Zacks Investment Research downgraded
The ExOne Company
) to a Zacks Rank #5 (Strong Sell) on Jun 21, 2014.
Why the Downgrade?
In the last 7 days, ExOne witnessed negative estimate revisions
with estimates declining 4.9% for fiscal 2014 and 30% for fiscal
2015. Further, the company reported dismal first-quarter financial
Loss per share reflected a deterioration of almost 90% year over
year and was also 171.4% wider than the Zacks Consensus Estimate.
Prevailing sluggishness in the industry coupled with the negative
impact from the longer sales cycle and the volatile nature of the
machine business led to the disappointing performance of the
ExOne reported quarterly revenues of $7.3 million, reflecting a
year-over-year decline of 8.2%. Revenues also fell significantly
short of the Zacks Consensus Estimate of $10 million. The top line
deterioration was primarily due to weakness in the company's 3D
Printing Machines & Micro machinery business.
Margins were also impacted by additional costs related to the
company's ExCast strategy. This apart, increased costs and lower
volumes also hampered the company's financials.
The Zacks Consensus Estimate for the current quarter and the
next quarter of fiscal 2014 remain unchanged at a loss of 15 cents
and earnings 4 cents, respectively, in the last 30 days.
Not all companies in the sector are performing as poorly as
ExOne. Some better-ranked companies in the industry that sport a
Zacks Rank #1 (Strong Buy) include
Mercury Systems Inc
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