What Happened:
Shares of 3D printer provider Markforged (NYSE:MKFG) jumped 22.5% in the morning session after the company announced a settlement and patent license agreement relating to the patent infringement litigation brought by Continuous Composites (which specializes in 3D printing). If approved by the Delaware District Court, the agreement will resolve all claims and counterclaims relating to the litigation.
The stock's move suggests that the market approves of the much-needed clarity the agreement will provide, as it clears all uncertainty related to the case, including the potential financial impact and disruption to regular operations that are often connected to legal disputes. After the initial pop the shares cooled down to $2.63, up 4% from previous close.
Is now the time to buy Markforged? Access our full analysis report here, it’s free.
What is the market telling us:
Markforged’s shares are very volatile and over the last year have had 70 moves greater than 5%. But moves this big are very rare even for Markforged and that is indicating to us that this news had a significant impact on the market’s perception of the business.
Markforged is down 67.9% since the beginning of the year, and at $2.63 per share it is trading 81.9% below its 52-week high of $14.50 from September 2023. Investors who bought $1,000 worth of Markforged’s shares at the IPO in October 2020 would now be looking at an investment worth $25.37.
Do you want to know what moves the business you care about? Add them to your StockStory watchlist and every time a stock moves more than 5%, we provide you with a timely explanation straight to your inbox. It’s free and will only take you a second.