Mears Machine Corporation has ordered its fifth Velo3D Sapphire XC metal additive manufacturing system, with options for two additional systems, to expand its production capacity for mission-critical industries. The investment, announced on July 7, 2026, strengthens Mears' ability to support customers in aviation, defense, energy, and space sectors by enhancing engineering expertise and scalable manufacturing. The expanded capacity will help maintain short lead times while supporting larger production programs and next-generation applications.

The fifth Sapphire XC system will boost Mears' production capability in advanced nickel superalloys and aluminum, including Inconel 718, Haynes 282, and CP1 aluminum. It also provides a scalable platform for qualifying additional advanced materials as customer requirements evolve. Mears, a leading advanced manufacturing partner in North America, combines precision machining, metal additive manufacturing, and engineering services to help customers optimize designs and transition products from development to full-scale production.

Key Details of the Order

The investment reflects Mears' long-term commitment to resilient domestic supply chains and speed to market. By leveraging Velo3D's technology, Mears aims to capture new opportunities in industries where performance and supply chain resilience are critical. The company has a proven track record of delivering production-quality components for demanding environments.

Velo3D Inc. opened a new 288,747 sq. foot advanced manufacturing facility in Livermore, California, to scale production capacity for the aerospace and defense sectors. The expansion aims to triple production capacity to meet growing demand as manufacturers transition from prototyping to full-scale production. The stock has shown volatility this week, initially falling about 6% on Tuesday before rising 5.60% to $16.98 on Thursday, as investors weigh the expansion against a recent short-seller report and bullish analyst coverage.

The stock's movement follows a 10.5% rally on Monday after Velo3D joined the Russell 3000 Index and the Russell Microcap Index. Chief Executive Officer Arun Jeldi said the index additions broaden the company's visibility among institutional investors. However, shares remain under pressure after Morpheus Research published a bearish report on June 25 questioning the strength of Velo3D's aerospace and defense business and accusing the company of overstating its prospects.

The short report contrasts with a bullish view from Needham analyst Austin Bohlig, who initiated coverage on June 25 with a Buy rating and a $33 price forecast. Bohlig said the company's metal additive manufacturing platform is becoming a critical enabling technology for the reindustrialization of the U.S. aerospace and defense industrial base. Needham expects Velo3D to generate $65 million in revenue in 2026.

The Livermore campus includes approximately 270,000-square-feet of manufacturing space with more than 36-foot clear heights, totaling nearly 10 million cubic feet of volume. The vertical headroom provides Velo3D the clearance to install large-format systems and to scale to taller builds as technology evolves. The facility is designed to support the installation of more than 40 large-format additive manufacturing systems, with infrastructure to accommodate more than 100 systems over the next couple of years.

The new campus complements the company's Fremont headquarters, which will remain the hub for research and development, applications engineering, and prototyping. Technical indicators show the stock is trading 46.4% above its 200-day SMA ($12.10) and 15.8% above its 100-day SMA ($15.29), though it remains below its 20-day and 50-day SMAs. Key resistance is identified at $18.00, while support sits at $15.00.