Needham & Company Downgrades Stratasys Inc. (SSYS) to Hold

Needham & Company downgraded Stratasys Inc. (NASDAQ: SSYS) from Buy to Hold.

Analyst James Ricchiuti commented, "We are lowering our rating on SSYS to Hold from Buy following the recent sharp rise in the shares against a backdrop of only modest improvement in the fundamentals. SSYS posted Q1 results yesterday that were essentially in line with expectations. Total revs were down 3%. Non-GAAP EPS were $0.02 above our estimate (and in line with consensus) as lower-than-expected op-ex offset weaker gross margins. Mgmt reaffirmed guidance for flat-to-down revs for 2017 and modest improvement in non-GAAP op-mgns. While SSYS has several irons in the fire that could lead to stronger growth next year, the timing of customer deployments for additive manufacturing applications is uncertain at the same time that the general purpose prototyping business becomes an increasingly mature market."

For an analyst ratings summary and ratings history on Stratasys Inc. click here. For more ratings news on Stratasys Inc. click here.

Shares of Stratasys Inc. closed at $30.66 yesterday.

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