Stratasys (NASDAQ:SSYS) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Stratasys (NASDAQ:SSYS) issued its quarterly earnings results on Thursday. The technology company reported $0.03 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.02, FiscalAI reports. Stratasys had a negative net margin of 21.00% and a negative return on equity of 1.73%. The business had revenue of $137.61 million for the quarter, compared to the consensus estimate of $138.48 million. During the same quarter in the previous year, the firm earned $0.03 earnings per share. The company’s revenue for the quarter was down .4% on a year-over-year basis. Stratasys updated its FY 2026 guidance to 0.090-0.140 EPS.

Here are the key takeaways from Stratasys’ conference call:

• Manufacturing demand strengthened: Consumables revenue reached a quarterly record of $66.3 million, while Stratasys Direct revenue grew 12.1% year over year, reflecting higher production-part utilization.
• Aerospace and defense revenue increased 17% year over year, supported by U.S. Air Force depot sustainment programs, defense-related drone and munitions production, and a robust pipeline of large multi-unit deals.
• Stratasys expects its pending $42.5 million cash acquisition of Markforged to add continuous carbon-fiber technology, software, talent, and channel reach, with positive EBITDA contribution and meaningful synergies expected within the first year after closing.
• Revenue was roughly flat year over year at $137.6 million, and system revenue fell to $26.4 million from $30.6 million; management said it expects a notable uptick in system sales during the second half.
• Operating cash flow was negative $18.7 million in the quarter, prompting the company to withdraw its expectation for positive full-year 2026 operating cash flow, although it still expects positive cash flow in the second half.

Stratasys Trading Up 1.5%

Shares of Stratasys stock traded up $0.13 on Thursday, hitting $8.97. 1,098,167 shares of the company traded hands, compared to its average volume of 908,996. The stock’s 50 day moving average price is $8.48 and its 200-day moving average price is $8.95. Stratasys has a 52 week low of $7.34 and a 52 week high of $12.81. The company has a market cap of $772.94 million, a PE ratio of -6.64 and a beta of 1.94.

Analysts Set New Price Targets

SSYS has been the topic of a number of recent research reports. Zacks Research raised shares of Stratasys from a “hold” rating to a “strong-buy” rating in a research note on Monday, July 27th. Weiss Ratings raised shares of Stratasys from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Thursday, May 21st. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $12.33.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in SSYS. Oxford Asset Management LLP acquired a new stake in Stratasys during the 4th quarter worth about $167,000. Man Group plc purchased a new position in Stratasys during the fourth quarter valued at approximately $198,000. Van ECK Associates Corp boosted its position in Stratasys by 8.9% in the 4th quarter. Van ECK Associates Corp now owns 19,475 shares of the technology company’s stock worth $169,000 after purchasing an additional 1,590 shares in the last quarter. Vontobel Holding Ltd. purchased a new position in shares of Stratasys during the 4th quarter valued at approximately $112,000. Finally, Franklin Resources Inc. purchased a new stake in Stratasys in the 3rd quarter worth $152,000. 75.77% of the stock is owned by institutional investors and hedge funds.

Key Stratasys News

Here are the key news stories impacting Stratasys this week:

• Positive Sentiment: Stratasys reported adjusted earnings of $0.03 per share, exceeding the $0.01 analyst consensus and matching the year-ago result. Stratasys Surpasses Q2 Earnings Estimates
• Positive Sentiment: The company reaffirmed its fiscal 2026 revenue outlook of $565 million to $575 million and raised or maintained EPS guidance at $0.09 to $0.14, above the current analyst estimate of $0.06. Stratasys Q2 Results and Guidance
• Neutral Sentiment: Second-quarter revenue was $137.6 million, nearly flat year over year but slightly below the $138.5 million consensus estimate. Stratasys Reports Sales Below Estimates
• Negative Sentiment: Stratasys lowered its full-year operating cash-flow outlook, while profitability remains weak: net margin was negative 21% and return on equity was negative 1.73%. Stratasys Reports Mixed Q2 Results

About Stratasys

Stratasys, Inc is a global leader in additive manufacturing and 3D printing solutions, offering a comprehensive portfolio of technologies and materials for rapid prototyping and production. Founded in 1989 by Scott and Lisa Crump, the company pioneered fused deposition modeling (FDM) and has since expanded its capabilities to include PolyJet, stereolithography and metal deposition systems. Stratasys serves a broad array of customers, from small design studios to major industrial manufacturers, enabling accelerated product development and on-demand part production.

The company’s product line encompasses both desktop and industrial-grade 3D printers, dedicated support materials and proprietary software designed to streamline the digital manufacturing workflow.