At the Inside 3D Printing Conference in New York City, XYZprinting introduced the da Vinci 2.1, a fully loaded consumer-oriented 3-D printer for $849, a much lower price point than what 3D Systems (NYSE: DDD ) and Stratasys (NASDAQ: SSYS ) currently offer, or will be offering in the near future.
Backed by Taiwanese manufacturing giant New Kinpo Group, XYZprinting comes with deep pockets and a willingness to sell its products for less profit than market leaders 3D Systems and Stratasys. If well received, the da Vinci 2.1 could apply pressure to pricing for the entire consumer 3-D printing segment and negatively affect 3D Systems and Stratasys. Each 3-D printer that either 3D Systems or Stratasys doesn't sell is a lost opportunity to generate lucrative long-term recurring revenue streams from consumable materials sales.
In the following video, 3-D printing analyst Steve Heller and Motley Fool industrials bureau chief Blake Bos report from the conference to give investors an overview of what to expect from this new and ambitious competitor -- and what 3D Systems and Stratasys investors should focus on. Because the consumer 3-D printing space is such a new industry, 3D Systems and Stratasys investors should continue to watch how XYZ's products are received in the marketplace, and how that may put pressure on pricing for the industry at large.
One must-own stock in 2014
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.