Once again we take a look at the valuations of the major 3D printing companies over the past week.
Publicly traded companies are required to post their financial reports, as well as appear on stock markets. From there we can calculate the total value of their company by multiplying the current stock price by the number of outstanding shares. This number is the market capitalization, and represents the current valuation of the company.
It’s a great number of compare companies, as the market capitalization can be leveraged to provide more capabilities for the company. Shares could, for example, be used as collateral for a loan. That and similar maneuvers could generate cash with which the company might undertake new projects.
In other words, “market cap”, as it is known, is quite important.
You might think it’s not important to monitor these companies each week, as their value is realized only when stocks are sold. However, events happen to companies occasionally that cause their value to rise and fall, and this weekly post is where we track such things.
Note that our list here does not include all major 3D print companies. Not all 3D print companies are publicly traded, and thus we cannot officially know their true size, such as EOS. Others, like HP or Siemens, have very large 3D printing divisions, but are part a much larger enterprises and we cannot know the true size of their 3D printing activities.
Let’s take a look at the 3D printing companies on this week’s list.
3D Printing Leaderboard
This week saw a significant recovery of market capitalization for our leaderboard companies, after a couple of weeks of brutal downturns. Most of the downturns were a result of the Ukrainian situation and its side effects, but it may be that investors are stabilizing their thoughts, leading to this week’s pseudo recovery.
Many companies saw dramatic rises in their value, with the week’s winner being Markforged. The company’s value rose an astonishing 35% over the week. This was due to their mostly-good financial results for 2021, which saw their revenue rise 27%, while maintaining a 58% profit margin. However, they also posted a US$61M net loss for 2021, larger than 2020’s loss. Nevertheless, investors see good things in the company and evidently believe they will grow out of the loss over time. Meanwhile, Markforged also indicates they have US$288M in the bank so they have years to eliminate that net loss.
Another big winner of the week was Desktop Metal, which rose an amazing 26% in value. This was certainly due to their excellent financial results, but there’s one more thing that happened. CEO Ric Fulop purchased over 128,000 shares as per a required disclosure, indicating extreme confidence in the stock’s potential. This boost pushed the company from sixth to fourth on the leaderboard.
Other companies with notable rises this week included Velo3D (+19%), Stratasys (+9%), Materialise (+14%), Nano Dimension (+13%) and leader 3D Systems (+12%).
We are still awaiting the appearance on the market of one more 3D print company: Fast Radius, a digital manufacturing cloud service that announced their intention to go public.
Another company set to appear in early 2022 is Essentium, who announced plans to use a SPAC-merger to launch on NASDAQ. However, that deal has been suspended so we’re wondering what the company’s next steps might be.
One company I’ve started to watch is ICON, the Texas-based construction 3D printer manufacturer. This privately-held company has been raising a significant amount of investment to the tune of almost half a billion dollars. At that level it is likely they will be discussing a transition to public markets at some point, which would certainly place them at or near the top of our leaderboard.
Others In The Industry
While we’ve been following the public companies, don’t forget there are a number of private companies that don’t appear on any stock exchange. These privately-held companies likely have significant value, it’s just that we can’t know exactly what it is at any moment. The suspected bigger companies include EOS, Carbon, Formlabs and SLM Solutions.
Perhaps someday some of them will appear on our major players list.
Finally, there are a number of companies that are deeply engaged in the 3D print industry, but that activity is only a small slice of their operations. Thus it’s not fair to place them on the lists above because we don’t really know where their true 3D print activities lie.