NEW YORK (TheStreet) -- 3D printing companies proved popular on Monday as 3D Systems (DDD - Get Report), Stratasys (SSYS - Get Report), ExOne (XONE - Get Report) and Voxeljet (VJET - Get Report) made fresh gains.
Small-cap Voxeljet led the group, gaining 14% to $51.12 followed by industry-heavyweight 3D Systems which jumped 8.7% to $76.49. Stratasys, owner of MakerBot Industries, gained 7.1% to $127.46 and ExOne rounded up the bunch, climbing 3% to $60.07.
3D printing has been a hot commodity on markets through 2013. Year to date, 3D Systems, Stratasys and ExOne are up 115%, 59.1% and 126.2%, respectively. Since its IPO on Oct. 18, Voxeljet has soared 52.9%.
On Friday, the industry rallied as 3D Systems announced the launch of its affordable, consumer-focused 3D scanner Sense. Moderately-priced at $399 compared to $1,400 for Stratasys' Digitizer, Sense gave a glimpse of how the emerging technology can be marketed to the average consumer.
TheStreet Ratings team rates 3D Systems Corp as a Buy with a ratings score of B. The team has this to say about their recommendation:
"We rate 3D Systems Corp (DDD) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, growth in earnings per share, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- The revenue growth greatly exceeded the industry average of 2.9%. Since the same quarter one year prior, revenues rose by 49.9%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- DDD's debt-to-equity ratio is very low at 0.02 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with this, the company maintains a quick ratio of 4.40, which clearly demonstrates the ability to cover short-term cash needs.
- 3D Systems Corp has improved earnings per share by 6.3% in the most recent quarter compared to the same quarter a year ago. Stable earnings per share over the past year indicate the company has sound management over its earnings and share float. We anticipate these figures will begin to experience more growth in the coming year. During the past fiscal year, 3D Systems Corp increased its bottom line by earning 47 cents a share vs. 47 cents a share in the prior year. This year, the market expects an improvement in earnings (97 cents vs. 47 cents).
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Computers & Peripherals industry average. The net income increased by 30.6% when compared to the same quarter one year prior, rising from $13.52 million to $17.66 million.
- Net operating cash flow has increased to $31.64 million or 39.8% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 6.99%.
- You can view the full analysis from the report here: DDD Ratings Report