According to the law firm press release, 3D Systems makes content-to-print solutions ? 3D printers, materials, and on-demand custom parts services. It also provides content creation and design productivity software platforms. Its products are most often used in commercial settings like the aerospace/defense, healthcare, and automotive industries, as well as consumer applications and hobbies.
The complaint alleges that Defendants drove up 3D’s stock price by issuing false and misleading statements concerning the Company’s (i) ability to increase the capacity of its metal printing business; (ii) demand for its consumer products; (iii) the value of multiple companies it was acquiring; and (iv) expected earnings. The truth was finally revealed on October 22, 2014, when the Company surprised the market by announcing disappointing preliminary Q3 results and guided lower full year revenue and earnings. In a press release, the Company blamed its disappointing results on capacity constraints for its direct metal printers. On this news, 3D shares plummeted over 15% on high volume.
Plaintiffs filed a consolidated complaint on November 30, 2015. This was followed by the filing of an amended complaint on December 9.
On July 25, 2016, the Court issued an Order denying Defendants' Motion to Dismiss.