UPDATE: Brean Capital Reiterates on 3D Systems on Solid Outlook Going Forward

In a report published Wednesday, Brean Capital analyst Ananda Baruah reiterated a Buy rating on

, and raised the price target from $77.00 to $86.00. In the report, Brean Capital noted, “We reiterate our Buy rating and are raising our TP to $86 (from $77). Our new TP implies a PEG ratio of 1.3x-1.4x our next 2-year EPS CAGR of 36%, which is consistent with our prior valuation methodology, as our framework remains within historical valuation ranges of 1.3x-1.5x. We believe the stock can continue to work higher given the strong fundamental backdrop, particularly given the following: 1) acceleration of organic growth to 30%, 2) acceleration of unit growth leading to higher margin materials revenue, 3) high short interest (~22%), and 4) recent product introductions that should continue into January.” 3D Systems closed on Tuesday at $78.02.