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PRLB: Expanded Metal Printing And Buybacks Will Support Steady Long Term Returns

Update shared on 18 Dec 2025

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AnalystConsensusTarget's Fair Value
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1Y
28.0%
7D
-0.9%

Analysts have modestly raised their price target on Proto Labs to approximately $56.67 per share, reflecting slightly lower discount rate assumptions and a marginally improved long term earnings multiple, despite largely unchanged growth and margin forecasts.

What's in the News

  • Expanded U.S. manufacturing footprint with a new 120,000 sq. ft. Raleigh, N.C. DMLS facility housing nearly 40 printers and capacity for more than 8,000 metal 3D printed parts per month, targeting fast growing aerospace, defense, and medical segments (Key Developments).
  • Secured ISO 13485 certification for medical devices and AS9100D for aerospace manufacturing at its DMLS facility, broadening addressable regulated end markets (Key Developments).
  • Announced fourth quarter 2025 revenue guidance of $125 million to $133 million and diluted EPS of $0.12 to $0.20, reflecting near-term earnings expectations (Key Developments).
  • Completed repurchase of 847,625 shares, or 3.52 percent of shares outstanding, for $36.69 million under the buyback program announced in February 2025, including 258,454 shares repurchased in the third quarter alone (Key Developments).
  • Introduced advanced automated CNC machining features, including tighter tolerances, broader finishes, and enhanced quality documentation, with parts shipping in as fast as five days from ITAR and AS9100 compliant facilities to support rapid prototyping and low volume production (Key Developments).

Valuation Changes

  • Fair Value Estimate remains unchanged at approximately $56.67 per share, indicating no revision to the intrinsic value assessment.
  • The Discount Rate has fallen slightly from about 8.27 percent to 8.24 percent, reflecting a modestly lower perceived risk profile or cost of capital.
  • Revenue Growth is effectively unchanged at roughly 5.25 percent annually, suggesting stable expectations for top line expansion.
  • Net Profit Margin is essentially flat at around 7.07 percent, indicating no material change in long term profitability assumptions.
  • The Future P/E has edged down slightly from about 37.0x to 37.0x, implying a marginally lower valuation multiple applied to expected earnings.

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Disclaimer

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