Stratasys (SSYS) Acquisition Will Help It Compete with 3D Systems (DDD)
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Price: $8.14 -0.61%
Rating Summary:
16 Buy, 14 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 15 | Down: 12 | New: 12
Rating Summary:
16 Buy, 14 Hold, 3 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 15 | Down: 12 | New: 12
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Yesterday Stratasys (NASDAQ: SSYS) announced a merger agreement with MakerBot. Analysts at Gabelli view the the strategic addition of MakerBot positively in terms of product expansion, potential synergies, and growth opportunity.
"Consumer market still accounts for a small portion of the total 3D printer market, yet it offers fast growth opportunity," said Gabelli. "Acquisition of MakerBot will increase Stratasys’ competition in the desktop space with 3D Systems (NYSE: DDD). Based on our research on MakerBot and a recent visit to its new factory, we think MakerBot will be able to execute sequential sales growth throughout 2013 from $11.5 million in the first quarter.We believe MakerBot can generate sales of $55-75 million in 2013 and estimate that the initial value transaction of $403 million represents 2013 EV/sales of 5.3-7.3x."
Gabelli has a Hold rating on Stratasys Inc.
For an analyst ratings summary and ratings history on Stratasys Inc. (NASDAQ: SSYS) click here. For more ratings news on Stratasys Inc. click here.
Shares of Stratasys Inc. closed at $84.60 yesterday.
"Consumer market still accounts for a small portion of the total 3D printer market, yet it offers fast growth opportunity," said Gabelli. "Acquisition of MakerBot will increase Stratasys’ competition in the desktop space with 3D Systems (NYSE: DDD). Based on our research on MakerBot and a recent visit to its new factory, we think MakerBot will be able to execute sequential sales growth throughout 2013 from $11.5 million in the first quarter.We believe MakerBot can generate sales of $55-75 million in 2013 and estimate that the initial value transaction of $403 million represents 2013 EV/sales of 5.3-7.3x."
Gabelli has a Hold rating on Stratasys Inc.
For an analyst ratings summary and ratings history on Stratasys Inc. (NASDAQ: SSYS) click here. For more ratings news on Stratasys Inc. click here.
Shares of Stratasys Inc. closed at $84.60 yesterday.
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