Market Overview

Pacific Crest Slashes Price Target for 3D Systems

Share:
Related DDD
3D Systems New CFO Suggests The Company Is In Phase 2 Of Turnaround
Materialise Remains Pacific Crest's Favorite Near-Term Idea In 3D Printing
The Vetr community has upgraded $DDD to 3-Stars. (Vetr)

In a note released Tuesday, Pacific Crest analyst Weston Twigg cut the price target for 3D Systems (NYSE: DDD) from $91 to $65 but has the company rated at Outperform.

Twigg responded to Tuesday's approximately 11 percent sell off based on what he called a "relatively clean earnings call" by stating, "We now think sentiment has turned too negative and is overdone."

Twigg noted that although concerns about gross margin are valid, growth appears to be the key factor. On this Twigg acknowledged that gross margin fell to 40 percent, but maintains that gross margin will improve from new products ramping up to volume production. Additionally, Twigg estimates that annual revenue growth will range from 30 - 40 percent over the next two years.

In his closing comments, Twigg noted that both reiteration of EPS guidance and stabilizing operating expenses, as well as the expected midyear acquisition of Robtec, are positive signs.

Latest Ratings for DDD

DateFirmActionFromTo
May 2016FBR CapitalInitiates Coverage onMarket Perform
Apr 2016NeedhamDowngradesBuyHold
Apr 2016CitigroupDowngradesNeutralSell

View More Analyst Ratings for DDD
View the Latest Analyst Ratings

Posted-In: Pacific Crest Weston TwiggAnalyst Color News Price Target Analyst Ratings

 

Related Articles (DDD)

View Comments and Join the Discussion!