The 3D printing industry has emerged as one of the top revolutionary areas of the 21st century. It incorporates new technologies in which governments and private companies have invested huge amounts due to the impressive growth prospects.
It is one of the most promising fields, with an estimated CAGR (compounded annual growth rate) of 29.48% by 2025. The largest market for companies in the 3D printing industry is North America, while the fastest-growing market by 2025 is estimated to be the Asia-Pacific region.
Where Can I Trade 3D Printing Shares?
One of the most common methods of trading 3D printing stocks is through an online broker. This is a platform where you can deposit your money, then buy shares during trading hours. As the following top ten 3D printing stocks can be bought via an online broker, we’ve also hand-picked the top online platforms you can use to open a trading account.
Overview of 3D Printing Shares
3D printing stands for “three-dimensional printing”, and the technology is used to create objects using an innovative, more agile production method. The industry encompasses various printing technologies, such as binder jetting, polyjet, or selective laser sintering (SLS). This is a competitive market as it appears to be dominated by a few large companies.
As such, the majority of the market share is owned by top players such as Stratasys or GE Additive. Most of these companies are listed on stock exchanges and can be traded either via direct share ownership, via ETFs (exchange-traded funds) or CFDs (contracts for differences).
What Are the Trading Hours for 3D Printing Shares?
Trading hours depend on the chosen stock exchange. Typically, you can trade 3D printing shares from 8:00 A.M. to 4:30 P.M. if you are in the UK or similar if you are in the US. If you place your trades via a stockbroker, you will be able to trade internationally.
How to Trade and Invest in 3D Printing Shares?
Open a Trading Account
Choose an online broker and register for an account by completing all the required information. Some platforms offer demo accounts where you can create a virtual portfolio if you want to practice before investing your hard-earned cash.
Choose one or more 3D printing companies to add to your investment portfolio. Use the broker’s platform to find out more information related to stock price, historical performance, and other indicators before making your decision.
Place Your Trade
Finally, deposit money in your new trading account. Then, find your chosen stocks and buy shares by typing in the amount of money you’ve decided to invest in the company.
Top 10 3D Printing Shares to Buy
This list comprises the best 3D printing companies to buy this year based on their growth and market share. We’ve also selected the top five stocks for a deeper insight into business performance and potential.
- Stratasys [SSYS]
- 3D Systems Corporation [DDD]
- Proto Labs Inc. (PRBL]
- ExOne Co. (XONE]
- General Electric Company (GE Additive]
- HP Inc (HPQ]
- SLM Solutions (AM3D.DE)
- Align Technologies (ALGN)
- Straumann (STMN.SW)
- MGI Digital Technology (ALMDG.PA)
Stratasys is a US-based company active in the 3D industry. It is involved in additive manufacturing solutions for enterprises, businesses, and individuals. Additionally, Stratasys specialises in manufacturing systems and 3D printers for numerous sectors, including automotive, defence, medical, electronic, and education, among others.
As of this writing, Stratasys has grown more than 165% this year and has a market cap of $2.85 billion. The company’s profit is expected to double in the next couple of years.
2. 3D Systems Corporation
An American company based in Rock Hill, South Carolina, 3D Systems Corporation is involved in all three phases of 3D printing: engineering, manufacturing and selling. The company’s co-founder, Chuck Hull, invented the first 3D printing method in 1984, known as stereolithography. Nowadays, the company has significantly expanded its product portfolio, providing laser sintering, film-transfer imaging, direct metal printing, and many more.
The stock has high daily movements, so it carries significant risk. A major short squeeze happened in the first half of 2021, with the share price climbing from $11 to almost $50 in less than a month, followed by a significant dip.
3. Proto Labs Inc.
Proto Labs is a manufacturer of custom parts using 3D printing technology for medical devices, automotive, electronic appliances, and other consumer products. The injection moulding, 3D printing, and sheet metal fabrication products are used by engineers and developers who require 3D computer design software to create goods for end users.
With a tenfold share price increase since 2012, Proto Labs registered a significant rise during the pandemic and remained steady throughout the first half of 2021.
4. ExOne Co.
ExOne is a company that manufactures 3D printing machines, but it is also involved in the development and marketing of other products and services for industrial companies all over the world. The business has more than two decades of experience in this field, serving different industries, such as energy, automotive, and defence.
With a share price increase of over 220% in the past three years, ExOne remains strong despite the 50% drop in the share price in the first months of 2021. If the company performs well, investors can capitalise on this opportunity and buy the shares at a bargain price.
5. General Electric (GE Additive)
GE Additive is a part of General Electric that focuses on additive manufacturing. As a world leader, GE Additive uses high-end technology to improve businesses’ operations and boost their performance. The company is part of different industries, such as healthcare, energy, and automotive. The company acquired different revenue-generating firms, including Concept Laser and Arcam EBM, that now add to its expertise and assets.
GE was in a steady decades-long downtrend. However, it has recently bounced from the lows and doubled in value.
Expert Tip on Investing in 3D Printing Shares“ Like any relatively new industry, 3D printing has the potential to grow at a bigger CAGR rate than traditional industries. For this reason, investors favour gaining exposure as 3D printing has become widely adopted by various industries in recent years. However, as with any other stock, it is best to ensure you have a well-diversified portfolio to decrease its risks, along with other strategies, such as investing only capital that you do not need in the near future. ”- Mircea Vasiu
Why Invest in 3D Printing Shares?
The 3D printing market has a market value of $13.7 billion and is expected to reach almost $65 billion by 2026. This creates massive reward opportunities for early investors as more and more companies across different industries adopt 3D printing technology. Additionally, most of these stocks create custom parts for a broad range of end markets, so they are highly likely to experience a steady increase in revenues.
Frequently Asked Questions
The best 3D printing stock depends on your existing portfolio and investment strategy. Several of our shortlisted stocks are deeply rooted in this promising industry as they have been market leaders for several decades. Regardless of your chosen 3D printing stock, make sure you analyse its potential before adding it to your portfolio.
Because of the infancy stage of the industry and the double-digit CAGR over the next five years, the 3D printing industry offers bigger opportunities than the traditional industries.
Proto Labs sits on over $118 million in cash and cash equivalents and over $350 million in retained earnings while accounts receivable exceeds accounts payable.
Anyone with the intention of diversifying a classic portfolio might want to consider this promising industry.
General Electric may be a suitable pick for a beginner because of its lower risk. It is a consolidated, stable business that may come with lower volatility compared to other stocks. Regardless, beginners should only invest in stocks they previously analysed and use risk capital.
The 3D offers numerous opportunities regarding production, architecture, materials, or construction systems. This is because it empowers consumers to create their own products, provide endless customisation options, and could potentially disrupt manufacturing.