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Xometry , Inc. (NASDAQ:XMTR), a Maryland-based company specializing in business services with a market capitalization of $1.2 billion, has announced a change in its certifying accountant. According to InvestingPro data, the company maintains strong liquidity with a current ratio of 4.38, indicating solid financial flexibility as it makes this transition. The Audit Committee of the Board of Directors decided to dismiss KPMG LLP as its independent registered public accounting firm on Monday and notified KPMG of the decision the following day.
The reports from KPMG on Xometry’s financial statements for the years ending December 31, 2023, and 2024 were free of any adverse opinions, disclaimers, or qualifications concerning audit scope or accounting principles. While the company operates with a moderate level of debt, its financial statements show revenue growth of 17.7% in the last twelve months, as revealed by InvestingPro analysis. Similarly, KPMG’s reports on the company’s internal control over financial reporting for the same periods did not contain any adverse opinions or disclaimers.
The company disclosed that during the fiscal years 2023 and 2024 and the subsequent period until March 4, 2025, there were no disagreements with KPMG on accounting principles or practices, financial statement disclosure, or auditing scope or procedure. The only reportable event was a material weakness in internal control over financial reporting related to the acquisition of Thomas Publishing, Inc., which was fully remediated by December 31, 2023.
In conjunction with the dismissal of KPMG, Xometry’s Audit Committee appointed Deloitte & Touche LLP as the new independent registered public accounting firm on Monday, pending completion of Deloitte’s standard client acceptance procedures. Prior to the appointment, Xometry had not consulted with Deloitte on any accounting principles or transactions that might affect the financial statements, nor had there been any disagreements or reportable events with Deloitte.
KPMG has provided a letter, dated March 7, 2025, to the Securities and Exchange Commission agreeing with the statements made by Xometry in the Current Report on Form 8-K. This management transition in Xometry’s financial oversight comes as the company continues to navigate the business services sector. Looking ahead, analysts tracked by InvestingPro expect the company to become profitable this year, with 12 additional key insights available to subscribers. The information reported is based on the company’s recent SEC filing and comprehensive ProTips analysis.
In other recent news, Xometry Inc. has reported its fourth-quarter 2024 financial results, surpassing expectations with an earnings per share (EPS) of $0.06, significantly higher than the forecasted $0.0267. The company’s revenue also exceeded projections, reaching $148.55 million against the expected $146.33 million. Goldman Sachs responded to these results by raising its price target for Xometry to $30, maintaining a Buy rating, citing the company’s robust performance and positive guidance for fiscal year 2025. Craig-Hallum also expressed confidence in Xometry, increasing the price target from $30 to $35 while retaining a Buy rating, highlighting a sustainable growth rate of over 20% for the company’s marketplace.
Meanwhile, Cantor Fitzgerald adjusted its price target for Xometry to $20 from $12, though it maintained an Underweight rating, pointing to concerns about the company’s balance sheet and upcoming debt obligations. The firm’s analyst noted Xometry’s significant involvement in prototyping applications as a potential risk factor. Despite these concerns, Xometry’s management remains optimistic, forecasting at least 20% marketplace growth per quarter in 2025 and aiming for positive adjusted EBITDA for the full year.
The company’s strong Q4 performance was driven by a 16% year-over-year revenue increase and a record marketplace gross margin of 34.5%. Xometry’s international expansion has been particularly noteworthy, with international revenue contributing 18% to total marketplace revenue and growing by 42% year-over-year. As Xometry continues to focus on leveraging artificial intelligence and expanding its global supplier network, analysts and investors will be watching closely how the company navigates its growth opportunities and financial challenges.
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