Zacks Investment Research lowered shares of Stratasys (NASDAQ:SSYS) from a hold rating to a sell rating in a research report released on Friday morning.
According to Zacks, “Stratasys reported mixed results for Q4, wherein earnings matched the Zacks Consensus Estimate while revenues surpassed the same. The stock has outperformed the industry in a year’s time frame. Nonetheless, we remain concerned about its declining gross margin which has been impacted by the incremental sales generated from the lower-margin products of acquired businesses including MakerBot, Solid Concepts and Harvest Technologies. Stratasys had witnessed gross margin decline in each of the four quarters of 2017. However, Stratasys managed to mitigate this gross margin contraction by lowering operating expenses as a percentage of revenues. But, we opine that it will be a tough task for the company to lower operating expenses continuously as it will have to continue to invest in marketing and R&D to generate higher sales, which will weigh on its operating margins.”
Other analysts have also recently issued research reports about the company. BidaskClub raised Stratasys from a hold rating to a buy rating in a research report on Wednesday, March 7th. Citigroup set a $29.00 price target on Stratasys and gave the stock a buy rating in a research report on Wednesday, November 15th. B. Riley reaffirmed a hold rating and issued a $30.00 price target on shares of Stratasys in a research report on Wednesday, November 15th. Loop Capital reduced their price target on Stratasys from $24.00 to $21.00 and set a hold rating for the company in a research report on Wednesday, November 15th. Finally, ValuEngine cut Stratasys from a hold rating to a sell rating in a research report on Friday, February 2nd. Six research analysts have rated the stock with a sell rating, eight have given a hold rating and five have issued a buy rating to the stock. Stratasys presently has an average rating of Hold and a consensus target price of $25.50.
Stratasys (NASDAQ:SSYS) last released its quarterly earnings data on Wednesday, February 28th. The technology company reported $0.16 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.15 by $0.01. The firm had revenue of $179.34 million during the quarter, compared to analysts’ expectations of $174.30 million. Stratasys had a positive return on equity of 0.66% and a negative net margin of 5.98%. The business’s revenue for the quarter was up 2.3% on a year-over-year basis. During the same quarter last year, the firm earned $0.15 earnings per share. equities analysts forecast that Stratasys will post 0.17 EPS for the current year.
Institutional investors have recently bought and sold shares of the company. Ameritas Investment Partners Inc. increased its stake in shares of Stratasys by 11.7% in the second quarter. Ameritas Investment Partners Inc. now owns 4,388 shares of the technology company’s stock worth $102,000 after purchasing an additional 458 shares during the period. Investment Management of Virginia LLC bought a new position in shares of Stratasys in the fourth quarter worth about $200,000. Chicago Equity Partners LLC bought a new position in shares of Stratasys in the third quarter worth about $214,000. Thompson Investment Management Inc. bought a new position in shares of Stratasys in the third quarter worth about $245,000. Finally, LPL Financial LLC increased its stake in shares of Stratasys by 24.2% in the fourth quarter. LPL Financial LLC now owns 12,511 shares of the technology company’s stock worth $250,000 after purchasing an additional 2,439 shares during the period. Institutional investors and hedge funds own 75.16% of the company’s stock.
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Stratasys, Inc is a manufacturer of three-dimensional (3D) printers and rapid prototyping (RP) systems for the office-based RP and direct digital manufacturing (DDM) markets. The Company develops, manufactures and sells a product line of 3D printers and DDM systems (and related consumable materials) that create physical models from computer-aided design (CAD) designs.
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