Stratasys Ltd. is a global provider of 3D printing solutions,
including a wide range of 3D printers, consumable print
materials and services. Stratsys Ltd. was formed with the
merger of Stratsys and Objet in a stock-for-stock merger
completed in December 2012. The combined company
has an impressive portfolio of 3D printing and direct
digital manufacturing solutions.
All amounts in US$ unless otherwise noted.
Transportation and Industrials — Manufacturing Technology ANALYST DAY EFFECTIVELY COMMUNICATES MANAGEMENT’S STRATEGIC VISION Investment recommendation
SSYS management laid out a solid case for driving strong top line organic
growth (25%+ over next 3-5 years) during Monday’s analyst day in New
York. Momentum remains healthy at the high end for Fortus and
Connex3, which is likely to yield strong follow-through materials sales
and gross profit, while new product introductions are continuing at a
rapid pace (41 in 2014) and should keep the channel invigorated. The
presentations also clearly illustrated compelling synergies between a
recently expanded service bureau capability (Solid Concepts and Harvest
acquisitions) and strategic sales efforts for hardware and materials that
address the desire of large global customers to explore the full range of
3D printing’s ROI potential in their manufacturing and design activities.
We are reiterating a BUY rating and $150 price target, and see EuroMold
(late November) as a looming positive catalyst for SSYS based on 10+
additional new product introductions to be made during the show. Investment highlights
SSYS at the analyst day announced the launch of two new Connex1
and Connex2 printers at lower price points to complement the
Connex3 printer that has strong customer traction. The new printers
add increased functionality and share a common family platform with
Connex3 and replace the Eden Series of Connex printers. Additionally
SSYS announced the launch of the new FDM ASA outdoor material
offering targeted at automotive applications. Management expects to
announce more than 10 new products at EuroMold this November.
Stratasys reiterated its 2014 guidance for revenue of $750-770M
compared to our estimate of $759.6M and consensus of $758.8M and
EPS of $2.25-2.35 compared to our in-line estimate of $2.31.
Management reiterated a long term revenue target of 25%+ growth
with long term operating margins of 18%-23%.
Herbalife was in the news yet again Friday after Carl Icahn said in a regulatory filing that he had increased his stake in the company to 14 million shares, or roughly 13% of the company’s outstanding shares.
After weeks of speculation over exactly what the famed corporate raider might be doing, Icahn spoke up and put himself on a collision course with William Ackman, a rival activist investor who called Herbalife a house of cards and said he sees the share price going to zero.
The two men famously tussled on cable television in late January when Icahn called Ackman a “major loser” and warned him of trouble ahead in the form of a major short squeeze. Icahn said he wants to meet with Herbalife’s management “regarding the business and strategic alternatives to enhance shareholder value, such as a recapitalization or a going-private transaction.”
The company said, “We welcome all parties who see the same value in Herbalife that we do.”
For the past two days I have been sorting through hundreds of emails.
It is apparent that most readers of this blog have:
No techniques, no apparent entrance or exit strategies,no system – and apparently no portfolio.
Instead they substitute frenetic action and prayer for a ” hot tip”.
No sense of how to discern , develop or execute a strategy to profit from a great investment opportunity.
I spent more than six months on The AMP Portfolio to give readers the strategies and investment ideas for profit and apparently reading 500 pages is too much effort compared to the opportunity to throw away monet each day as a day trader without any coherent plan.
Here , from Moden Portfolio Strategy is the key to long term profits – how many of these five basics are you using ?
Renowned investor Jim Rogers is still worried. As the U.S. heads for the fiscal cliff at the end of the year, the chairman of Rogers Holdings has been outspoken about the consequences of the country’s growing national debt. From his perch in Singapore, he still doesn’t see much reason for real optimism. Rogers rose to investing prominence after starting the Quantum Fund with George Soros in the 1970s, generating an eye-popping and oft-cited return of 4,200 percent over a 10-year span that saw the S&P 500 climb less than 50 percent.
The Fiscal Times (TFT): You’ve we’re heading for financial “Armageddon.” Why that dire? Jim Rogers (JR): The United States is the largest debtor nation in the history of the world. Our debts are skyrocketing every year and nobody’s doing anything about it. Every country in history that’s gotten into this situation has had a crisis or a semi-crisis, or both. In 2002 we had an economic slowdown, which was fairly serious, and then in 2007 and 2008 we had another one, which was worse because the debt was so, so, so much higher. The next time around the debt is going to be that much more catastrophic.
TFT: We are still hearing calls for another round of quantitative easing by the Fed. Bad idea? JR: It’s an absurd idea. Printing money has never solved anyone’s problems. Maybe sometimes in the short term printing money has alleviated the situation, but anybody who has studied history or economics knows that printing money in the longer term doesn’t work. Maybe this time it’s different, but I doubt it.
TFT: What’s your assessment of the market? Are you still bullish on commodities long term? JR: Yes. My view is if the world economy gets better, I’m going to make money in commodities because of the shortages that are developing and getting worse. And if the world economy doesn’t get better, then they’re going to print money. It’s the wrong thing to do but that’s all they know. They’re not very smart people. So they’re going to print more money, and when they [do], historically you’ve always protected yourself – and made money – by owning real assets.
TFT: Are there some real assets that you prefer to others? JR: On a historic basis, agriculture is still cheaper than others. But I own them all. I own more agriculture than I own of the others, but I own them all.
TFT: Have you been putting more money to work in commodities or in other areas? JR: Not recently. I’ve been watching. I’ve got my positions. I’ve bought a few more Myanmar shares recently, but other than that I haven’t done anything.
TFT: What about China? You’re still bullish despite the concerns about how the economy there is doing – concerns that were reinforced last week with the weaker trade data that came out. Do you think those concerns about China and a potential hard landing have been overblown? JR: I’m a little surprised anybody says anything about China. China has publicly announced for three years they’ve been trying to slow their economy down. They’ve announced almost every month or every quarter they were trying to slow things down, so anybody who isn’t aware of this either hasn’t been paying attention or doesn’t know what they’re doing. China is slowing down, by design, properly, if you ask me. Some parts of [that] economy are going to have problems, such as property and real estate. Other parts are going to continue to do well. But anybody who deals with the West in China is certainly going to know something’s wrong. Anybody who deals with property in China is going to know something’s wrong. But part of that was by design – and proper design.
TFT: You say there are broader structural problems with our agriculture industry and that the U.S. may have a shortage of farmers. Are we going to have problems producing crops beyond the weather-related issues we’re seeing this year? JR: Nearly every year, the world always has a problem somewhere with weather or something, since the beginning of time, and I suspect we will continue to. The problem now is it’s going to be more and more difficult to recover because of two things. One, we’ve consumed more than we’ve produced nearly every year over the last decade, so inventories are very low. But more importantly, we’re running out of farmers. The average age of farmers in America is 58. More people study public relations than study agriculture. We don’t have anybody going into agriculture. Something’s got to happen, such as much higher prices, or we’re not going to have any food at any price… We’ve got to do something to get farmers back into the field.We produce 200,000 MBAs in the U.S. every year. Some human being has to go into the field. Yeah, things are more automated, but still, somebody has got to get his hands dirty.
TFT: Average investors see what’s going on in the U.S. and hear about what’s happening in Europe, China and other areas in the emerging world. How should they position themselves ? JR: Investors should be investing in and owning things they know about. If you don’t know what you’re doing or don’t have something you think is going to be a good investment, you should do nothing. The problem these days is even if you put your money in cash, what kind of cash? Some cash is better than others. But even if you don’t know any better, just put your money in U.S. dollars in the bank and wait until you find something you know a lot about. I happen to be invested in commodities and especially agriculture – and I own currencies and I’ve sold short stocks. But people – if they can’t spell commodities, they shouldn’t be listening to me. They should be doing what they know about.
Bill Ackman’s Pershing Square hedge fund has been given clearance by the Federal Trade Commission to make an investment in Procter & Gamble, clearance that is required before making a large investment in a company.
P&G has lagged its peers over the past two years, rising by roughly 4% while Colgate-Palmolive (CL) is up 28% and Unilever (UN) is up 18%.
Additionally, the company said late last month that sales and profit are going to be lower than originally expected as it struggles to manage pricing and combat higher commodity costs. Sources close to the company note that morale is low internally and investors are becoming increasingly frustrated by P&G’s struggles versus its peers.
Ackman has a history of taking large positions in companies, then aggressively pushing for changes that he believes will add value for investors. Earlier this year, he won control of CP Rail (CP), forcing a change in the CEO position. He also took a large stake in J.C. Penney (JCP ), helping engineer the move that brought former Apple (AAPL) executive Ron Johnson in as CEO of the company