The largest of the 3D printing companies measured by market cap, 3D Systems Inc. (NYSE: DDD), said this morning that it has completed its $55 million acquisition of Geomagic, a software company that builds the tools that are used to create and design 3D content. 3D Systems said it expects Geomagic to contribute about $17 million to its 2013 revenues, which would lift the company’s revenue guidance for the year to a new range of $457 million to $502 million.
3D printing has grabbed a lot of attention recently, and equipment makers 3D Systems, Stratasys Ltd. (NASDAQ: SSYS) and ExOne Co. (NASDAQ: XONE), as well as service provider Proto Labs Inc. (NYSE: PRLB), all trade at forward multiples of around 25 or more. (ExOne just came public and has no earnings so far.)
The consensus estimate for 3D Systems’ 2013 revenues had been $453 million, so today’s announcement from the company should boost that to around $470 million. It would be surprising if the estimate failed to get a bigger boost than that, given the investor spotlight on 3D printing.
Shares of 3D Systems are up 1.2% in early trading this morning, at $35.53 in a 52-week range of $13.93 to $47.99. The 52-week high was set in late January, and the pullback from that high began in earnest following the ExOne initial public offering.
“The Next NVIDIA” Could Change Your Life
NVIDIA has returned 250-fold in the past 10 years as artificial intelligence took off.
But if you missed out on NVIDIA’s historic run, your chance to see life-changing profits from AI isn’t over.
The 24/7 Wall Street Analyst who first called NVIDIA’s AI-fueled rise in 2009 just published a brand-new research report named “The Next NVIDIA.”
The report outlines key breakthroughs in AI and the stocks ready to dominate the next wave of growth. The report is absolutely free. Simply enter your email below
By providing your email address, you agree to receive communications from us regarding website updates and other offerings that may be of interest to you.
You have the option to opt-out of these emails at any moment. For more information, please review our Disclaimer and Terms of Use.