Camtek: Another 3D Printer Maker on the Verge

November 25, 2013 by Paul Ausick

3D image
Source: Thinkstock
One of the readily apparent aspects of the 3D printing sector is the nosebleed level of forward earnings levels. Stratasys Ltd. (NASDAQ: SSYS) and 3D Systems Corp. (NYSE: DDD), for example, have forward P/E ratios through the 2014 fiscal year at heady levels of 49.75 and 56.72, respectively — and that’s at the low end. The ExOne Co. (NASDAQ: XONE) and Voxeljet AG (NYSE: VJET) have forward multiples of 117.27 and 344.27, respectively.

Then there’s Camtek Ltd. (NASDAQ: CAMT) with a far more modest forward multiple of 17.6 as of today. But Camtek doesn’t have a 3D printer for sale yet, it only referred to a 3D printer during its November earnings conference call, saying that it was still too early for the company to estimate the impact of a planned 2014 introduction for its 3D printing device that will produce printed circuit boards (PCBs).

But it’s not too early for investors to make a move on the company’s stock. Shares closed at $1.89 on November 7th, the day the company announced third-quarter earnings. They closed at $2.65 last Friday and are trading up about 80% on Monday at $4.79.

Even a low (for a 3D printing company) forward multiple of 50, at the consensus estimate for 2014 earnings per share of $0.25 (just one analyst, but still), the stock should be worth about $12.50 a share.

Camtek sees the market for its printers at $600 to $700 million (third-quarter revenues totaled less than $22 million) and the company expects to put the device in a customer’s hands in a few weeks for testing. As the CEO noted, “[A]lthough 3D printing is a technology out there already, but 3D printing for our application, which is a functional 3D printing, has not been done yet in the world. So as far as I know we’re the first one.” Being first at anything is always a big plus.

Camtek shares are trading at $4.71 in the early afternoon Monday in a 52-week range of $1.31 to $5.28. The high was set earlier today.

Sponsored: Attention Savvy Investors: Speak to 3 Financial Experts – FREE

Ever wanted an extra set of eyes on an investment you’re considering? Now you can speak with up to 3 financial experts in your area for FREE. By simply
clicking here
you can begin to match with financial professionals who can help guide you through the financial decisions you’re making. And the best part? The first conversation with them is free.


Click here
to match with up to 3 financial pros who would be excited to help you make financial decisions.