- What are 3D printing stocks, and are they worth the investment?
- What are the best stocks as of right now?
- How much would you earn if you invested in such stocks about a year ago?
3D printing allows you to create physical objects from digital designs. It is a comprehensive computer-controlled technology that works by placing thin layers of a particular material in the form of liquid or powder and then merging the thin layers. Interestingly, this ‘powder’ can be any material from metal to plastic to cement.
The 3D stock printing industry is relatively new, but the dominating companies have proven to create a niche worthy of attention.
What are 3D printing stocks?
3D printing has been around since 1984. But, of course, it has gone through changes and advancements to become what it is today. It allows the manufacturing of all products, such as healthcare equipment and housing construction equipment.
With its popularity igniting, even multinational companies like Microsoft and HP have introduced products that aim at 3D printing, which costs the same price to design, irrespective of the quantity. So, you can produce either one or one thousand items of the same layout, and it will cost the same. The accuracy level of creating the design is also constant from one object to another.
We will now dig deeper into these stocks and which ones are the best.
How much would you earn if you invested in such projects year ago?
Depending on which company you invested in, you would benefit or not benefit. For example, you would have been lucky if you placed your bets on Desktop Metal in 2021. This is because the company increased its revenue at a triple-digit pace in 2021 compared to 2020 when it entered the public eye. Furthermore, the company has millions of dollars for investments, which surely would be enough for expansion, were you to invest in Desktop Metal a year ago.
Another example is HP Inc. If you invested in a project such as HP Inc., you would notice that the company grew tremendously in the past two years, with net revenue increasing by 12.1% from the past year. Therefore, this would have brought great benefits as well.
What are the best 3D printing stocks currently?
As of 2022, the best are:
Proto Labs (PRLB)
This is an e-commerce company among the top 3D printing stocks currently. However, it is not bound to 3D printing but also offers injection molding and computer numerical control.
Why does it have the potential to grow?
Earnings at Proto Labs are predicted to climb by 95% over the next three years, signaling a bright future. This should result in more solid cash flows, translating into a better stock price.
Some share price swings might give investors a better opportunity to enter the stock and perhaps buy at a lower price.
How much would you earn if you invested 1 year ago?
The price of PRLB in April 2021 was $26. At the time of writing, the price is trading around $48. It suggests a decrease of 54%.
3D Systems Corp. (DDD)
3D Systems Corp provides a range of digital manufacturing solutions and products, including 3D printing. Additive manufacturing and its hardware, software, and other materials are examples. The company also offers products to be used in the plastic and metal industry, training services, maintenance work, healthcare industry, automotive and aerospace industry, etc.
The two key sectors that 3D Systems targets are healthcare, including dental and medical services and industrial, including aerospace and transportation. 3D Systems provides a wide range of printers that can convert digital data into printed parts under DuraForm, Accura, and LaserForm brand names.
Why does it have the potential to grow?
In the first quarter of 2022, the company announced two acquisitions. Titan Robotics and Kumovis acquisitions will bring polymeric extrusion-based technology to the company’s existing portfolio of 3D printing capabilities.
The company collected about $156 million in revenues, with about $20.7 million in cash flow. It also showed appreciation during 2021, from $10.48 to $21.54.
How much would you earn if you invested 1 year ago?
The price of DDD in April 2021 was around $18. At the time of writing, the price is traveling around $8.6. So it means there’s a decrease of 27%.
Stratasys (SSYS)
Statasys’ primary focus is on FDM and PolyJet technologies. This company was a part of the 3D stock printing boom in 2010. Although its sales took a toll due to the pandemic, the company has been able to pick it up successfully. Its mechanism allows the printing of different parts and prototypes for molds, fixtures, and tools. As a result, the company attracts customers from various fields, such as medical and dental companies and aerospace and automotive companies.
Why does it have the potential to grow?
SSYS may not be a large-size stock, but it has garnered much interest due to a significant price fluctuation over the last several months, rising to US $27.89. Earnings of Stratasys are predicted to climb by 89% over the next four years, signaling a bright future. This should result in more solid cash flows, translating into a better stock price.
How much would you earn if you invested 1 year ago?
The price of SSYS in April 2021 was around $20. At the time of writing, the price is trading around $26. So it means there’s an increase of 5%.
Final thoughts
3D printing technology is truly on the rise, with so many new companies developing a version one better than the previous. The companies mentioned above dominate the 3D stock printing world, but countless others exist, with many being noteworthy in contributing to technological change.