3D Printing Companies: Valuations and Market Trends
In this week’s analysis, we once again delve into the valuations of major 3D printing companies. While some may argue that monitoring these companies on a weekly basis is unnecessary, it is crucial to keep track of the events that may impact their value in the long run.
Firstly, it’s important to note that our list does not include all major 3D printing companies. Some are not publicly traded, making it difficult to ascertain their true size. Take EOS, for example, a giant in the 3D printing industry whose true value remains unknown to us. Similarly, conglomerates like HP and Siemens have substantial 3D printing divisions, but their overall size and impact on the 3D printing market are hard to determine.
Now let’s take a look at this week’s leaderboard. Unfortunately, it was a rather disastrous week for the companies on our list, as the total valuation dipped by a notable 15%. This significant decrease raises concerns about the stability and growth potential of these companies. To put it into perspective, if this trend continues, the leaderboard could potentially be worth ZERO by the middle of November.
Interestingly, this dip seems to go against the general market trends of slight upward or flat movements. Typically, 3D printing companies tend to exaggerate these market trends, but this week they performed worse than expected. It appears that specific concerns related to certain companies dragged down the overall valuation of the leaderboard.
Despite this overall decline, Stratasys is still at the top, maintaining its position for several weeks now. This is primarily due to the ongoing takeover saga surrounding the company. Stratasys is currently considering its options, weighing the possibility of partnering with 3D Systems or other potential suitors. Although the company experienced a drop of over nine percent this week, it was still less severe compared to the average decline of the other companies on the leaderboard.
In contrast, 3D Systems saw a significant drop of almost 14% in value this week, continuing its downward trajectory that began with its attempts to acquire Stratasys. It seems that the bid to take over Stratasys attracted attention from investors, potentially leading to this negative effect. To add more context, at the start of this year, 3D Systems held a 20% larger value than Stratasys. However, the tide has turned in the past few months, with Stratasys now more than 50% larger than 3D Systems. Given that a substantial portion of 3D Systems’ takeover bids relied on leveraging their share capital, it appears unlikely that they could mount an attractive bid at this point. This realization may have contributed to the drop this week as investor interest in 3D Systems waned.
Another company caught in the takeover saga, Nano Dimension, experienced a slight increase of 2.5% this week. This can be attributed to their announcement of a groundbreaking AI-based patent applicable not only to additive manufacturing but also to other manufacturing technologies. This innovative development sparked investor interest, positively impacting the company’s valuation.
Meanwhile, Desktop Metal, the company that Stratasys intended to merge with, suffered a twelve percent decline this week. This drop is most likely a result of Stratasys shareholders rejecting the merger proposal. Rejections of this nature often lead to a decrease in valuation.
FATHOM, on the other hand, experienced a sharp decline of over 21% this week, likely due to a recent reverse stock split. While this action was necessary to maintain their position on the stock exchange, it often results in lower valuations.
In terms of upcoming companies, Essentium generated buzz by announcing plans to launch on NASDAQ through a SPAC-merger. However, the deal has been suspended, leaving us curious about the company’s next steps and potential impact on the market.
Lastly, one company to keep an eye on is ICON, a privately-held Texas-based construction 3D printer manufacturer. They have managed to raise an impressive amount of investment totaling almost half a billion dollars. With such significant funding, their future endeavors could greatly influence the 3D printing market.
As we continue to follow the developments in the 3D printing industry, it is crucial to pay attention to the valuations and market trends of major companies. Although this week’s dip has caused concern, it is essential to remember that the market is dynamic, with fluctuations occurring regularly. Only time will tell how these companies will fare in the coming weeks and months.
Blog Post: The Potential Rise of 3D Print Companies in the Public Markets
In the world of 3D printing, there are always new and exciting developments to keep an eye on. One trend that has been gaining traction recently is the transition of certain companies into the public markets. This move not only highlights their success and growth but also presents an opportunity for investors to capitalize on their potential.
One company that stands out in this regard is VulcanForms. They have developed a unique manufacturing service that utilizes an advanced metal 3D printing process. With a current private valuation of over US$1B, going public could significantly increase their market value. This would surely place them among the top players in the industry.
While we’re discussing companies making the leap to the public markets, it is worth noting that there might be others in the field that we are not aware of. As of now, we have been primarily focusing on publicly-traded 3D print companies. However, numerous private companies exist, operating without being listed on any stock exchange. These firms hold substantial value, although determining their exact worth at any given moment is challenging.
Some of the prominent privately-held companies include EOS, Carbon, and Formlabs. They are highly anticipated to become major players in the industry someday and could potentially join the ranks of our leaderboard. Their potential entry into the public markets would undoubtedly attract significant investor attention and influence the industry’s growth.
It is also important to consider that many companies engaged in the 3D print industry might not be solely dedicated to this area. While their involvement is noteworthy, it wouldn’t be fair to place them on the same list as companies primarily focused on 3D printing. This is because we have limited knowledge of the extent of their 3D print activities. These companies could have vast operations in various sectors, making it difficult to assess their overall influence on the 3D print market.
As the industry continues to evolve, keeping an eye on companies making a transition to the public markets is crucial. This not only helps us gauge their success but also provides an opportunity for investors to diversify their portfolios. The rise of 3D print companies in the public markets signifies the growing presence and potential of this technology, making it an exciting field for both innovators and investors alike.
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