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 stocks 3D Systems (DDD -1.00%) and Stratasys (SSYS -1.62%) popped 5% and 3%, respectively, today after Credit Suisse launched coverage on the space with an upbeat review.
So what: To be sure, Credit Suisse only planted a Buy rating on 3D Systems, but its upbeat view on the entire space reinforces optimism over outsized sector growth going forward. Stratasys was given a Neutral view, while ExOne (XONE) was even hit with an Underperform rating due to valuation concerns, reminding investors that selecting a reasonably priced 3-D printing play is still very important.
Now what: Don't expect the 3-D printing momentum to slow anytime soon. "Our main conclusion is that, despite the hype, additive manufacturing revenue growth could potentially exceed consensus forecasts for ~20% annual sales growth in the coming years," wrote Credit Suisse in a report to clients. Fools know to take analyst opinions with a grain of salt, but given the mind-blowing potential of 3-D printing, the space is at least worth tracking closely.
