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Twenty years ago, having a color ink jet printer at home was an amazing innovation. I recall the first time I printed photos at home in the late 1990s. And we now take color printing for granted.
Today, a far more innovative technology is in the early stages. It’s called 3D printing, and it’s an innovative technology that stands to disrupt the world.
The promise of this new tech is extremely exciting. These new printers are able to “print” everything from a working handgun to a liver. Over the next three years, 3D printers will change the face of modern manufacturing.
3D printing isn’t some pipe dream. The market is very real, and expanding at a rapid pace. That presents a timely opportunity for investors.
From 2009 to 2014, the market soared from $1 billion to $3.8 billion. Just as exciting, the industry is expected to double every year through 2018 (get all the details by clicking here).
A few years ago, investors noticed the rapid growth of the 3D printing market, and piled into 3D printing stocks. When that happened, share prices soared.
In just two years, 3D Systems (NASDAQ: DDD) shares surged 864% and Stratasys (NASDAQ: SSYS) soared 333%. Meanwhile, ExOne (NASDAQ: XONE) jumped 186% in just seven months following its IPO.
Of course, all good things come to an end. In early 2014, investors woke up to the astronomical valuation of these stocks. At the time, the average 3D printing stock was trading with a P/E ratio of more than 100 (compared with a P/E of 15 for the average S&P 500 stock).
That simply wasn’t sustainable. Pure-play 3D printing stocks took a big hit. In the last year, these stocks have fallen 45%-61%.
That decline has erased much of the early profits. Even after the decline, these 3D printing stocks are still richly priced. As a value investor, I’d have trouble recommending most 3D printing stocks with a straight face.
But despite the ups and downs for these stocks, the 3D printing market is very real.
The initial phase of the 3D boom has included hobbyists buying 3D printers to toy around with at home. Plus, universities are using them in their labs and corporations are testing them out on a small scale. This phase has taken the 3D printing market from zero to nearly $4 billion last year.
The second phase of the 3D printing boom is just getting started. During this phase, 3D printers will become commonplace for any company that produces a physical product. And it’s already happening today.
Some of the world’s biggest companies are already using 3D printers to manufacture parts. These include Airbus, Ford (NYSE: F), General Electric (NYSE: GE) and Lockheed Martin (NYSE: LMT).
These companies aren’t buying desktop 3D printers to make models. They’re using them for on-demand printing of crucial parts for airplanes, cars and satellites.
One company in particular is getting into the 3D printing market in a big way. Its innovative new product prints at speeds 10 times faster than the current products. Plus, it will be 50% less expensive.
My colleague – Tyler Laundon – has spent months researching this unique opportunity. He thinks some of the biggest profits will be made as the 3D printer market matures.
Specifically, he expects that mature and established companies will dominate the commercial printer market. With this market projected to grow from $4 billion to $490 billion in the next decade, massive profits will be made.
Investors who get in at the start of this growth phase can expect outsized gains. Tyler wants to provide you with all the details so you can position your portfolio for profits. Just click here now to get all the details.