Xometry (XMTR) AI Stock Analysis

• Market Cap: $3.50B
• Dividend Yield: N/A
• Average Volume (3M): 616.22K
• Price to Earnings (P/E): ―
• Beta (1Y): 2.05
• Revenue Growth: 22.40%
• EPS Growth: -18.99%
• Country: US
• Employees: 1,088
• Sector: Industrials
• Sector Strength: 72
• Industry: Industrial - Machinery
• EPS (TTM): 0.11
• Shares Outstanding: 49,772,346
• 10 Day Avg. Volume: 474,458
• 30 Day Avg. Volume: 616,224
• PEG Ratio: 1.54
• Price to Book (P/B): 6.66
• Price to Sales (P/S): 3.84
• P/FCF Ratio: -62.54
• Enterprise Value/Market Cap: 0.82
• Enterprise Value/Revenue: 4.49
• Enterprise Value/Gross Profit: 11.64
• Enterprise Value/Ebitda: -71.79
• 1Y Price Target: $61.80
• Price Target Upside: -9.45% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 55 Neutral
• Price Target: $64.00 ▼(-6.23% Downside)

Xometry's overall stock score is primarily influenced by its financial performance challenges, including profitability and cash flow issues. However, the positive technical analysis indicates strong market momentum, which partially offsets these concerns. The valuation remains a mixed factor due to negative earnings, but growth prospects provide some optimism.

Positive Factors

Revenue Growth

The strong revenue growth indicates robust demand and effective market penetration, suggesting a positive long-term trajectory for Xometry's business model.

Marketplace Gross Margin

Improved gross margins reflect enhanced pricing strategies and operational efficiencies, which can drive sustainable profitability over time.

AI Capabilities

Investment in AI technology enhances competitive advantage by optimizing pricing and selection, leading to better customer satisfaction and retention.

Negative Factors

Profitability Challenges

Ongoing profitability issues indicate operational inefficiencies, which may hinder long-term financial health if not addressed.

Cash Flow Concerns

Cash flow challenges limit the company's ability to invest in growth opportunities and may affect its financial flexibility.

Rising Debt Levels

Higher leverage increases financial risk and could constrain future investment capacity, impacting long-term strategic initiatives.

Xometry Business Overview & Revenue Model

Company Description

Xometry, Inc. operates a marketplace that enables buyers to source manufactured parts and assemblies in the United States and internationally. It provides CNC machining, milling, and turning services; sheet, laser, waterjet, and plasma cutting services; and sheet metal forming services. The company also offers 3D printing services, such as carbon digital light synthesis, fused deposition modeling, HP multi jet fusion, PolyJet, selective laser sintering, stereolithography, metal 3D printing service, direct metal laser sintering, and metal binder jetting; and injection molding services, including plastic injection, over, insert, and prototype molding, as well as bridge and production tooling. In addition, it provides other services comprising urethane and die casting, vapor smoothing, finishing, rapid prototyping, high- volume production, and assembly services. The company offers its products under the Allied Machine & Engineering, Brubaker, HTC, OSG, Kyocera, Mitsubishi Materials, SOWA, Viking Drill & Tool, Dauphin, and Sandvik brands. It serves aerospace and defense, automotive, consumer products, product designers, education, electronic and semiconductors, energy, hardware startups, industrial, medical and dental, robotics, and supply chain and purchasing industries. The company was formerly known as NextLine Manufacturing Corp. and changed its name to Xometry, Inc. in June 2015. Xometry, Inc. was incorporated in 2013 and is headquartered in Derwood, Maryland.

How the Company Makes Money

Xometry generates revenue through a commission-based model whereby it takes a percentage of each transaction completed on its platform. The company earns money by facilitating the connection between customers seeking custom manufacturing services and suppliers capable of fulfilling those requests. Key revenue streams include the fees charged to manufacturers for each job they accept through the platform and potential subscription fees for premium services. Additionally, Xometry has formed strategic partnerships with manufacturers and industry organizations, enhancing its marketplace offerings and expanding its customer base, which contributes positively to its earnings.

Xometry Financial Statement Overview

Summary

Xometry is experiencing revenue growth but faces significant profitability and cash flow challenges. The increasing leverage and negative return on equity highlight financial risks. The company needs to focus on improving operational efficiency and cash flow management to enhance its financial health.

Income Statement

Xometry shows a moderate revenue growth rate of 6.46% TTM, indicating positive sales momentum. However, the company struggles with profitability, as evidenced by negative net profit and EBIT margins, which suggest ongoing operational challenges. The gross profit margin remains stable, but the overall profitability needs improvement.

Balance Sheet

The company's debt-to-equity ratio has increased to 1.23 TTM, indicating higher leverage and potential financial risk. Return on equity is negative, reflecting losses and inefficiencies in generating shareholder value. The equity ratio is not explicitly provided, but the high debt levels suggest a need for better balance sheet management.

Cash Flow

Xometry's cash flow situation is concerning, with negative free cash flow growth and a high free cash flow to net income ratio, indicating cash flow challenges. The operating cash flow to net income ratio is low, suggesting difficulties in converting earnings into cash.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	642.78M	545.53M	463.41M	380.92M	218.34M	141.41M
Gross Profit	247.83M	215.62M	178.26M	145.99M	57.14M	33.29M
EBITDA	-40.17M	-28.20M	-52.30M	-66.77M	-56.93M	-26.88M
Net Income	-63.00M	-50.40M	-67.47M	-79.06M	-61.38M	-31.09M
Balance Sheet
Total Assets	698.88M	680.13M	707.39M	734.11M	502.59M	88.96M
Cash, Cash Equivalents and Short-Term Investments	224.52M	239.84M	268.78M	319.43M	116.73M	59.87M
Total Debt	333.45M	295.14M	299.52M	302.32M	22.47M	17.90M
Total Liabilities	425.79M	364.53M	376.97M	362.31M	77.10M	200.21M
Stockholders Equity	271.96M	314.45M	329.30M	370.71M	424.45M	-111.25M
Cash Flow
Free Cash Flow	-13.71M	-33.48M	-48.36M	-76.22M	-74.83M	-26.24M
Operating Cash Flow	10.74M	-15.38M	-29.88M	-62.58M	-68.57M	-22.05M
Investing Cash Flow	-11.41M	-20.18M	16.81M	15.14M	-212.75M	6.67M
Financing Cash Flow	3.93M	4.64M	1.07M	280.97M	307.77M	35.26M

Xometry Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 68.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For XMTR, the sentiment is Positive. The current price of 68.25 is above the 20-day moving average (MA) of 62.51, above the 50-day MA of 59.75, and above the 200-day MA of 43.31, indicating a bullish trend. The MACD of 1.89 indicates Negative momentum. The RSI at 51.18 is Neutral, neither overbought nor oversold. The STOCH value of 73.89 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for XMTR.

Xometry Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FLS	79 Outperform	$9.13B	20.87	20.97%	1.17%	3.19%	69.89%
SPXC	77 Outperform	$10.37B	44.25	12.76%	―	12.60%	24.02%
PNR	75 Outperform	$16.37B	26.15	17.97%	0.96%	0.83%	-1.32%
ITT	72 Outperform	$15.31B	29.94	17.85%	0.79%	8.01%	2.67%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
GNRC	59 Neutral	$8.32B	28.32	12.38%	―	5.52%	9.03%
XMTR	55 Neutral	$3.50B	-50.19	-21.46%	―	22.40%	-18.99%