The analyst firm set a price target of $50 for the 3D printing company.
Oppenheimer said the upgrade was due to a valuation call, noting that it expects the company's earnings to bottom out this year. The analyst firm said it views Stratasys as the best option for investors looking for exposure to 3D.
"First, it is executing fine on the largest portion of its mix while issues at MakerBot are likely known," the analysts wrote. "Given easing spending and reorganization, respectively, a little volume could cement 1H15 and 2015 as troughs. Second, it is cheap against its own history and relative to its largest peer. Third, we think it is more secure and has more opportunities as new competition emerges."
Insight from TheStreet's Research Team:
Stratasys is a core holding of Bryan Ashenberg's GrowthSeeker.com Portfolio. During the most recent weekly roundup, this is what Bryan had to say about the stock:
Stratasys (Technology -- SSYS:Nasdaq, 275 shares, 2.05%; $47 price target): Stratasys continued on its downward spiral, falling 1%. It is clear that management cannot outmanage poor industry trends, if not poor company fundamentals. We believe our bullishness on the 3D space will eventually prove correct, but eventual correctness is not a winning investment formula. We are holding the shares with an eye toward selling the stock into strength.