Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Stratasys Shares Plunged: What You Need to Know

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of 3-D printing technologist Stratasys (Nasdaq: SSYS  ) were flattened today, falling as much as 22.7% overnight on several times their average trading volume.

So what: The company is in the habit of beating analyst estimates senseless, preferably with a freshly printed blunt object. This time, second-quarter earnings did indeed exceed expectations, but revenues did not -- and retribution is often swift and merciless when you're priced for perfection to begin with.

Now what: Stratasys sat even higher in the nosebleed seats three months ago, before investors punished the company for an overpriced acquisition on the eve of another positive earnings surprise. In the meantime, the company has renewed an agreement that lets Hewlett-Packard (NYSE: HPQ  ) sell HP-branded Stratasys printers and also expands that partnership into several new European markets. Rival 3-D Systems (NYSE: DDD  ) fell more than 10% at worst on Stratasys' news and is set to report earnings tomorrow, so keep an eye on that report for a fuller view of the 3-D printing industry. Neither stock is exactly cheap today, but sometimes you get exactly the growth you're paying for, which is why our Motley Fool Rule Breakers newsletter team loves Stratasys and the Fool owns shares of 3-D Systems.

Interested in more info on Stratasys? Add it to your watchlist.

Fool contributor Anders Bylund holds no position in any of the companies discussed here. The Motley Fool owns shares of 3-D Systems. Motley Fool newsletter services have recommended buying shares of Stratasys. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool is investors writing for investors.

Read/Post Comments (1) | Recommend This Article (9)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Add your comment.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1525780, ~/Articles/ArticleHandler.aspx, 10/22/2016 5:30:28 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 20 hours ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/21/2016 4:00 PM
SSYS $19.93 Down -0.37 -1.82%
Stratasys CAPS Rating: ****
DDD $13.78 Down -0.20 -1.43%
3D Systems CAPS Rating: ****
HPQ $13.80 Down -0.30 -2.13%
HP CAPS Rating: ***