Tag Archives: ssys

What 3D Printer Rebound? Analysts Knock 3D Systems Despite Q4 Beat

Despite fourth-quarter earnings that beat expectations, 3D Systems ( DDD ) was hit by analyst reports saying that a rebound in its 3D printing business is not yet evident. On Monday, 3D Systems stock soared 25% to an eight-month high of 14.45 after the company posted  Q4 earnings  that topped Wall Street’s consensus estimate. But several analysts said that the stock took off due to short sellers buying the stock to cover their positions. 3D Systems stock was down 12%, near 12.50, in afternoon trading in the stock market today . 3D Systems’ Q4 earnings followed the March 3 Q4 earnings report from rival  Stratasys ( SSYS ), which also beat expectations, as did its guidance for 2016. The results from Stratasys and 3D Systems, the two biggest 3D printer companies, suggested that the field might finally be recovering from a rough couple of years. Analysts aren’t convinced. UBS analyst Steven Milunovich, in a research report Tuesday, maintained a sell rating on 3D Systems stock, with a price target of 9. “Management expects flattish revenue in 2016, citing poor visibility and unpredictable spending patterns,” Milunovich wrote. Weston Twigg, an analyst at Pacific Crest Securities, said in a research note that he expects low revenue growth from printers and materials in 2016. “Management believes industry conditions remain challenging, and it expects lots of volatility in quarter-to-quarter results,” Twigg wrote. He maintained a sector weight rating on 3D Systems stock. Among other ratings, JPMorgan downgraded 3D Systems to underweight but raised its price target to 10 from 9. Goldman Sachs maintained a neutral rating and price target of 10, while Jefferies maintained a hold and price target of 13.

3D Systems Q4 Earnings Suggest Better Times Ahead, Stock Jumps

3D Systems ( DDD ) reported better-than-expected fourth-quarter earnings Monday morning, as did rival Stratasys earlier in the month, sending both stocks up and suggesting hard times in the 3D printer market might be coming to a close. 3D Systems reported revenue of $183.4 million, in line with company estimates but well above Wall Street’s consensus estimate of $166.4 million. Revenue, though, fell 2% from the year-earlier quarter and marked the second quarter in a row of revenue deceleration, though Q4 was better than Q3’s 9% decline. The company reported earnings per share minus items of 19 cents, far above the consensus of 3 cents, as polled by Thomson Reuters. The company didn’t provide guidance. The results follow the Q4 earnings report from rival  Stratasys ( SSYS ) this month, which also beat expectations , as did its guidance for 2016. Together, the results from the biggest 3D printer compaies suggest the field might finally be recovering from a rough couple of years. 3D printer maker ExOne ( XONE ) is scheduled to report earnings before the market open Wednesday. 3D Systems stock was up 27%, at an eight-month high above 14.50, in morning trading in the stock market today . Stratasys stock was up 7%, near 26. ExOne stock was up 6.5%, near 11.50. “While market conditions remain challenging and uncertain, timing of health care and industrial customer orders as well as contributions from acquisitions supported revenue during the quarter,” 3D Systems interim CEO Andrew Johnson said in the company’s earnings release.

3D Systems Q4 Report Comes During Painful Time For 3D Printers

Working through a restructuring in a tough market, 3D printer maker 3D Systems ( DDD ) is scheduled to report fourth-quarter earnings before the market open Monday. The report follows that of rival Stratasys ( SSYS ), which on March 3 reported a Q4 loss and big drop in revenue that nevertheless beat expectations on the top and bottom lines. Earnings are also coming from 3D printer maker ExOne ( XONE ), before the market open Wednesday. 3D printer companies, which generated widespread excitement a few years ago on the idea that their products represented an innovative leap in manufacturing processes, have been hammered. Shares of Stratasys and 3D Systems, the two industry leaders, have been crushed since mid-2014, as both have posted disappointing quarterly earnings reports going back more than a year. But 3D printer stocks have rebounded in the past month-plus. 3D Systems stock closed Friday at 11.55, up more than 1%, after hitting its all-time low of 6 on Jan. 20. Stratasys closed at 24.19, up 3%. It hit an all-time low of 14.88 on Jan. 26. ExOne rose 5% to close at 10.93. It hit an all-time low of 6.61 on Jan. 20. 3D Systems expects to report Q4 revenue of about $183 million, down 2% year over year. The consensus analyst estimate is $166.4 million among analysts polled by Thomson Reuters. The consensus on earnings per share minus items is three cents, down 86%. It would be the fourth quarter in a row of EPS deceleration. “Industry conditions remain challenging, and demand may be uneven in the coming periods,” Andy Johnson, the company’s interim CEO and chief legal officer, said in a company statement on Feb. 25. “However, we are confident about the long-term opportunities for our technology and solutions.” 3D Systems was originally scheduled to report Q4 earnings on Feb. 29. The company delayed its report to give it more time to complete work on non-cash goodwill and intangible-asset impairment charges. These accounting changes aim to reflect a more realistic balance between the worth of company assets and their financial value. They also relate to the value placed on intangibles such as brand name recognition and reputation. 3D Systems expects these charges to be $510 million to $570 million but does not expect them to impact cash flow. 3D Systems had a dismal third quarter , as revenue fell 9%, its first year-over-year decline in more than 18 quarters. 3D Systems and Stratasys have made forays into the consumer market without much success. In December, 3D Systems announced that it would end production of its $999 Cubify printer, three years after entering the consumer field. Stratasys entered that market in July 2013 with its $403 million acquisition of MakerBot. It began reorganizing the unit in July and also lowered the book value of MakerBot.