The stock of Desktop Metal Inc. (NYSE:DM) decreased by -$0.05 on Tuesday to finish at $1.55, down -3.13 percent. The last five days have seen an average of 2,167,060 shares of common stock traded. 12 times new highs were reached in the current year, with a gain of $0.1900. The average number of shares traded over the last 20 days was 1,807,230, while the average volume over the last 50 days totaled 2,801,008.
DM stock dropped -18.42% since last month. On 08/15/23, the company’s shares reached a one-month low of $1.5300. The stock touched a high of $3.65 on 03/07/23, after rallying from a low of $1.13 in 52 weeks. The price of DM stock has risen by 13.97% or $0.1900 this year, reaching a new high 12 times. Still, the stock price is down -57.53% from the 52-week high.
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Insider Transactions
DM stock investors should be aware that Desktop Metal Inc. (DM) stock had its last reported insider trading activity 163 days ago on Mar 06. On Mar 06, Director DUSSAULT SCOTT J sold 26,969 shares at $2.40 each. This transaction resulted in the insider making $64,726. On Aug 22, Fulop Ric added 6,000 shares at a price of US$3.21. After the transaction, the insider now owns 20,264,999 shares.
Valuation Metrics
Beta for the stock is 0.63. There are also a few other valuation ratios worth considering, including the trailing price-to-sales (P/S) ratio of 2.52, the price-to-book (PB) ratio of 1.12.
Company paid $0.3690 per share in dividends, remained unchanged from $0.3690 last year.
Financial Health
For the three months ended June 29, Desktop Metal Inc.’s quick ratio was 2.30, while its current ratio was 3.50, indicating its ability to pay off its debt. The company’s long-term debt to equity ratio for the quarter ending June 29 is 0.25, and the total debt to equity ratio is 0.26. As far as profitability goes, gross margin for the trailing twelve months is 6.30% percent. Based on annual data, it had gross profit of $15.07 million and revenue of $209.02 million.
Investors will also look at the performance of the company’s management in order to determine the potential profitability of their investment. DM’s return on assets (ROA) during the last 12 months has been -59.50%. There was a -114.00% return on investment (ROI) in the past year. In the meantime, the return on equity (ROE) for the last 12 months was -84.00%.
Earnings Surprise
According to Desktop Metal Inc.’s quarterly financial report for the quarter that ended June 29, it had $5.93 million in cash and short-term investments. A higher net income was reported in the quarter under review than the previous quarter. Net income for the quarter came in at $53.09 million, while revenues fell by -8.63% to $41.32 million. It was predicted that Desktop Metal Inc.’s quarterly earnings would be -$0.05, but it ended up being -$0.05. EBITDA was -$34.91 million for the quarter. At the end of Desktop Metal Inc.’s most recent quarter ended June 29, its liabilities totaled 232.64 million, while its total debt was $141.9 million. Equity owned by shareholders amounts to $323.07 million.
Technical Picture
Here’s a quick look at Desktop Metal Inc.’s (DM) price momentum from a technical perspective. As of 15 August, the RSI 9-day stood at 19.41%, suggesting the stock is oversold, with a 14.14% historical volatility rate.
The stochastic %K and %D were 6.62% and 8.22% respectively, while the average true range (ATR) was 0.0677. Based on the 14-day stochastic reading of 5.85%, the RSI (14) reading is 28.10%. On the 9-day MACD Oscillator, the stock is at -0.0811, and the 14-day reading is at -0.1293.
Analyst Ratings
In its analyst report released on January 06, 2023, Morgan Stanley began covering Desktop Metal Inc. (NYSE: DM). The stock was rated as an Equal-weight by the brokerage firm. Analysts have assigned Desktop Metal Inc. (DM) an Hold rating. DM is a stock that is recommended for selling by 0 brokerage firms, while 5 companies recommend holding. The stock is underweighted by 0 analysts. Among the analysts who rate the stock, 0 rates it overweight and 0 others recommend it as a buy.
What is DM’s price target for the next 12 months?
The current consensus forecast for the stock is between $1.60 and $2.00, with a median target price of $1.99. In analyzing these forecasts, the average price target given by analysts for Desktop Metal Inc. (DM) is $1.90.
