3D Systems Corporation (NYSE:DDD) is one of the best augmented reality penny stocks to buy. On May 13, Craig-Hallum analyst Greg Palm raised his price target on 3D Systems Corporation (NYSE:DDD) from $2.50 to $3.00, while keeping his Hold rating intact. The analyst cited early but tangible signs that the company is turning profitable after years of steep losses.
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Palm’s upgrade followed 3D Systems’ Q1 2026 earnings report, released on May 11, which showed the company had posted revenue of $95.5 million, an 11% year over year increase on an adjusted basis. The quarter’s adjusted EBITDA was positive at $2.1 million, which is a massive swing compared to the loss of nearly $24 million in Q1 2025.
The company explained in the earnings release that the revenue growth happened all across its segments. The Healthcare Solutions segment led the way with a 21% revenue growth to $50.1 million. This means the segment is now ahead of Industrial Solutions as the company’s larger segment for the first time. The company attributed this growth to strong demand for dental materials and orthopedic medical implants.
3D Systems also noted that it undertook a substantial cost-cutting program during the quarter, which enabled non-GAAP operating expenses to fall 35% year over year after adjusting for divestitures. Non-GAAP gross margin improved to 36.1% (up 6 percentage points), and management said it has already locked in more than $55 million in annualized cost savings.
Regardless, Palm, the Craig-Hallum analyst, noted that these results were an outlier. For that reason, the stock did not react with the positive margin it should have. The analyst said he is awaiting more evidence of a sustained trend before adopting a more bullish stance.
On May 11, 3D Systems announced that ROE Dental Laboratory has expanded its fleet of NextDent® 300 3D printers to boost digital denture production, tripling capacity and meeting strong clinician demand for faster turnaround, improved fit, and enhanced aesthetics.
3D Systems Corporation (NYSE:DDD) is an additive manufacturing and industrial 3D printing company. Its technologies can support immersive visualization, simulation, and interactive 3D applications used in AR-enabled workflows, including medical training, surgical planning, product design, and engineering visualization.
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