10 Worst 3D Printing and Additive Manufacturing Stocks To Buy

5. Nano Dimension (NASDAQ:NNDM)  

Short % of Float: 7.06%  

Number of Hedge Fund Investors in Q2 2024: 8  

Nano Dimension (NASDAQ:NNDM) is an Israeli company that designs and manufactures Additive Electronics and Additive Manufacturing 3D printing machines. The company specializes in advanced 3D printing technologies, particularly printed circuit boards (PCBs) for electronics. Its innovative technology allows for the rapid prototyping and production of electronic components, integrating conductive materials and circuits. The company serves the defence, aerospace, and automotive industries.

One of the most significant opportunities for Nano Dimension (NASDAQ:NNDM) is its ability to make strategic acquisitions in the additive manufacturing market. The company has previously stated that it has 3-5 acquisition opportunities ahead of it, with two of those being very large companies. Potential acquisition targets include companies such as Velo3D, Desktop Metal, and Markforged, which could provide the company with access to new technologies, markets, and customers.

On July 2, Nano Dimension (NASDAQ:NNDM) announced the acquisition of 2. Desktop Metal (NYSE:DM) in an all-cash transaction. The acquisition is valued at $183 million, or $5.50 per share, although the price may be adjusted downward to $4.07 per share, depending on certain conditions. The acquisition combines two companies with complementary product portfolios in the additive manufacturing (AM) industry. Nano Dimension (NASDAQ:NNDM) is a leader in 3D-printed electronics and high-performance polymer, ceramic, and metal applications, while  Desktop Metal (NYSE:DM) has platforms focused on industrial-volume scale applications of metal and polymer with proprietary materials, software, and sintering solutions. The combined company will is expected to generate significant synergies and cost savings opportunities. The acquisition is expected to accelerate the industry’s transition to mass production and create a leader in the industry. The company will also have a diversified customer base, including blue-chip customers such as Amazon, Caterpillar, and Tesla, and will serve a range of industry verticals, including automotive, aerospace, defence, industrial, medical industries and R&D.

Nano Dimension (NASDAQ:NNDM) is implementing cost-cutting measures, which should move it closer to breakeven over the next 1-2 years. With a negative enterprise value, the company is well-positioned to capitalize on the weakness in the additive manufacturing market and make strategic acquisitions to drive growth and profitability. Despite 7.06% of shares being shorted, 8 hedge funds showed a bullish stance on the stock as of the second quarter and own stocks worth $60.35 million. Anson Investments is the largest shareholder in the company, holding $45.38 million worth of stock as of June 30.