3D printing stocks slump, ETF bearish on 3D Systems


3D printer makers 3D Systems (DDD -3.8%), Stratasys (SSYS -4.5%), and ExOne (XONE -10.5%) are all continuing their September selloffs today. ExOne, fresh off pricing a 2.7M-share stock offering, is now down 20% since Sep. 5. Stratasys, which announced a 4M-share offering on Monday, is down more than 10% over the same time.

The Ranger Equity Bear ETF (HDGE) has taken a short position in 3D Systems. Among other things, the fund's managers are critical of 3D's valuation (10x and 112x trailing revenue and EPS) and a lengthening cash conversion cycle (up 24 days in Q2 to 107 days).

The Nasdaq's latest short interest data indicates all 3 names remain well-shorted. 29.4% of 3D Systems' float was shorted as of Aug. 30. For Stratasys, the figure is 10%, and for ExOne it's 27.6%.

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Comments (6)
  • pagreen1966
    , contributor
    Comments (661) | Send Message
     
    It was only a matter of time. I doubled my money on (DDD) last year but I wasn't prepared to hold onto the stock once it reached nose bleed levels.

     

    The valuation was just not justified by the actual fundamentals and fundamentals always win in the end. Take note (TSLA) shareholders!
    12 Sep 2013, 12:45 PM Reply Like
  • 3D Printing Investor
    , contributor
    Comments (525) | Send Message
     
    This was not unexpected. Three days ago I cautioned 3D printing investors that the stocks were not participating in broader market rallies over the last two weeks, that caution in buying new shares, or even taking profits as I did on several might be wise: http://bit.ly/1e6EZwf
    12 Sep 2013, 12:58 PM Reply Like
  • studiophototrope
    , contributor
    Comments (46) | Send Message
     
    3D Systems is actually holding up quite well, given the current and sudden bearish outlook for the sector leaders.
    An ETF announces it's short DDD, 2 secondaries from SYSS and XONE, bearish analyst comments, constant talk of "PE's"....And yet 3D looking to stay above the pivot point.

     

    I'm not a buyer here...but I wouldn't be jumping on the bear bandwagon quite yet...
    12 Sep 2013, 01:30 PM Reply Like
  • User 15517052
    , contributor
    Comment (1) | Send Message
     
    Another 5-10% down and we start to... buy buy buy!?
    12 Sep 2013, 02:15 PM Reply Like
  • User 8154081
    , contributor
    Comment (1) | Send Message
     
    So you experts please tell me, how to you justify TSLA STOCK PRICE, it must be based on FUNDAMENTALS???
    12 Sep 2013, 08:03 PM Reply Like
  • TryingToMakeSenseOfItAll
    , contributor
    Comments (48) | Send Message
     
    Kicking myself for not picking up at least a few shares when ARCAM hit 88 the other day. Was looking for Gary's 80. W\ell not looking exactly, more like hoping.

     

    SGLB surprisingly closed the last 2 days out at pretty acceptable numbers. After reading the PWC report on the industry I don't see growth in the metal printers until quality is there at an effective cost. That stuff has to have the same quality as the real deal or it doesn't have a chance. To really take it to the next step these companies need a SGLB or an SGLB type product to make it to the next level of acceptance. There is just no way this will work without the in place QA. If they can nail that, I think this has a LONG way to go.
    12 Sep 2013, 08:06 PM Reply Like
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