On 10 October 2013 I wrote an ADVFN article about “3D Printing: A Sleeping Giant for Investors.” The basis for that article was grounded and personal experience with 3D prototyping and a familiarity with the commercialization of the technology, making it available to consumers. What followed, in terms of consumerisation, has been somewhat demoralizing as the luster of the fad has faded. The desire of consumers to make personalized trinkets has the staying power of an Etch-a-Sketch in a time where technology is making significant changes.
3D Systems Corporation (NYSE:DDD), however, has clearly understood the real commercial potential of its core competency, driving the company to engage in a series of strategic acquisitions that are already reviving the value vision of 3D printing. DDD’s share price has declined by more than 50% since July 2014 when it peaked at 69.56. The stock is currently trading at 28.48, up 3.70% from its close on 02 April.
Whilst DDD is not about to ignore the consumer side of the business, its focus on industry and healthcare is going to be the force that drives demand for products and the value of its stock through the roof.
On 02 April, DDD announce a multi-year partnership with UNQY to “invest in bringing 3D printing technologies to the prosthetics and othotics industries.” This adds extensive possibilities to the groundwork that DDD has already laid with the acquisitions of Simbionix, a manufacturer of surgical simulators, and Medical Modeling, a manufacturer of 3D surgical imaging and modeling product.
Today DDD announced that it has acquired Easyway, a Chinese 3D printing company that already has solid relationships with Black & Decker, Omron, Panasonic, Philips, Honeywell, Volkswagen and Nissan. DDD President and CEO Avi Reichental made the announcement, saying, “With operations in key Chinese cities and well-established 3D printing sales and service bureau operations, Easyway represents the cornerstone of our expansion plans for China.”
“3D Systems provides the most advanced and comprehensive 3D digital design and fabrication solutions available today, including 3D printers, print materials and cloud-sourced custom parts. Its powerful ecosystem transforms entire industries by empowering professionals and consumers everywhere to bring their ideas to life using its vast material selection, including plastics, metals, ceramics and edibles. 3Ds’ leading personalized medicine capabilities save lives and include end-to-end simulation, training and planning, and printing of surgical instruments and devices for personalized surgery and patient specific medical and dental devices. Its democratized 3D digital design, fabrication and inspection products provide seamless inter-operability and incorporate the latest in immersive computing technologies. 3Ds’ products and services disrupt traditional methods, deliver improved results and empower its customers to manufacture the future now.”
Whether the need is for prototyping, tooling, or production of custom, one-of-a-kind parts of all manner of complexity, DDD is set to be the breakthrough, global leader in the emerging, revitalized 3D printing industry.
Whether you stand back and watch or invest and watch, what you will see is an industry like no other in history radically change and improve a broad spectrum of other industries