Align Technology
Market Cap
US$44.3b
Last Updated
2021/05/17 22:47 UTC
Data Sources
Company Financials +
Executive Summary
Align Technology, Inc., a medical device company, designs, manufactures, and markets Invisalign clear aligners and iTero intraoral scanners and services for orthodontists and general practitioner dentists, and restorative and aesthetic dentistry. More Details
Rewards
Risk Analysis
Snowflake Analysis
Flawless balance sheet with high growth potential.
Similar Companies
Share Price & News
How has Align Technology's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ALGN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: ALGN's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
0.9%
ALGN
-2.0%
US Medical Equipment
-0.6%
US Market
1 Year Return
143.9%
ALGN
31.2%
US Medical Equipment
46.0%
US Market
Return vs Industry: ALGN exceeded the US Medical Equipment industry which returned 34.4% over the past year.
Return vs Market: ALGN exceeded the US Market which returned 50.8% over the past year.
Shareholder returns
| ALGN | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.9% | -2.0% | -0.6% |
| 30 Day | -7.7% | -3.7% | -1.8% |
| 90 Day | -8.9% | -3.2% | 0.2% |
| 1 Year | 143.9%143.9% | 32.2%31.2% | 48.4%46.0% |
| 3 Year | 85.0%85.0% | 66.7%62.7% | 60.5%50.4% |
| 5 Year | 623.1%623.1% | 150.9%132.7% | 125.9%100.9% |
Long-Term Price Volatility Vs. Market
How volatile is Align Technology's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Here's Why Shareholders May Want To Be Cautious With Increasing Align Technology, Inc.'s (NASDAQ:ALGN) CEO Pay Packet1 week ago | Simply Wall St
Don't Ignore The Fact That This Insider Just Sold Some Shares In Align Technology, Inc. (NASDAQ:ALGN)2 weeks ago | Simply Wall St
Are Robust Financials Driving The Recent Rally In Align Technology, Inc.'s (NASDAQ:ALGN) Stock?Valuation
Is Align Technology undervalued compared to its fair value and its price relative to the market?
11.7%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ALGN ($559.52) is trading below our estimate of fair value ($633.6)
Significantly Below Fair Value: ALGN is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: ALGN is poor value based on its PE Ratio (96.3x) compared to the US Medical Equipment industry average (58.1x).
PE vs Market: ALGN is poor value based on its PE Ratio (96.3x) compared to the US market (19.8x).
Price to Earnings Growth Ratio
PEG Ratio: ALGN is poor value based on its PEG Ratio (4.2x)
Price to Book Ratio
PB vs Industry: ALGN is overvalued based on its PB Ratio (13x) compared to the US Medical Equipment industry average (4.4x).
Future Growth
How is Align Technology forecast to perform in the next 1 to 3 years based on estimates from 17 analysts?
23.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ALGN's forecast earnings growth (23% per year) is above the savings rate (2%).
Earnings vs Market: ALGN's earnings (23% per year) are forecast to grow faster than the US market (14.6% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: ALGN's revenue (16.9% per year) is forecast to grow faster than the US market (9% per year).
High Growth Revenue: ALGN's revenue (16.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ALGN's Return on Equity is forecast to be high in 3 years time (20.9%)
Past Performance
How has Align Technology performed over the past 5 years?
47.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ALGN has high quality earnings.
Growing Profit Margin: ALGN's current net profit margins (16.3%) are lower than last year (78.4%).
Past Earnings Growth Analysis
Earnings Trend: ALGN's earnings have grown significantly by 47.7% per year over the past 5 years.
Accelerating Growth: ALGN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: ALGN had negative earnings growth (-75.7%) over the past year, making it difficult to compare to the Medical Equipment industry average (10.5%).
Return on Equity
High ROE: ALGN's Return on Equity (13.5%) is considered low.
Financial Health
How is Align Technology's financial position?
Financial Position Analysis
Short Term Liabilities: ALGN's short term assets ($2.1B) exceed its short term liabilities ($1.4B).
Long Term Liabilities: ALGN's short term assets ($2.1B) exceed its long term liabilities ($282.4M).
Debt to Equity History and Analysis
Debt Level: ALGN is debt free.
Reducing Debt: ALGN has not had any debt for past 5 years.
Debt Coverage: ALGN has no debt, therefore it does not need to be covered by operating cash flow.
Interest Coverage: ALGN has no debt, therefore coverage of interest payments is not a concern.
Balance Sheet
Dividend
What is Align Technology current dividend yield, its reliability and sustainability?
Dividend Yield vs Market
Notable Dividend: Unable to evaluate ALGN's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate ALGN's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.
Stability and Growth of Payments
Stable Dividend: Insufficient data to determine if ALGN's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if ALGN's dividend payments have been increasing.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of ALGN's dividend in 3 years as they are not forecast to pay a notable one for the US market.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.9yrs
Average management tenure
CEO
Joe Hogan (63 yo)
5.92yrs
Tenure
US$15,522,289
Compensation
Mr. Joseph M. Hogan, also known as Joe, has been Chief Executive Officer and President of Align Technology, Inc. since June 01, 2015. Mr. Hogan serves as a Senior Advisor of ABB Ltd at ABB S.A. He served a...
CEO Compensation Analysis
Compensation vs Market: Joe's total compensation ($USD15.52M) is above average for companies of similar size in the US market ($USD11.20M).
Compensation vs Earnings: Joe's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: ALGN's management team is considered experienced (4.9 years average tenure).
Board Members
Experienced Board: ALGN's board of directors are seasoned and experienced ( 15.3 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ALGN insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Align Technology, Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Align Technology, Inc.
- Ticker: ALGN
- Exchange: NasdaqGS
- Founded: 1997
- Industry: Health Care Supplies
- Sector: Healthcare
- Market Cap: US$44.278b
- Shares outstanding: 79.14m
- Website: https://www.aligntech.com
Number of Employees
Location
- Align Technology, Inc.
- 410 North Scottsdale Road
- Suite 1300
- Tempe
- Arizona
- 85281
- United States
Listings
Biography
Align Technology, Inc., a medical device company, designs, manufactures, and markets Invisalign clear aligners and iTero intraoral scanners and services for orthodontists and general practitioner dentists,...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/05/17 22:47 |
| End of Day Share Price | 2021/05/17 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.