Align Technology (NASDAQ:ALGN) Cut to Hold at Zacks Research

Zacks Research lowered shares of Align Technology (NASDAQ:ALGN) from a strong-buy rating to a hold rating in a research note published on Thursday,Zacks.com reports.

ALGN has been the subject of a number of other reports. Morgan Stanley boosted their price objective on shares of Align Technology from $169.00 to $188.00 and gave the stock an “equal weight” rating in a report on Friday, April 24th. Piper Sandler increased their target price on Align Technology from $220.00 to $235.00 and gave the company an “overweight” rating in a research note on Tuesday, April 21st. Wall Street Zen raised Align Technology from a “buy” rating to a “strong-buy” rating in a report on Saturday, July 4th. BMO Capital Markets began coverage on Align Technology in a research note on Wednesday, July 8th. They issued an “outperform” rating and a $209.00 price target for the company. Finally, Citigroup initiated coverage on Align Technology in a report on Wednesday, April 15th. They set a “buy” rating and a $240.00 price target on the stock. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating and six have assigned a Hold rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $206.07.

Align Technology Stock Performance

NASDAQ:ALGN opened at $176.76 on Thursday. The firm has a market cap of $12.66 billion, a P/E ratio of 29.66, a P/E/G ratio of 1.81 and a beta of 1.67. Align Technology has a fifty-two week low of $122.00 and a fifty-two week high of $208.30. The firm has a 50-day simple moving average of $172.30 and a two-hundred day simple moving average of $174.48.

Align Technology (NASDAQ:ALGN) last issued its earnings results on Wednesday, April 29th. The medical equipment provider reported $2.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.26 by $0.32. Align Technology had a net margin of 10.50% and a return on equity of 15.82%. The firm had revenue of $1.04 billion for the quarter, compared to the consensus estimate of $1.02 billion. During the same quarter in the prior year, the firm posted $2.13 earnings per share. The business’s revenue was up 6.2% on a year-over-year basis. On average, equities research analysts predict that Align Technology will post 9.48 EPS for the current year.

Align Technology declared that its board has authorized a stock repurchase plan on Wednesday, April 29th that authorizes the company to buyback $200.00 million in shares. This buyback authorization authorizes the medical equipment provider to repurchase up to 1.6% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s leadership believes its shares are undervalued.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ALGN. Blue Trust Inc. raised its stake in Align Technology by 77.5% during the 1st quarter. Blue Trust Inc. now owns 158 shares of the medical equipment provider’s stock valued at $27,000 after buying an additional 69 shares during the last quarter. Sunbelt Securities Inc. lifted its holdings in shares of Align Technology by 222.4% during the 4th quarter. Sunbelt Securities Inc. now owns 158 shares of the medical equipment provider’s stock valued at $25,000 after buying an additional 109 shares during the period. Independence Bank of Kentucky boosted its stake in shares of Align Technology by 77.7% in the 4th quarter. Independence Bank of Kentucky now owns 183 shares of the medical equipment provider’s stock worth $29,000 after buying an additional 80 shares during the last quarter. CYBER HORNET ETFs LLC purchased a new position in shares of Align Technology in the 2nd quarter worth $36,000. Finally, Tobam bought a new stake in shares of Align Technology in the fourth quarter worth $30,000. Institutional investors own 88.43% of the company’s stock.

About Align Technology

Align Technology, Inc (NASDAQ: ALGN) pioneered the use of digital technology in orthodontics through the development of the Invisalign system, a series of clear, removable aligners that provide an alternative to traditional metal braces. Since its founding in 1997 by Zia Chishti and Kelsey Wirth, the Tempe, Arizona–based company has expanded its focus to include intraoral scanners, CAD/CAM software for dental laboratories and comprehensive digital dentistry solutions.

The company’s signature Invisalign system leverages 3D imaging and computer-aided design (CAD) to create customized aligners that gradually reposition teeth, improving patient comfort and treatment predictability.