Taking a Fresh Look at the Valuations of Major 3D Printing Companies
The past week has been quite eventful for the major 3D printing companies. As we know, publicly traded companies are required to post their financial reports and appear on stock markets. By multiplying the current stock price by the number of outstanding shares, we can calculate the total value of a company, also known as its market capitalization. This figure represents the company’s current valuation and is crucial for numerous reasons. Not only does it allow us to compare companies, but it also enables them to leverage their market capitalization for additional capabilities. For instance, companies can use their shares as collateral to secure loans or generate cash for new projects. Hence, monitoring these valuations on a weekly basis becomes significant as events can cause the value of a company to rise or fall.
It is worth noting, however, that our list does not include all major 3D printing companies. Some of them are not publicly traded, like EOS, which means their true size remains unknown to us. Others, such as HP or Siemens, have substantial 3D printing divisions, but they are part of much larger enterprises, making it difficult to determine the true size of their 3D printing activities. Nevertheless, let’s focus on the 3D printing companies that made the list this week.
Unfortunately, it has been a particularly challenging week for these companies, with the total value dropping by over 7.5%. This decline is not entirely surprising, considering that the overall market also experienced a 1-2% drop. However, our 3D printing companies tend to exaggerate larger market trends. While no company emerged as a clear winner this week, FATHOM did manage to rise by three percent. However, it is important to note that the company is still at a low valuation, as it had previously undergone a significant collapse.
Some interesting shifts took place this week, notably with 3D Systems, which saw a steep drop of over 15%. This decline could possibly be attributed to an announcement from Align, a major producer of dental aligners through 3D printing. Align revealed that it would be acquiring Cubicure, an Austrian company specializing in manufacturing 3D printer resin. Cubicure’s “hot lithography” process allows for the use of more viscous resins, enabling the exploration of new materials. Despite the lack of overlap between Align’s acquisition and 3D Systems’ offerings, investors seemed concerned, causing the stock value of 3D Systems to plummet.
In response to the situation, 3D Systems provided reassurance by stating that their relationship with Align remains strong. However, the drop in valuation pushed 3D Systems down to fourth place on the leaderboard, a position they had never occupied since we started tracking valuations. This turn of events also raises doubts about 3D Systems’ proposal to acquire Stratasys, which was initially deemed viable given their significant lead in valuation. Now, however, the tables have turned, with Stratasys boasting a valuation 33% higher than that of 3D Systems.
Curiously, Desktop Metal experienced a drop of over eleven percent this week. This decline coincided with the company announcing a special meeting of stockholders to vote on the proposed merger with Stratasys. Although company management strongly recommends voting in favor of the merger, it is possible that an alternate deal between 3D Systems and Stratasys could nix the merger altogether. In such a scenario, Desktop Metal would be entitled to a substantial penalty fee to cancel the merger agreement. It is unclear why the merger news led to a drop in Desktop Metal’s value, as one would expect investors to view it positively. The outcome of the voting will undoubtedly shed light on the situation.
In conclusion, this week has proven to be a rollercoaster ride for the major 3D printing companies. With significant drops in valuations and unexpected shifts in the leaderboard, it is evident that the market for 3D printing continues to be dynamic and full of surprises. As investors and industry enthusiasts, we must stay vigilant and closely monitor these developments to better understand the trends and potential impact on the future of 3D printing.
All Aboard the 3D Printing Train!
In the world of 3D printing, exciting developments are always on the horizon. Recently, a company called Essentium made headlines when they announced their plans to launch on NASDAQ through a SPAC-merger. However, it seems that their plans have hit a roadblock, leaving us curious about their next move.
While keeping a close eye on Essentium, another company that has caught my attention is ICON, a construction 3D printer manufacturer based in Texas. This privately-held company has managed to secure an impressive investment of nearly half a billion dollars. With that level of funding, it wouldn’t be surprising if they decide to make the leap into public markets. If they do, they could easily find themselves at the forefront of the 3D printing industry.
Another strong contender for going public is VulcanForms, a manufacturing service that utilizes advanced metal 3D printing technology. With a current private valuation of over one billion dollars, a successful public offering could skyrocket their value even further.
If you are aware of any other publicly-traded 3D printing companies that have the potential to dominate the industry, we would love to hear your insights! It’s important to note that while we have been closely following publicly-listed companies, there are numerous private companies that operate beneath the radar. These privately-held ventures often hold significant value, even if we can’t precisely determine their worth at any given moment. Some of the bigger players in the private realm include EOS, Carbon, and Formlabs. Perhaps in the near future, we will witness these companies make their way onto the public stage and solidify their positions as major players.
Finally, it’s worth mentioning that there are several companies deeply involved in the 3D printing industry, but it constitutes just a small fraction of their overall operations. As a result, it wouldn’t be fair to include them in the lists discussed above, as we can’t definitively determine the extent of their 3D printing activities.
So, buckle up and stay tuned for more updates on the ever-evolving world of 3D printing. Exciting times lie ahead, and we’re here to bring you all the latest developments.
