3D Systems: Healthcare And Metal Pivot Drives Re-Rating

Moretus Research
551 Followers

Summary

  • Initiate Strong Buy on 3D Systems with $4 PT, driven by healthcare and metal additive manufacturing pivots, despite near-term topline headwinds.
  • Cost structure reset and Geomagic divestiture provide margin stabilization, liquidity, and operational flexibility, positioning DDD for a post-FY25 recovery.
  • Healthcare and dental expansion, especially NextDent 300, are underappreciated catalysts for revenue growth and market re-rating into FY26.
  • Valuation reflects conservative FY25, but models above-consensus FY26 recovery; risk/reward skews favor patient investors as new platforms ramp.

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izusek

Healthcare and Metal Pivot Sparks Re-Rating

We initiate on 3D Systems Corporation (NYSE:DDD) with a Strong Buy rating and $4 PT. 3D Systems provides end-to-end AM and digital manufacturing capabilities — across hardware, materials, and proprietary software — spanning healthcare, dental, aerospace, and biotech. While investors remain fixated on

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Moretus Research delivers state-of-the-art, buy-side quality equity research for serious investors seeking clarity, conviction, and alpha. Focused on U.S. public markets, Moretus applies a structured, repeatable framework to identify companies with durable business models, mispriced cash flow potential, and intelligent capital allocation. Built on institutional standards, Moretus Research combines rigorous fundamental analysis with a high-signal, judgment-driven process—eschewing noise, narrative, and overly complex forecasting. Valuation is based on pragmatic, sector-relevant multiples tailored to each company’s business model and capital structure, with an emphasis on comparability, simplicity, and relevance. Research coverage tends to favor underappreciated companies undergoing structural change or temporary dislocation—situations where dispassionate analysis and variant perception can lead to asymmetric returns. All work reflects a deep respect for capital, discipline, and long-term compounding. Moretus Research aims to raise the standard for independent investment research—providing professional-grade insights, actionable valuation, and a strong filter for what truly matters in modern equity analysis.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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