this company is actually making something, and it's actually selling. they're growing, and aquiring other companies. the biggest problem with this stock is the dingbat investors. they judge it by weeks of activity... of course it was overpriced, that's why it's nice to see this correction, gives smart ppl a chance to jump in. think long (if you're able) on a stock like this. other than being overbought a few weeks ago, there's nothing wrong here... lol does ZNGA even make money?
Youre giving it too much credence. 3D systems has been around for ages. They were even a public company before and only recently started being relisted and trading on the NYSE.
Ultimately they should be trading like a GE. 10-15 PE. They have miles to go still. Again. Not startup. No 'leeway' here. They need to start trading in this region and soon, is what I think wallstreet expects. Just because you're newly listed as a stock doesnt mean you get to trade like a startup with many multiples of earnings.
actually my point is to not treat them like a start-up, just read their growth, earnings and aquisitions. start-ups might be losing $ but still bubble. DDD is not a sure bet, but a good option in an industry that has a lot of potential up-side.
Ok time out- I think you're leaving out a few things that are driving the 3d printing exuberance:
1. Patent expiration for a lot of the technology occurred only 5 years ago or so, so the ubiquity of printers will continue to grow
2. Based on this growth, there has been an explosion in R and D and access to the printers.
3. 3D Systems business model has had years to mature...and it looks like management is executing by banging on all cylinders.Maybe buying up the competition is 1 way to go... This is not the dawn of the personal computer, but it is a new dawn of the 3d printer. Everyone knows first does not necessarily mean best in class...DDD needs to show how they will maintain their comparitive advantage, or unique business model without eating up profit margin.
4. Based on this new access to technology and public investor access to the companies for the first time, people are starting to realize what these things do and how they can make life better for certain industries and personal lifestyles---it takes time for this to happen, that's why over the last five years or so, we've seen incredible growth in the space....DDD is one of many companies that are benefiting from the 3D printing explosion--and it will continue on a pretty steady clip for at least a few decades (big assumption, but it is my opinion based on due diligence in manufacturing processes, demand for the capability (see the National intelligence council piece on 3D printing in global trends..
Does that mean 3D systems is the place to invest..not sure, it seems to have made some silly missteps...all in all, this company has a lot going for it, and it should trade like a solid growth company it is--and it has been with a whacky PE of above 60. doesn't matter if it has been around for a long time..now is the era of growth for 3d printing technology.
Even SSYS or ONVO are good plays in this space. XONE needs more time to develop...
I would add to my positions, but watch them closely