3D printing company Desktop Metal Inc (NYSE: DM) went public via a special purpose acquisition company near the end of 2020. Desktop Metal shares have largely underperformed the market over the last year, but the stock bounced off the lows this month following strong top-line results and the first P-50 printer deliveries to Stanley Black & Decker Inc (NYSE: SWK).
Desktop Metal printers incorporate technology that significantly reduces manufacturing expenses and offers customers several other advantages over legacy laser printers, Desktop Metal CEO Ric Fulop said Tuesday on Benzinga’s YouTube show “Money Mitch.”
Why 3D Printers? 3D printing allows companies to manufacture products without tooling, he said: “One of the really cool things about it is it gives you incredible flexibility so we’re very much a pure play for all of the supply chain disruption that you’re seeing today. That’s one of the reasons we are the fastest growing company in this segment.”
During the company’s most recent earnings report, Desktop Metal said revenue increased 583% year-over-year.
Desktop Metal specifically focuses on developing printers for high volume mass production, which is the fastest growing segment in the additive manufacturing space, Fulop said.
The company’s systems have about 100 times the throughput of legacy metal printing solutions, which results in much lower costs per part, he said. It ends up costing companies about 5% of what they would have to spend using legacy laser printing systems, he added.
P-50 Printer: The Desktop Metal P-50 production system is a precision binder jetting system that can 3D print parts with excellent surface finish and incredibly fine features.
“It uses a technology called single pass jetting which … combines all of the steps of binder jetting into a single step,” Fulop said.
As the company expands the technology used in its flagship printer to its other products, Fulop said he expects the printers to be used for a wider array of applications.
Desktop Metal guided for $260 million in 2022 revenue, expecting 131% growth year-over-year.
See the full interview here:
DM Price Action: Desktop Metal has traded between $3.25 and $21.44 over a 52-week period.
The stock was up 0.3% at $5.08 at time of publication.
Photo: courtesy of Desktop Metal.
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Source: https://finance.yahoo.com/news/exclusive-desktop-metal-ceo-talks-160649049.html