Why 3D Systems Stock Exploded Higher Today
3D Systems (DDD) stock surged 29.5% after reporting mixed earnings. The company lost $0.07 per share, better than the expected $0.16 loss, but revenue fell short by $1 million at $94.8 million, a 14% year-over-year decline. However, under GAAP, 3D reported a profit of $0.57 per share for Q2 2025. Management attributed the profit to software sales, debt extinguishment, and improved performance, aiming for positive cash flow by 2026. Analysts predict continued losses this year and next, raising questions about future cash flow.
3D printing stock 3D Systems (DDD 29.83%) rocketed 29.5% through 11:50 a.m. ET Tuesday after reporting a mixed bag of earnings last night.
On the one hand, 3D beat on "earnings" by losing $0.07 per share instead of the $0.16 that Wall Street had forecast. That's the good news. The bad news is that 3D's revenue fell about $1 million short of expectations, landing at $94.8 million.
Image source: Getty Images.
3D Q2
The news was actually worse than that...but also a bit better.
Worse because revenue of $94.8 million represented a 14% decline year over year. But better because the $0.07 loss 3D incurred in Q2 2025 was only a non-GAAP number. When earnings are calculated according to generally accepted accounting principles (GAAP), 3D earned $0.57 per share profit for the quarter, putting profits in the green for the first half of 2025.
It's this surprise GAAP profit, I suspect, that's got investors excited about 3D stock today. Management said profit was driven by three things in particular:
- Gains on the sale of the Geomagic software platform
- Gains on the extinguishment of debt at a discount
- Improved operating performance
Management noted its efforts to cut costs are "on track to support a return to positive cash flow in 2026" as well.
Is 3D stock a buy?
Investors need to be aware that 3D Systems is still probably going to lose money this year, according to analyst forecasts -- and next year, too. It's also unclear if "positive cash flow in 2026" means free cash flow will be positive as well.
I suspect it won't be. Still, 3D is making some improvements this year. If it keeps doing that, the stock might eventually turn into a "buy" again.
