3D Systems gets slammed on quarterly sales

The company may be selling printers, but without the printing materials sales to match, the market got spooked.

By Motley Fool Investor Beat Apr 29, 2014 4:14PM
3D Systems (DDD) saw its shares dented Tuesday as much as 9 percent after the company released earnings. While sales of the company's actual printing systems were up 53 percent this quarter, sales of its higher-margin printing materials were not as impressive.

That imbalance damaged the company's overall margins, compressing the bottom line.

In Tuesday's Stock of the Day, Motley Fool analyst Simon Erickson says he's bullish on 3D Systems' prospects from here.
He sees big initiatives coming from the company at the moment, largely aimed at the consumer side of 3-D printing. Simon looks into 3D Systems' partnership with Google (Caption: 3D prints by company Sculpteo are on display at the Consumer Electronics Show (CES) in Las Vegas, USA, 07 January 2014
Credit: © Britta Pedersen/dpa/CorbisGOOG) on its Project Ara, the modular cell phone project that could allow consumers to upgrade individual parts of their smartphones rather than buying entirely new and expensive ones. He also discusses one new way for consumers that may never have been exposed to 3-D printing to access the ability to print with several different materials.

So after Tuesday's pullback and with the company's new ventures on the horizon, should investors consider buying today? Simon thinks so. He sees more and more data emerging that 3-D printing is a legitimate industry that is here to stay, and believes 3D Systems is well placed to compete in that market.

The Motley Fool's 12 top stocks for 2014 are now available! So if you're tired of picking stocks out of a hat and hoping that one skyrockets, check out Stocks 2014: The Investor's Guide to the Year Ahead. It's The Motley Fool's current top report, and includes Chief Investment Officer Andy Cross's top stock for 2014! This under-the-radar company is the secret winner in the war for the last precious drops of oil on the planet. Find out what it is and how you can take advantage of this unseen company's huge profits in this special, free report, just click here now.

Tags: DDDGOOG
0Comments

DATA PROVIDERS

Copyright © 2014 Microsoft. All rights reserved.

Fundamental company data and historical chart data provided by Morningstar Inc. Real-time index quotes and delayed quotes supplied by Morningstar Inc. Quotes delayed by up to 15 minutes, except where indicated otherwise. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by Morningstar Inc.

STOCK SCOUTER

StockScouter rates stocks from 1 to 10, with 10 being the best, using a system of advanced mathematics to determine a stock's expected risk and return. Ratings are displayed on a bell curve, meaning there will be fewer ratings of 1 and 10 and far more of 4 through 7.

125
125 rated 1
267
267 rated 2
455
455 rated 3
612
612 rated 4
682
682 rated 5
695
695 rated 6
632
632 rated 7
472
472 rated 8
279
279 rated 9
147
147 rated 10
12345678910

Top Picks

SYMBOLNAMERATING
VZVERIZON COMMUNICATIONS9
TAT&T Inc9
CTLCENTURYLINK Inc8
EXCEXELON CORPORATION8
AAPLAPPLE Inc10
More

VIDEO ON MSN MONEY

ABOUT

Top Stocks provides analysis about the most noteworthy stocks in the market each day, combining some of the best content from around the MSN Money site and the rest of the Web.

Contributors include professional investors and journalists affiliated with MSN Money.

Follow us on Twitter @topstocksmsn.