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Spot on Adeezl.. This thing has wings now.. Straight thru 48-49 to 50+ at opening.. Still wiping my tears from selling in high 20's )
The article is totally non-factual & is motivated by short-play thinking... I feel very comfortable that BBRY is keeping cards close to chest re: Q10 numbers sold in 1st 3 weeks. That must be a little discomforting for those holding their short positions. I'm hearing from my UK & Candian connections that the Q10 is selling like crazy..
How do u feel heading into this week RDeep?
A very plausible sounding rumor surfaced a week ago that 3D Systems (DDD) may be up for another acquisition. 3D System announced last Friday that it will sell new shares for $250M and will use the cash to "finance future acquisitions of other entities or their assets". There are a lot of companies that could very well be the target, but one of those companies would clearly be a very profitable and strategically wise acquisition. That company is Arcam AB (AMAVF.OB).
Arcam AB is a small 3D printer company from Sweden that has a market value of about $175M. I wrote an article about Arcam a month ago where I analyzed the fundamentals and made estimates for 2013. That article is still valid with only minor alteration to the Q1/2013 result. The corrected values and Q1 results can be found here. I am fully confident that Arcam will deliver great results this year and thus is why I think Arcam to be likely target for Acquisition.
Let me explain why Arcam would be a strategically wise acquisition. First of all Arcam is doing solid business. Its cash flow is growing constantly, its revenue is rising rapidly and it is selling an increasing number of 3D printers. Arcams business is clearly seeing a constant boom as the company is growing 21%-101% year-on-year basis and I expect the next three quarters to deliver at least as good results as the last four quarters. It would be wise to buy Arcam before it has grown into a multi-billion company.
The second reason is Arcam's patented Electronic Beam Melting (EBM) technology. It is recognized as the leading technology in the industry. Here is an article about a research report made by the University of Texas that clearly states that EBM prints better quality than the competing technology Selective Laser Melting. 3D Systems already provides a couple of printers that use SLM technology, but as 3D Systems has to licence SLM technology from a private German company EOS, it would certainly be a better idea to acquire a technology of their own. The technology for high-end metal printers is the one thing that 3D Systems is still missing.
The third reason is Arcam's connection to the prosthetics industry. Arcam formed a strategic alliance with DiSanto corporation in late February that aims to compete in the prosthetics industry. This may prove itself very profitable as the demand for personalized prosthetic parts is increasing constantly and titanium is considered one of the best materials for those parts due to its bio-neutrality. Arcam's 3D printers are designed to print titanium and thus Arcam is currently very well positioned for the future.
The fourth reason is a clear one. If 3D Systems does not buy Arcam, some other company will, assuming that Arcam is for sale.
Conclusion
Arcam is a buy for 3D Systems. It is clear that in the long run, Arcam is a very profitable acquisition. If 3D Systems spends all of the $250M (that it received from selling shares) to acquire Arcam, it would pay roughly 42% premium ($250M/$175M market cap). In this light Arcam would be a buy for any investor. Please remember that rumors are always rumors, no matter how accurate they are.
Yes.. Volatility is evidently high now - as it's showing today.. Thx for ur efforts with the chart outlook in any case
This doin what u needed to maintain a very bullish stance?..
I'll be waiting to next week before I consider going in here.. There'll be a report on the AR-15 Sat nite in the US which is bound to be a bit negative for the stock early nxt week..
Tmd?
So far this seems to fit to ur analysis.. Huge drop spiked buying again & finding it's feet around 4.20.. Will need some positive news I'd imagine to head upwards again..
We're approaching $4 now..
What's the chart telling u now after that big 'curve' ball from SA yesterday?.. The article def seemed to be the prime culprit for pushing it down - interesting to know if there's inside buying going on next short-term..
My sources tell me that DDD thinks Sweden has a lot to offer..
After making a cool 50% profit from the 3.30 range..
Reasondeep.. Is this type of selloff no problem for chart..
How much of losses do u think it recoups today?..
Yep they're crawlin out of the woodwork from all corners today.. As a holder of BBRY it pleases me to see that the wolves are scurrying desperately on a day like today doing all they can to generate negative hype.. Shorts have seen the result of Tesla & are definitely jittery abt the upcoming earnings.. Latest I saw at 15.05 was DJ newswire GMP saying if there is so much hype abt BB10 why the absence of numbers at this conference so far?..
Im feeling very confident about the sales of Q10 particularly - those numbers will be very ugly for the shorts I'm guessing whenever they arrive..
With some red also ))
Okay.. So it seems bears are using release of Q5 to try & drag it down..
I believe Thorsten will release a taste of numbers (sometime during these 3 days) sold on Q10 since release, which will surprise on upside & send BBRY upwards during this week..
The Q10 has been selling like mad my sources in UK & Middle East tell me..
Negative report just come in sendin BBRY south? Anybody know?
When one places their hands too close to the fire the most likely result is that you will get burnt..
We missed the squeeeeze here badly!!.. Im wonderin how far this thing can go next few days on an earnings beat?..
Im a bit baffled as to why you're shorting it if u think X1 will beat w/ ease.. That will give DDD quite some impetus upwards as well I'd think.. Good luck mate but goin against these 3D monsters at the moment is perilous
This is insane.. As I am for selling at 26.65 last week :-/
XONE disappointment tmrw nite..?? Not sure abt that
Bouncing around today
So u feel it hasnt bottomed yet in this phase?
Earnings monday after bell?
You sold at $26 right on Thur?.. Me also at $26.65 after going in just below $24
You're short on earnings here tho aren't you?
Sry - i correct myself: 7.112 million equating to approx. $272 Million.. On top of the $250M last week, have they got Arcam in their sights also u think?.. I'm long Arcam
Fair enough Adeezl .. New issue of 1.125 million shares again on Fri might pull it back a bit but the weight of positive SSYS & XONE will be dragging it the other way I'm guessing.. Can't see either of those 2 below expectation Mon/Tue.. Gonna be an interesting week in 3D space that's for sure
Til when?.. This is the wrong week to short it I'd think..
Don't mind if they dump cause then I'll re-load..
Volume thinning, this is where I'd expect a drop early nxt week
Just watching Arcam on OMX (Sweden) - 1st day open since rumours abt DDD acquistion surfaced, so far pretty quiet considering moves its made on US market past 48 hrs (12% & 5%)..
We retraced a bit today.. How does chart look - still strong? Volume still well above ave.
Re-entry nxt week after earnings once dust settles?..
Yes.. I think the Arcam talk has more substance to it.
Very confident you are ).. Do u sniff an acquistion in the pipeline?.. Plenty of rumours around 3D Systems ONVO/ Arcam..
Just heard abt this one today - SA article abt heavy insider buying.. What's the feeling here?