3D Systems Corp (DDD)

[MisterEC]

SSYS, DDD lower as analysts evaluate threat from HP 3D printers

May 18 2016, 12:45 ET | By: Jason Aycock, SA News Editor

Stratasys (SSYS -2.5%) and 3D Systems (DDD -2.5%) are trading lower today as analysts warn of threats to their business from HP's (HPQ +0.9%) Jet Fusion 3D printers, detailed yesterday.

Pacific Crest's Weston Twigg says it's a "negative" for those two companies, but not a surprising one. The competitive shakeout could take years, but HP's technology "could be disruptive, and customers have shown a high desire to partner with HP on the development of the printer," Twigg writes.

Similarly, Piper Jaffray's Troy Jensen sees a (not overwhelming) threat in price and speed from HP's new printers. Low HP pricing could shrink pipelines, but some of 3D Systems' and Stratasys' printers "are better in certain applications."

Twigg also thinks HP's printers could mean "modest" positives for less direct competitor Proto Labs (PRLB +0.9%), focused on the commercial market, and HP partner Materialise (MTLS -0.7%).
SSYS, DDD lower as analysts evaluate threat from HP 3D printers