Stratasys (SSYS) PT Trimmed to $46 at Needham & Company Post Q1; 'Buy' Maintained

Needham & Company analyst James Ricchiuti reiterated a Buy rating but lowered his price target on Stratasys Inc. (NASDAQ: SSYS) to $46.00 (from $54.00) following Q1 results, which was in line with SSYS' preannouncement.

Ricchiuti commented, "Mgmt reaffirmed its 2015 rev guidance for 7-15% growth, which assumes a steep decline at MakerBot and continued FX headwind (which impacted the Q1 y/y growth rate by around 5 pts). Op-ex is expected to decline as a percent of rev over the course of the year, which together with improving 2H/1H rev, is consistent with mgmt.'s expectation of a disproportionate share of full-year non-GAAP net income coming in the 2H. At current prices, investors are clearly skeptical that SSYS can meet the low end of guidance. Mgmt appears committed to holding down op-ex over the remainder of 2015. The ramp in 2H revs, meanwhile, is being largely dismissed by the market. There is precedent for a seasonally strong 2H, and we believe SSYS shares could begin to recover as 2015 progresses."

For an analyst ratings summary and ratings history on Stratasys Inc. click here. For more ratings news on Stratasys Inc. click here.

Shares of Stratasys Inc. closed at $35.33 yesterday.

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