Analysts Have Conflicting Sentiments on These Technology Companies: Pacific DataVision (NASDAQ: PDVW) and 3D Systems (NYSE: DDD)

By Austin Angelo

Analysts have been eager to weigh in on the Technology sector with new ratings on Pacific DataVision (NASDAQ: PDVW) and 3D Systems (NYSE: DDD).

Pacific DataVision (NASDAQ: PDVW)

FBR Capital analyst David Dixon reiterated a Buy rating on Pacific DataVision (NASDAQ: PDVW) on November 4 and set a price target of $43. The company’s shares opened today at $22.60, close to its 52-week low of $18.60.

Dixon commented:

“PDVW management confirmed that an item was circulated with FCC commissioners in September, which it believes is the long-anticipated Notice of Inquiry. This will be a positive step in PDVW’s spectrum rebanding petition process, and the company is well positioned in each of the three expected outcomes. In the meantime, PDVW management continues to actively engage with incumbents to resolve ongoing issues. Depending on the contents of the NOI, management anticipates additional testing could be performed to resolve interference issues raised by opponents, but currently PDVW is not performing any tests. As we expected in early October, PDVW received written notice from the FCC that its FirstNet proposal was no longer being considered. In our view, AT&T has won this contract, since as a public company, like PDVW, it would have been required to file an 8-K following receipt of a rejection letter, which it has not done.”

According to TipRanks.com, Dixon is a 4-star analyst with an average return of 8.7% and a 46.3% success rate. Dixon covers the Technology sector, focusing on stocks such as Shenandoah Telecommunications Co, United States Cellular, and Zayo Group Holdings.

Currently, the analyst consensus on Pacific DataVision is Moderate Buy and the average price target is $44, representing a 94.7% upside.

In a report issued on November 4, Canaccord Genuity also reiterated a Buy rating on the stock with a $45 price target.
3D Systems (NYSE: DDD)

FBR Capital analyst Christopher Van Horn reiterated a Hold rating on 3D Systems (NYSE: DDD) on November 4 and set a price target of $18. The company’s shares opened today at $12.90.

Van Horn noted:

“We think 3D Systems is making progress with its business repositioning, which we believe involves emphasizing the transition to production from prototyping. Recall that one of our reasons for neutrality was that 3D Systems has diversified exposure and, therefore, could be threatened by competitive upstarts across the additive spectrum. We think the decision to exit certain projects that were adding, in our view, less value to the business is quite sound. That being said, we think we are still just in the early innings of the production transition, and until the benefits begin to kick in, there may not be significant catalysts to the upside for DDD shares. Management has cited a three-year time frame for this transition (which may move more quickly or more slowly depending on certain end markets), and we think it is already making good strides forward. Yet for the time being, we remain on the sidelines.”

According to TipRanks.com, Horn is a 3-star analyst with an average return of 1.0% and a 43.9% success rate. Horn covers the Consumer Goods sector, focusing on stocks such as Standard Motor Products, Federal-Mogul Corp., and Tower International.

3D Systems has an analyst consensus of Moderate Buy.