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 the overall market rise after a precipitous fall in prior weeks. What goes down, must come up, apparently, even though there has been little to warrant such swings beyond fear and uncertainty in modern times.
As such, companies on the leaderboard generally rose, lifting up from the relatively static results from last week. In total the leaderboard gained a healthy five percent in value, which corresponds to the general market conditions.
As usual, however, there were some exceptions within the leaderboard.
This week’s winner was definitely Xometry, which saw a rise in value of over 18%. That’s very significant, and represents a shift of over a quarter of a billion dollars in value. Why the big jump? It likely has to do with their release of financial results on May 12, which described a huge 90% gain in revenue over the past year’s Q1. The company also posted a profit of US$32M, which is something few other large 3D print companies do these days. Xometry’s business model is quite scalable, so these results are likely viewed by investors as extremely positive, with plenty of growth available in the future.
Another winner was MeaTech 3D, an Israeli 3D printed meat startup, which rose almost 15% in value. While the company has been subject to dramatic shifts in valuation over the past year, this week’s shift is likely due to the announcement on May 19th of a partnership with a fungi-based protein developer. The idea is to create hybrid cultured meat / alternative meat products that could be quite tasty. Evidently investors viewed this positively, as the a new plant is to be located in Belgium in the heart of a very large market for this type of product.
Markforged had a notable drop in value of over seven percent. This is due to their financial results released earlier this month, where they reported rather small growth in revenue in the quarter of only 8.6%, and a drop in gross margin at the same time.
A company set to appear was 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 and Formlabs.
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.