Tag Archives: NASDAQ

Top 3D Printing Headlines Last Week: E. Coli, Dentistry, Fashion, IPOs

Synthetic Biology 3D Printing

A roundup of the top news On 3D Printing brought you from January 22 to January 27.

Tuesday, January 22

Wednesday, January 23

3D Printing Company ExOne to Raise $75 Million in IPO on NASDAQ

ExOne IPO 3D Printing

3D printing firm ExOne has filed to go public. Based in North Huntingdon, PA, ExOne plans to raise up to $75 million in an IPO and list on the NASDAQ with the symbol XONE. The company’s latest annual revenue figure was $19 million.

Founded in 2003, ExOne develops 3D printing and additive manufacturing technology. As described on their website:

Our process solutions give manufacturers the freedom to produce objects that have virtually unlimited design complexity. We collaborate with our clients through the entire development and production process so that they are able to “materialize” new concepts — designs, prototypes, and production parts — precisely when needed.  Production scale is irrelevant and lot quantities of one are just as efficient as lot quantities of one thousand. We offer both the services and the equipment to enable point-of-use manufacturing using additive manufacturing processes.

We support the use of traditional industrial strength materials ranging from metals to ceramics to glass, all used in revolutionary ways. Our full range of offerings also includes services and equipment for fabricating on a “micro” scale, which enables machining of small features with precision and speed. ExOne is the optimal partner for any industrial manufacturer who is transitioning their manufacturing business to the digital age.

Below is a video showing ExOne’s digital part materialization (3D printing) process for printing sand casting molds and cores, beginning with a digital file, going through solidification analysis, printing and finally casting a finished industrial part.

See our other posts about 3D printing stocks.

3D Printing Stocks are Hot: Top Public Companies Up 180% Over 6 Months

3D Printing Public Stocks

There are a small number of public companies in the 3D printing industry today. The leading stocks are 3D Systems (NYSE:DDD), Stratasys (NASDAQ:SSYS), and Proto Labs (NYSE:PRLB). The chart above shows a 6-month comparison of this aggregate 3D printing portfolio vs. the S&P, Dow Jones, and NASDAQ. 3D printing names are up over 180%.

The 3D printing industry, also known as additive manufacturing and rapid prototyping, is at an inflection point.

Where to Invest?

For those looking to consider an investment in 3D printing stocks, Seeking Alpha’s analysis of the leading companies can be helpful.

First a reality check on the current state of the market.

Unfortunately the concept has limited commercial production capabilities and material challenges. Over time, these will naturally become less and less of a problem. For now though, several sectors such as aviation parts and medical devices can benefit greatly from the ability to RP. Not to mention, any wealthy person that wants to make their own iPhone case at home.

Then an analysis of each stock. Excerpts below:

3D Systems is leading the 3D printing market, but unfortunately investors missed the golden opportunity to buy back at the end of December when the stock still traded around $15. It now fetches over $30.

With a forward PE of 23, the stock trades roughly in line with the expected growth rate. While not cheap, it isn’t expensive and actually provides a solid earnings profile unlike most of the recent IPOs in the hot sectors of social media and cloud computing.

Stratasys provides another option in 3D printing, but the stock has likewise more than doubled since the lows back in October of last year. The company recently released the Mojo 3D Printer which is the market’s lowest-priced professional-grade complete 3D printing system priced at $9,900.

This stock trades at a richer valuation than 3D Systems with a forward PE of over 30. The company also only reported 30% revenue growth for Q112 while analysts only forecast 15% long term growth.

The recent announced merger with Objet is expected to launch Stratasys into a leadership position in the 3D Printing market. The combined company will rival the $1.5B market cap of 3D Systems along with the revenue size.

Proto Labs is an alternative investing option in 3D rapid prototyping and manufacturing short-runs of real parts. The company went public back in February, but the stock appears to have a similar pricey multiple as the 3D printing sector.

The company reported 34% revenue growth and a solid 25.5% operating margin. At a forward PE of 29, the company trades in the range of its long term growth rate. With revenue expectations of around $127M for 2012, the company remains relatively small.

Read the full analysis at Seeking Alpha.

Disclaimer: Please consult a financial advisor before making any investment decisions.

Stratasys Merges with Objet to Create 3D Printing Powerhouse in $1.4 Billion Deal

Consolidation is in the air! Last week we saw 3D Systems acquire My Robot Nation. This week, Stratasys (NASDAQ:SSYS) announced a plan to merge with Objet Ltd. in an all-stock transaction valuing the newly combined company at $1.4 billion, according to a press release.

The combined company, which will retain the Stratasys name and operate under the name Stratasys Ltd., will have dual headquarters in Eden Prairie, Minnesota and Rehovot, Israel, the locations of Stratasys’ and Objet’s current headquarters, respectively, and will be registered in Israel. The company will continue to trade on NASDAQ under the ticker SSYS. Scott Crump, co-founder, current chief executive officer and chairman of Stratasys, will become full-time chairman of the combined company. Upon completion of the transaction, the combined company will also form an executive committee comprised of four members of the board of directors whose duties will include overseeing the integration of Stratasys and Objet and implementing the combined company’s business strategy. Elchanan Jaglom, current chairman of Objet, will serve as chairman of the executive committee of the combined company.

We recently featured Stratasys’s Global 3D Printing Design Competition and Objet’s role in Hollywood Special Effects.

Stratasys beat analysts expectations for Q1 2012, pulling in revenue of $45 million compared to expectations of $42 million.

Stratasys classifies itself as “a leading manufacturer of 3D printers and production systems for prototyping and manufacturing applications”, and privately held Objet Ltd. as “a leading manufacturer of 3D printers for rapid prototyping.” Once merged, this entity will have an undeniable leadership position in the emerging 3D printing industry.

More details of the merger are available in an investor presentation prepared by Stratasys.

The merger story is also covered by Yahoo! Finance and the Wall Street Journal.