Savvy investors are always on the lookout for opportunities to enhance their portfolios. One such opportunity has recently emerged for Desktop Metal (DM:NYE) when Barclays PLC, a leading financial institution, demonstrated its confidence in the company by increasing its stake in Desktop Metal during the first quarter. In this article, we will delve into the intricacies of Barclays PLC’s investment in Desktop Metal, shedding light on the DM stock performance, market dynamics, and financial outlook.
Barclays PLC’s Investment Surge:
Barclays PLC’s commitment to Desktop Metal is evident in its recent 81.5% increase in holdings during the first quarter. The financial giant now owns a substantial 142,704 shares of Desktop Metal, representing a significant addition of 64,060 shares to its portfolio. As of the latest SEC filing, these holdings are valued at $328,000.
Institutional Interest in Desktop Metal:
Barclays PLC is not the only institutional investor showing interest in Desktop Metal. Several other major players have also adjusted their positions in DM.
Envestnet Asset Management Inc., for instance, acquired a new position in Desktop Metal during the first quarter, amounting to approximately $90,000 worth of shares.
Raymond James & Associates saw a 37.1% growth in its position during the same period, now holding 63,614 shares valued at $302,000.
Cambridge Investment Research Advisors Inc. increased its position by 13.5%, with 74,110 shares worth $351,000.
Private Advisor Group LLC joined the fray with a new stake worth $125,000, while MetLife Investment Management LLC boosted its position by an impressive 58.2%, now holding 105,305 shares valued at $499,000.
It’s worth noting that 53.68% of Desktop Metal’s stock is currently owned by institutional investors, underlining the growing interest in the company.
DM Stock Performance:
Despite market fluctuations, Desktop Metal has shown resilience with its stock price experiencing a 5.9% increase. As of the latest data, NYSE DM opened at $1.71 on a Thursday. The company boasts a robust current ratio of 3.49 and a quick ratio of 2.27, indicating its financial stability. The debt-to-equity ratio stands at a healthy 0.25.
The stock’s 50-day moving average is $1.74, while its two-hundred-day moving average is $1.91. With a market capitalization of $0.51B and a beta of 0.62, Desktop Metal, Inc. is firmly positioned in the market. Its 1-year low of $1.13 and 1-year high of $3.65 demonstrate its potential for growth.
Desktop Metal: A Rising Meme-Stock
Desktop Metal’s recent quarterly earnings report, released on August 3rd, garnered significant attention. The company reported earnings per share of ($0.09), slightly missing analysts’ consensus estimates of ($0.08) by ($0.01). However, the revenue for the quarter stood at $53.29 million, slightly below analyst estimates of $57.35 million.
It’s important to note that Desktop Metal had a negative net margin of 235.11% and a negative return on equity of 25.20%. Analysts anticipate that DM stock will post -0.31 earnings per share for the current fiscal year. These results indicate that while Desktop Metal is a company with potential, it is not without its challenges.
Analyst Insights:
Based on the DM stock forecast from 4 analysts, the average analyst target price is USD 2.82 over the next 12 months. The average analyst rating is “Buy”.
Stock Target advisor’s analysts are Bearish, which is based on 2 positive signals and 8 negative signals. At the last closing, DM stock price was USD 1.71 and this price has changed by +10.32% over the past week, -3.93% over the past month, and -46.23% over the last year.
Conclusion:
Barclays PLC’s increased stake in Desktop Metal, Inc. reflects the growing interest in this company within the financial sector. Desktop Metal’s recent stock performance, institutional investments, and earnings report paint a complex picture of its potential. Investors should carefully consider the opportunities and risks associated with DM stock before making any investment decisions.
