3D Systems Corporation operates as a provider of 3D printing centric design-to-manufacturing solutions in the Americas, Germany, and the Asia-Pacific, as well as other European, the Middle East, and African countries. The company was founded in 1986 and is based in Rock Hill, South Carolina.
DDD Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for 3D Systems Corp. To summarize, we found that 3D Systems Corp ranked in the 20th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of 3D Systems Corp, consider:
3D Systems Corp's effective tax rate, as measured by taxes paid relative to net income, is at 0 -- greater than only 0% of US stocks with positive free cash flow.
3D Systems Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at -6.95. This coverage rate is greater than that of merely 8.27% of stocks we're observing for the purpose of forecasting via discounted cash flows.
The weighted average cost of capital for the company is 9. This value is greater than 79.52% stocks in the Technology sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
ATVI, PRCP, AZPN, FIS, and INTU can be thought of as valuation peers to DDD, in the sense that they are in the Technology sector and have a similar price forecast based on DCF valuation.
3D Systems (NYSE:DDD) today is announcing several innovations for its plastics materials portfolio designed to help manufacturers address a broader portfolio of applications. These materials – Figure 4® RUBBER-65A BLK, Accura® Fidelity™, Accura Bond, Accura Patch, and Figure 4 JEWEL MASTER GRY – are designed for the company's Figure 4 and Stereolithography (SLA) printing technologies. With the expansion of its renowned materials portfolio, 3D Systems continues to open new production applications.
A decade ago, 3D printing seemed like the future of design and manufacturing. With relatively common software, anyone could build a 3D printed model, opening up seemingly endless applications for everyone from hobbyists and educators to high-end manufacturers. Losses have mounted and stocks have been crushed, including that of 3D Systems (NYSE: DDD), which is one of the industry leaders.
3D Systems' (NYSE: DDD) investors can probably relate to Bill Murray's character in the movie Groundhog Day. Rather than reliving the same day over and over, they've been reliving changes in the 3D printing company's C-suite over and over again. On Tuesday, 3D Systems' new CEO, Jeffrey Graves, took the reins from Vyomesh Joshi, who reportedly notified the board in February that he planned to retire as soon as a successor was hired, or by year's end at the latest.