3D Systems (DDD) received a downgrade which affected other 3D printing stocks such as Stratasys (SSYS).
Bank of America-Merryl Lynch changed its rating on DDD stock from “buy” to “underperform” on Monday. The bank believes that 3D Systems’ organic rate growth will peak sometime in 2014 before dropping.
3D printing stocks have also caught TheStreet Ratings team’s attention as they have rated 3D Systems a “buy” with a B- ratings score. The team said that the stock has more strengths than weaknesses including the company’s robust revenue growth.
TheStreet Ratings team also mentioned 3D Systems’ solid financial position with manageable debt, “its growth in earnings per share, compelling growth in net income and good cash flow from operations.” The team said that these strengths outweigh the company’s disappointing return on equity.
DDD stock is down close to 7% Monday afternoon. SSYS stock is down about 1.75%.
More on 3D Printing Stocks
- 2 You Want, 3 You Don’t
- 3D Printing Stocks That Crank Out Profits
- Stratasys Upgrade Bump