Robbins Geller Rudman & Dowd LLP Files Class Action Suit Against Stratasys Ltd.

Robbins Geller Rudman & Dowd LLP (“Robbins Geller”) (http://www.rgrdlaw.com/cases/stratasys/) today announced that a class action has been commenced in the United States District Court for the District of Minnesota on behalf of purchasers of Stratasys Ltd. (“Stratasys”) (NASDAQ:SSYS) common stock during the period between May 9, 2014 and February 2, 2015 (the “Class Period”).

If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Darren Robbins of Robbins Geller at 800-449-4900 or 619-231-1058, or via e-mail at djr@rgrdlaw.com. If you are a member of this class, you can view a copy of the complaint as filed or join this class action online at http://www.rgrdlaw.com/cases/stratasys/. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.

The complaint charges Stratasys and certain of its officers with violations of the Securities Exchange Act of 1934. Stratasys manufactures three-dimensional printers and describes itself as a leading global provider of additive manufacturing solutions. The Company’s products are used by designers, engineers, and manufacturers to visualize, verify, and communicate product designs.

The complaint alleges that during the Class Period, defendants issued false and misleading statements and/or failed to disclose adverse facts about the Company’s business and future prospects. Specifically, during the Class Period defendants repeatedly issued positive statements regarding the Company’s recently acquired subsidiary MakerBot and its products and significantly raised the Company’s 2014 financial guidance. As a result of these false and misleading statements and omissions, Stratasys stock traded at artificially inflated prices throughout the Class Period, reaching a high of $129.28 in September 2014 and allowing the Company to complete two stock offerings which netted the selling shareholders more than $230 million.

Then, on February 2, 2015, Stratasys announced that its fourth quarter fiscal 2014 revenue would miss analysts’ expectations, largely based on problems with its MakerBot subsidiary. The Company also revealed that it was taking a $100 million to $110 million impairment charge to the goodwill value of the recently acquired MakerBot subsidiary, pointing to slower growth of MakerBot products and services revenue. Stratasys also announced that revenue for the full year 2014 would be between $748 million and $750 million, lower than the $764 million analysts had been modeling and below prior guidance of $750 million to $770 million. For 2015, the Company announced that it expected revenues of $940 million to $960 million, also short of market expectations of $1 billion. The reduced forecast implied slower organic growth.

On this news of the Company’s unexpected earnings miss, weak forecast, impairment charge, and newly revealed problems with MakerBot, the price of Stratasys common stock dropped. After closing at $80.08 per share on February 2, 2015, the stock opened trading at $57.00 per share on February 3, 2015, ultimately falling $22.72 per share – or 28% – to close at $57.36 per share as numerous analysts downgraded their ratings of Stratasys stock.

Plaintiff seeks to recover damages on behalf of all purchasers of Stratasys common stock during the Class Period (the “Class”). The plaintiff is represented by Robbins Geller, which has expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.

Robbins Geller, with 200 lawyers in ten offices, represents U.S. and international institutional investors in contingency-based securities and corporate litigation. The firm has obtained many of the largest securities class action recoveries in history, including the largest securities class action judgment. Please visit http://www.rgrdlaw.com for more information.