If you're a fan of investing in stocks, bonds and other securities, it's no secret that Barron's is one of the more valuable publications to spend time reading. The weekly financial newspaper featured analysis from FBR & Co. - an investment bank based in the DC Metro area - this week which calls for relatively strong performance from the large publicly traded 3d printing companies over the next 12 months.
The newspaper's "Soapbox AM" section featured analysis from FBR & Co. on Stratasys, 3D System, Materialise and Ex One, with particularly positive language aimed at Stratasys and ExOne, although it does admit with ExOne it is a bit of a speculative call (aren't they all?).
"We are initiating coverage of Stratasys ( SSYS ) with an Outperform rating and a 12-month price target of $29 per share. Additive manufacturing’s future is bright, and as the sector’s largest player with dominant positions in its technologies, we think Stratasys stands to gain," the report reads. That is especially so given our view that emerging competition should be less impactful on Stratasys than its peers.
With regard to 3D Systems, the note from FBR & Co. notes that while secular trends should help the company in the long term, the recent management struggles and increased competition make things challenging for the the company listed as DDD on the NYSE.
"The future of additive manufacturing is uncommonly bright, and we believe that as the sector’s second-largest player, 3D Systems stands to gain. In the short term, however, the secular story is having difficulty finding traction," the report reads. "Plastics technologies must advance further, and 3D Systems, following a period of poor execution during which it turned over much of its senior executive ranks and shattered investor confidence, is embarking on a restructuring. It is unclear how effective this process will be, and it is occurring at a time of emerging competition that would seem to disproportionately threaten the company."