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DDD Lawsuit Alert! Class Action Lawsuit Against 3D Systems Corporation

DDD Lawsuit Alert! Class Action Lawsuit Against 3D Systems Corporation

class action lawsuit was filed against 3D Systems Corporation (DDD) by Levi & Korsinsky on June 13, 2025. The plaintiffs (shareholders) alleged that they bought DDD stock at artificially inflated prices between August 13, 2024, and May 12, 2025 (Class Period) and are now seeking compensation for their financial losses. Investors who bought 3D Systems stock during that period can click here to learn about joining the lawsuit.

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3D Systems designs and manufactures 3D printers, advanced printing materials, and related software used for digital design, simulation, and manufacturing workflows. Notably, the company’s revenue comes from the sale of products and services through its Healthcare Solutions and Industrial Solutions divisions.

3D Systems runs a “Regenerative Medicine Program” under its Healthcare Solutions segment, which is dedicated to the “use of additive manufacturing for human organ transplantation.” As part of the program, 3D Systems has a partnership with the biotechnology company United Therapeutics Corp. (UTHR). 3D Systems’ claims about this partnership and the related “milestone criteria” are at the heart of the current complaint.

3D Systems’ Misleading Claims

According to the lawsuit, 3D Systems and two of its senior officers (the Defendants) repeatedly made false and misleading public statements throughout the Class Period. In particular, they are accused of omitting truthful information about the impact of weakened customer spending on the company’s business and the way in which updated milestone criteria in the United Partnership would impact 3D Systems’ Regenerative Medicine Program revenue, from SEC filings and related material.

During the Class Period, the company stated in its fiscal 2023 annual report that 3D Systems had made targeted investments and partnerships to broaden its product offerings of 3D printing solutions and to expand the addressable markets for both of its segments.

Furthermore, the company noted that these investments would accelerate the adoption of additive manufacturing in its target industrial and healthcare end markets and open up potential growth opportunities for the company.

Finally, in a press release dated August 29, 2024, the CEO stated that the company remains optimistic about future growth potential “given our most recent sequential recovery and continued momentum in our robust customer pipeline.”

However, subsequent events (detailed below) reveal that the defendants failed to inform investors about weakened customer spending on the company’s business and overstated its resistance to industry-specific problems.

Plaintiffs’ Arguments

The plaintiffs maintain that the defendants deceived investors by lying and withholding critical information about the business practices and compliance policies during the Class Period. Importantly, the defendants are accused of misleading investors about the company’s potential growth and revenue prospects related to its partnership with United Therapeutics Corp.

The information started becoming clear on March 26, 2025, and the problem became fully apparent after the market closed on May 12, 2025. On the same day, 3D Systems issued a press release for the first quarter of fiscal 2025. In the release, the company partially attributed its poor performance to “a decline in material sales, mostly due to inventory management issues in the dental portion of its Healthcare Solutions segment.”

What’s worse, 3D Systems withdrew its full-year 2025 outlook, citing “prolonged softness in customer capital spending and macroeconomic uncertainty.” Following the news, DDD stock plunged 26.7% on May 13.

To conclude, the defendants failed to inform investors about declining customer spending on 3D Systems’ products and solutions, which impacted the company’s business performance. As a result of these issues, DDD stock has lost nearly 49% so far this year.

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