December 5, 2023


Super Technology

3D Systems (DDD) Gains But Lags Market: What You Should Know

In the latest trading session, 3D Systems (DDD) closed at $27, marking a +0.19% move from the previous day. This move lagged the S&P 500’s daily gain of 1.66%. Elsewhere, the Dow gained 1.39%, while the tech-heavy Nasdaq added 1.24%.

Prior to today’s trading, shares of the maker of 3D printers had lost 24.87% over the past month. This has lagged the Computer and Technology sector’s loss of 1.7% and the S&P 500’s gain of 1.91% in that time.

Investors will be hoping for strength from DDD as it approaches its next earnings release. In that report, analysts expect DDD to post earnings of $0.03 per share. This would mark year-over-year growth of 175%. Meanwhile, our latest consensus estimate is calling for revenue of $134.67 million, down 0.03% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $0.25 per share and revenue of $568.99 million, which would represent changes of +327.27% and +2.6%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for DDD. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company’s business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 62.96% lower. DDD is currently sporting a Zacks Rank of #4 (Sell).

Valuation is also important, so investors should note that DDD has a Forward P/E ratio of 107.8 right now. For comparison, its industry has an average Forward P/E of 19.42, which means DDD is trading at a premium to the group.

It is also worth noting that DDD currently has a PEG ratio of 4.15. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company’s expected earnings growth rate. DDD’s industry had an average PEG ratio of 1.8 as of yesterday’s close.

The Computer – Mini computers industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 110, putting it in the top 44% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow DDD in the coming trading sessions, be sure to utilize

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