Key Insights for Align Technology (ALGN) Investors

By Ken Smith • Friday, July 12 15:09 • Permanent Link

One of the losers of today's trading session was Align Technology. Shares of the Specialty industrial machinery company plunged -4.6%, and some investors may be wondering if its price of $244.44 would make a good entry point. Here's what you should know if you are considering this investment:

Align Technology has moved -30.1% over the last year, and the S&P 500 logged a change of 24.0%
ALGN has an average analyst rating of buy and is -25.18% away from its mean target price of $326.69 per share
Its trailing earnings per share (EPS) is $6.05
Align Technology has a trailing 12 month Price to Earnings (P/E) ratio of 40.4 while the S&P 500 average is 27.65
Its forward earnings per share (EPS) is $10.93 and its forward P/E ratio is 22.4
The company has a Price to Book (P/B) ratio of 4.89 in contrast to the S&P 500's average ratio of 4.59
Align Technology is part of the Health Care sector, which has an average P/E ratio of 27.53 and an average P/B of 3.61
ALGN has reported YOY quarterly earnings growth of 21.9% and gross profit margins of 0.7%
The company has a free cash flow of $477.27 Million, which refers to the total sum of all its inflows and outflows of cash over the last quarter
Align Technology, Inc. designs, manufactures, and markets Invisalign clear aligners, and iTero intraoral scanners and services for orthodontists and general practitioner dentists in the United States, Switzerland, and internationally. The company's Clear Aligner segment offers comprehensive products, including Invisalign comprehensive package that addresses the orthodontic needs of younger patients, such as mandibular advancement, compliance indicators, and compensation for tooth eruption; and Invisalign First Phase I and Invisalign First Comprehensive Phase 2 package for younger patients generally between the ages of six and ten years, which is a mixture of primary/baby and permanent teeth. The segment also provides Invisalign moderate, lite and express packages, and Invisalign go and Invisalign Go Plus; retention products, Invisalign training, and adjusting tools used by dental professionals during the course of treatment; and Invisalign Palatal Expander, a 3D printed orthodontic device; and 3D printing solutions. Its Imaging Systems and CAD/CAM Services segment offers iTero intraoral scanning system, a single hardware platform for restorative or orthodontic procedures; restorative software for general practitioner dentists, prosthodontists, periodontists, and oral surgeons; and orthodontists software for digital records storage, orthodontic diagnosis, and fabrication of printed models and retainers. This segment also provides Invisalign outcome simulator, a chair-side and cloud-based application for the iTero scanner; Invisalign progress assessment tool; Align Oral Health Suite, a digital interface designed to enhance dental consultations; and TimeLapse technology, which allows doctors or practitioners to compare a patient's historic 3D scans to the present-day scan, as well as subscription software, disposables, rentals, leases, pay per scan, and CAD/CAM software solutions. The company was incorporated in 1997 and is headquartered in Tempe, Arizona.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.