consensus.
The company also sees revenue for the three months ending next month in a range of $51.5 million to $52.5 million, while also forecasting FY16 revenue of $203 million to $207 million. Analysts, on average, are expecting $53.71 million and $208.57 million, respectively.
CALD shares were down about 7.5% at $18.48 apiece, rebounding from an earlier slide to a session low of $17.25 a share.
In other sector news,
(+) DDD, Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. Revenue falls 7.3% to $158.1 mln, narrowly missing the $160.9 mln analyst mean.
(-) RUBI, Lowers FY16 revenue forecast to $260-275 mln, trailing Street view by at least $20.25 mln. Keeps earnings guidance unchanged, still missing consensus call for this year by at least $0.05 per share. Q3 EPS, revenue outlook also lags estimates.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In other sector news, (+) DDD, Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. Technology stocks were slightly higher in late-afternoon trading, with shares of tech companies in the S&P 500 hanging on to a 0.2% advance. In company news, Callidus Software ( CALD ) slumped Wednesday after the company last night reported Q2 revenue trailing analyst expectations and guided revenue for the current quarter and the full fiscal year also lagging the Street view.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc. In other sector news, (+) DDD, Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. (-) RUBI, Lowers FY16 revenue forecast to $260-275 mln, trailing Street view by at least $20.25 mln.
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In other sector news, (+) DDD, Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. In company news, Callidus Software ( CALD ) slumped Wednesday after the company last night reported Q2 revenue trailing analyst expectations and guided revenue for the current quarter and the full fiscal year also lagging the Street view. Revenue rose 19.7% to $49.8 million, missing the $50.32 million consensus.
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In other sector news, (+) DDD, Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. In company news, Callidus Software ( CALD ) slumped Wednesday after the company last night reported Q2 revenue trailing analyst expectations and guided revenue for the current quarter and the full fiscal year also lagging the Street view. Excluding one-time items, the company earned $0.06 per share, beating the Capital IQ consensus by $0.01 per share.
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e0f3238d-49af-41da-9397-45cbb46b2511
|
717198.0
|
2016-08-03 00:00:00 UTC
|
Why 3D Systems Corporation Jumped After Earnings
|
DDD
|
https://www.nasdaq.com/articles/why-3d-systems-corporation-jumped-after-earnings-2016-08-03
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nan
|
nan
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Image source: 3D Systems.
What: Shares of 3D Systems (NYSE: DDD) were sharply higher on Wednesday after the company announced its second-quarter earnings before the market opened. At one point during the trading session, 3D Systems' stock was over 20% higher.
So what: In the second quarter, 3D Systems' revenue fell 7% year over year to $158.1 million, which translated to a GAAP net loss of $0.04 per share and a non-GAAP profit of $0.12 per share. Compared to the first quarter, revenue increased by 3.6%. The sequential increase in revenue may be the reason why investors are bidding up the stock, as it could be an early indication that the slowdown in customer demand it's experienced since early 2015 may have begun to stabilize.
Overall, strength from 3D Systems' materials, software, and healthcare solutions sales helped offset the impact of continued weakness from its core 3D printing hardware business. Specifically, its printer sales fell 30% year over year, which fell at an accelerated rate from the first quarter's 17% annual fall.
3D Systems reduced costs across the board, which led to improved gross margins and smaller operating loss. Second-quarter gross profit margin increased 300 basis points year over year to 50.9%, while operating expenses fell 20.2% year over year to $80.4 million. Its operating loss narrowed from $23.8 million last year to $3.7 million this year.
Now what: While there were several aspects of 3D Systems' earnings that suggest the company is making notable improvements in its business, its diversified business model masked the reality that its core 3D printer business deteriorated further. Unfortunately, without a notable improvement in 3D printer sales, which drives the long-term sale of consumables and materials, it doesn't seem likely that 3D Systems' business is anywhere near a full recovery.
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Steve Heller owns shares of 3D Systems. The Motley Fool recommends 3D Systems. 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 .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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What: Shares of 3D Systems (NYSE: DDD) were sharply higher on Wednesday after the company announced its second-quarter earnings before the market opened. Overall, strength from 3D Systems' materials, software, and healthcare solutions sales helped offset the impact of continued weakness from its core 3D printing hardware business. 3D Systems reduced costs across the board, which led to improved gross margins and smaller operating loss.
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What: Shares of 3D Systems (NYSE: DDD) were sharply higher on Wednesday after the company announced its second-quarter earnings before the market opened. So what: In the second quarter, 3D Systems' revenue fell 7% year over year to $158.1 million, which translated to a GAAP net loss of $0.04 per share and a non-GAAP profit of $0.12 per share. Specifically, its printer sales fell 30% year over year, which fell at an accelerated rate from the first quarter's 17% annual fall.
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What: Shares of 3D Systems (NYSE: DDD) were sharply higher on Wednesday after the company announced its second-quarter earnings before the market opened. So what: In the second quarter, 3D Systems' revenue fell 7% year over year to $158.1 million, which translated to a GAAP net loss of $0.04 per share and a non-GAAP profit of $0.12 per share. Second-quarter gross profit margin increased 300 basis points year over year to 50.9%, while operating expenses fell 20.2% year over year to $80.4 million.
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What: Shares of 3D Systems (NYSE: DDD) were sharply higher on Wednesday after the company announced its second-quarter earnings before the market opened. So what: In the second quarter, 3D Systems' revenue fell 7% year over year to $158.1 million, which translated to a GAAP net loss of $0.04 per share and a non-GAAP profit of $0.12 per share. Specifically, its printer sales fell 30% year over year, which fell at an accelerated rate from the first quarter's 17% annual fall.
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5341ab1c-9154-4648-b776-7f76c39eeaed
|
717199.0
|
2016-08-03 00:00:00 UTC
|
Technology Sector Update for 08/03/2016: DRWI,DDD,RUBI
|
DDD
|
https://www.nasdaq.com/articles/technology-sector-update-08032016-drwidddrubi-2016-08-03
|
nan
|
nan
|
Top Tech Stocks
WMT -0.66%
MCD -0.32%
DIS +1.05%
CVS -0.95%
KO +0.07%
Technology stocks were little changed in afternoon trading, with shares of tech companies in the S&P 500 hanging on to less than a 0.1% advance.
In company news, DragonWave (DRWI,DWI.TO) shares flamed out Wednesday after the electronic components manufacturer today priced a $6 million public offering of equity units consisting of shares of its common stock or pre-funded warrants to buy additional shares in addition to separate short- and long-term warrants.
The company plans to sell up to 1.79 million Class A units at $3.35 apiece, with buyers receiving one share of DragonWave stock, a five-year warrant exercisable at $4.37 a share and two six-month warrants exercisable at $4 a share. It also is offering an equal number of Class B units at $3.34 each and consisting of a pre-funded warrant to acquire one common share, one of the five-year warrants and two of the shorter-term warrants.
Participants in the deal can buy any combination of Class A and Class B units although investors whose purchase of Class A units would boost their individual stakes above the company's 9.99% ownership limit will instead be offered the Class B units. The company also disclosed plans for a $211,000 private placement of 63,000 Class A units for Canadian investors.
DRWI shares were down over 13% at $3.15 apiece, rebounding slightly from their session low of $3.06 a share. DWI.TO shares also were sharply lower, falling 13.4% to C$4.14 each in recent trade at the Toronto Stock Exchange.
In other sector news,
(+) DDD, (+19.1%) Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. Revenue falls 7.3% to $158.1 mln, narrowly missing the $160.9 mln analyst mean.
(-) RUBI, (-32.3%) Lowers FY16 revenue forecast to $260-275 mln, trailing Street view by at least $20.25 mln. Keeps earnings guidance unchanged, still missing consensus call for this year by at least $0.05 per share. Q3 EPS, revenue outlook also lags estimates.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
Copyright (C) 2016 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
|
In other sector news, (+) DDD, (+19.1%) Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. Technology stocks were little changed in afternoon trading, with shares of tech companies in the S&P 500 hanging on to less than a 0.1% advance. The company also disclosed plans for a $211,000 private placement of 63,000 Class A units for Canadian investors.
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In other sector news, (+) DDD, (+19.1%) Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. In company news, DragonWave (DRWI,DWI.TO) shares flamed out Wednesday after the electronic components manufacturer today priced a $6 million public offering of equity units consisting of shares of its common stock or pre-funded warrants to buy additional shares in addition to separate short- and long-term warrants. The company plans to sell up to 1.79 million Class A units at $3.35 apiece, with buyers receiving one share of DragonWave stock, a five-year warrant exercisable at $4.37 a share and two six-month warrants exercisable at $4 a share.
|
In other sector news, (+) DDD, (+19.1%) Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. In company news, DragonWave (DRWI,DWI.TO) shares flamed out Wednesday after the electronic components manufacturer today priced a $6 million public offering of equity units consisting of shares of its common stock or pre-funded warrants to buy additional shares in addition to separate short- and long-term warrants. The company plans to sell up to 1.79 million Class A units at $3.35 apiece, with buyers receiving one share of DragonWave stock, a five-year warrant exercisable at $4.37 a share and two six-month warrants exercisable at $4 a share.
|
In other sector news, (+) DDD, (+19.1%) Adjusted Q2 net income of $0.12 per share beats Wall Street consensus by $0.06 per share. Technology stocks were little changed in afternoon trading, with shares of tech companies in the S&P 500 hanging on to less than a 0.1% advance. The company plans to sell up to 1.79 million Class A units at $3.35 apiece, with buyers receiving one share of DragonWave stock, a five-year warrant exercisable at $4.37 a share and two six-month warrants exercisable at $4 a share.
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3d2bd106-469e-486a-8e1a-62a712ea7967
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