Align Technology (NASDAQ:ALGN) Rating Increased to Strong-Buy at BMO Capital Markets

BMO Capital Markets upgraded shares of Align Technology (NASDAQ:ALGN) to a strong-buy rating in a research note released on Wednesday,Zacks.com reports.

Several other brokerages also recently weighed in on ALGN. Evercore raised their target price on Align Technology from $200.00 to $220.00 in a research note on Thursday, April 30th. Morgan Stanley raised their price objective on Align Technology from $169.00 to $188.00 and gave the company an “equal weight” rating in a research note on Friday, April 24th. Barclays raised Align Technology from an “equal weight” rating to an “overweight” rating and set a $200.00 target price on the stock in a research report on Tuesday, March 17th. Weiss Ratings lowered shares of Align Technology from a “hold (c)” rating to a “hold (c-)” rating in a research note on Thursday, June 4th. Finally, Wall Street Zen upgraded shares of Align Technology from a “buy” rating to a “strong-buy” rating in a research note on Saturday, July 4th. Two investment analysts have rated the stock with a Strong Buy rating, eight have issued a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $206.07.

Align Technology Stock Up 2.0%

ALGN opened at $178.17 on Wednesday. The firm’s 50 day moving average is $171.49 and its 200-day moving average is $173.68. Align Technology has a 52-week low of $122.00 and a 52-week high of $208.30. The firm has a market capitalization of $12.76 billion, a P/E ratio of 29.89, a P/E/G ratio of 1.79 and a beta of 1.67.

Align Technology (NASDAQ:ALGN) last announced its earnings results on Wednesday, April 29th. The medical equipment provider reported $2.58 earnings per share for the quarter, beating the consensus estimate of $2.26 by $0.32. The business had revenue of $1.04 billion during the quarter, compared to the consensus estimate of $1.02 billion. Align Technology had a net margin of 10.50% and a return on equity of 15.82%. The business’s quarterly revenue was up 6.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.13 earnings per share. Equities analysts expect that Align Technology will post 9.48 earnings per share for the current fiscal year.

Align Technology announced that its board has initiated a stock buyback plan on Wednesday, April 29th that permits the company to buyback $200.00 million in outstanding shares. This buyback authorization permits the medical equipment provider to purchase up to 1.6% of its shares through open market purchases. Shares buyback plans are often an indication that the company’s management believes its stock is undervalued.

Hedge Funds Weigh In On Align Technology

A number of hedge funds have recently added to or reduced their stakes in ALGN. Blue Trust Inc. raised its holdings in shares of Align Technology by 77.5% during the first quarter. Blue Trust Inc. now owns 158 shares of the medical equipment provider’s stock worth $27,000 after purchasing an additional 69 shares during the period. Sunbelt Securities Inc. raised its stake in Align Technology by 222.4% during the fourth quarter. Sunbelt Securities Inc. now owns 158 shares of the medical equipment provider’s stock worth $25,000 after acquiring an additional 109 shares during the period. Independence Bank of Kentucky raised its stake in Align Technology by 77.7% during the fourth quarter. Independence Bank of Kentucky now owns 183 shares of the medical equipment provider’s stock worth $29,000 after acquiring an additional 80 shares during the period. CYBER HORNET ETFs LLC bought a new position in Align Technology in the second quarter worth about $36,000. Finally, Tobam bought a new position in Align Technology in the fourth quarter worth about $30,000. Institutional investors and hedge funds 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.