Out Fox The $treet

After hitting new multi-year lows in February, Stratasys (SSYS) has slowly started trending up to where the stock might finally break the downtrend. One possible reason is this smooth robotic 3D printer that appears to be a game changer. Per the company: Stratasys recently previewed its new Robotic Composite 3D Demonstrator at IMTS 2016. This game-changing additive manufacturing system combines Stratasys' advanced extrusion technologies with Siemens’ motion control hardware and PLM software. 

While HP (HPQ) continues talking about 3D printers, Stratasys (SSYS) continues to produce new printers. The new Infinite-Build & Robotic 3D Demonstrator printers are very revolutionary looking. Now can Stratasys usher in the next growth phase? Disclosure: No position Please review the disclaimer page for more details.

Stratasys smashed Q4 EPS estimates providing another sign of a bottom in the 3-D printing sector. Despite a big rally off the lows, the stock isn't expensive on valuation multiples. The recommendation is to buy Stratasys on any dips as the recent rally is stretched. After Thursday's rally, Stratasys (NASDAQ: SSYS ) is only back to the levels where the stock started the year. In fact, my previous research discussed how the 3-D printer manufacturer was attractive at these similar levels in November though the stock would likely provide a better buying opportunity at the start of this year. Read the full article in Seeking Alpha.  Disclosure: No position mentioned. Please review the disclaimer page for more details. 

Summary Stratasys reported Q414 earnings inline with pre-announced estimates. The 3-D printer manufacturer continues to guide to impressive long-term growth with a target of reaching revenue of $3 billion in 2020. The investments of 2014 and 2015 will lead to significantly higher normalized earnings long term. For investors interested in the 3-D printing and additive manufacturing sector, one should seriously start considering an investment in Stratasys (NASDAQ: SSYS ) . The recent quarterly results confirmed the pre-announcement of weak results from the MakerBot division, but the company continues to predict a positive long-term trend that will support a rebound in the stock. Read the full article at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

Summary Growth at Stratasys comes at a cost. 3D printing stocks have rebounded sharply from the Spring swoon. 3D Systems buyout rumors suggest a very aggressive price. After warning investors that the 3D printing stocks were too expensive back in early January and hoping for a selloff, investors now face a sector that has rebounded too far. Stratasys ( SSYS ) plunged below $90 back in May providing an interesting entry point, but do investors really want to own the stock at the current levels back above $115? Investors are now bullish on the sector especially after news that fellow 3D printing stock 3D Systems ( DDD ) had canceled attendance at a conference fueling buyout speculation last week. Read the full article  at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

For investors that love the long-term story of the 3D printing sector, the disappointing guidance from Stratasys ( SSYS ) has a silver lining. The stock and the sector were clearly overheating and anything that can cool off both without signaling an end to the long term of the sector growth helps provide an entry point for new investors. Stratasys manufactures 3D printers and materials for personal use, prototyping, and production. The company is in the process of integrating the Objet and MakerBot acquisitions. Investors should expect some level of lumpiness in the financials from such major mergers so the news today isn't all that surprising unless an investor paid 50x forwarding earnings for the stock in the expectation of perfect numbers. Read the full article for Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

For such a hot sector, the 3D printing leaders are showing surprisingly low organic growth. Leader 3D Systems ( DDD ) reported only 22.1% organic growth for the latest quarter while Stratasys Ltd ( SSYS ) only managed 18% after merging with Objet. Those aren't exactly the growth rates expected of stocks with forward earnings multiples of over 35x estimates. The sector is very profitable and has huge potential, but several other sectors have higher growth rates. For 3D Systems, the revenue growth numbers are even worse if you look at the revenue per share. That number only increased 9% year-over-year to $1.11 from $1.02 due to a higher share count. For an acquisitive company, this calculation takes out the impact of shares issued and such similar to earnings per share. For any shareholder, the more important fact isn't the actual top and bottom line growth, but the total growth per share. Read the full article at Seeking Alpha. Disclosure: No positions ment...

After finalizing the Objet merger and surging to new all-time highs, what is the prognosis for Stratasys, Ltd. (SSYS) ? After a major sell off to $57.77 back in early November, our analysis suggested the sector was ripe for investing. At the time, 3D Systems (DDD) remained the preferred stock in the sector. So what should investors do now? Even with valuations sky high, the sector remained relatively obscure until recently. The December announcement by Staples (SPLS) of in-store 3D printing plans and the recent segment focus by Jim Cramer on his Mad Money show is pushing the sector into the overheated area. Read the full article at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details. 

The Direct Digital Manufacturing and 3D printing sector remains hot with the strong results reported by Stratasys, Inc. (SSYS) Friday morning. The stock, though, was smashed 12% as investors fretted over inline Q4 guidance. Stratasys engages in the development, manufacture, marketing, and servicing of three-dimensional (3D) printers, rapid prototyping (RP) systems, and related consumable materials for office-based RP and direct digital manufacturing (DDM) markets. As written back in September, with the stock trading on Objet highs, Stone Fox Capital warned that investors were placing too much emphasis on a complex merger. At that point, the stock was valued as if the merger would complete without any hitches. Read the full article at Seeking Alpha. Disclosure: No position mentioned. Please review the disclaimer page for more details. 

Investors have been hyped since the announcement of the proposed merger of Stratasys (SSYS) and private Objet back in April. The deal promised to create a market leader in the surging 3D printing market. Stratasys engages in the development, manufacture, marketing, and servicing of three-dimensional (3D) printers, rapid prototyping (RP) systems, and related consumable materials for office-based RP and direct digital manufacturing (DDM) markets. While the effectiveness of the merged company remains a question, no doubts should exist that the stock has been a homerun since the deal was announced in April. By mid-August, Stratasys had nearly doubled. Read the full article at Seeking Alpha. Disclosure: No positions mentioned. Please review the disclaimer page for more details.