Align Technology (NASDAQ:ALGN) Given New $220.00 Price Target at Evercore

Key Points

• Evercore raised its price target to $220 from $200 for Align Technology, implying about a 24.4% upside, while analysts collectively rate the stock a "Moderate Buy" with an average price target of $205.85 (8 Buys, 6 Holds).
• Align reported an earnings beat with Quarterly EPS of $2.58 vs. $2.26 expected and revenue of $1.04 billion (up 6.2% YoY), leaving the stock trading around $176.91 and the company valued at roughly $12.7 billion (P/E ~29.7).
• The board authorized a $200 million stock buyback (about 1.6% of shares), while insiders have recently sold stock and institutional ownership stands at ~88.4%, highlighting mixed insider activity amid broad institutional holdings.

Align Technology (NASDAQ:ALGN - Get Free Report) had its price target raised by analysts at Evercore from $200.00 to $220.00 in a note issued to investors on Thursday,MarketScreener reports. Evercore's price target suggests a potential upside of 24.36% from the company's previous close.

Several other research firms have also commented on ALGN. Wall Street Zen raised shares of Align Technology from a "buy" rating to a "strong-buy" rating in a research report on Saturday, March 7th. Citigroup started coverage on shares of Align Technology in a research report on Wednesday, April 15th. They set a "buy" rating and a $240.00 price target for the company. Jefferies Financial Group increased their price target on shares of Align Technology from $155.00 to $185.00 and gave the company a "hold" rating in a research report on Thursday, February 5th. Wells Fargo & Company increased their price target on shares of Align Technology from $181.00 to $200.00 and gave the company an "overweight" rating in a research report on Thursday, February 5th. Finally, Leerink Partners increased their price target on shares of Align Technology from $225.00 to $230.00 in a research report on Thursday. Eight equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company's stock. Based on data from MarketBeat.com, Align Technology presently has an average rating of "Moderate Buy" and an average price target of $205.85.

Align Technology Trading Up 0.5%

Shares of NASDAQ ALGN traded up $0.90 during mid-day trading on Thursday, reaching $176.91. The company had a trading volume of 67,711 shares, compared to its average volume of 1,194,728. Align Technology has a 52 week low of $122.00 and a 52 week high of $208.30. The business's 50-day moving average is $179.02 and its 200-day moving average is $164.00. The stock has a market cap of $12.67 billion, a price-to-earnings ratio of 29.70, a price-to-earnings-growth ratio of 1.94 and a beta of 1.81.

Align Technology (NASDAQ:ALGN - Get Free Report) 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 16.00%. The company had revenue of $1.04 billion for the quarter, compared to analysts' expectations of $1.02 billion. During the same period in the prior year, the business earned $2.13 EPS. The firm's quarterly revenue was up 6.2% on a year-over-year basis. As a group, equities research analysts forecast that Align Technology will post 9.15 earnings per share for the current year.

Align Technology declared that its Board of Directors has authorized a stock buyback program on Wednesday, April 29th that allows the company to repurchase $200.00 million in outstanding shares. This repurchase authorization allows the medical equipment provider to buy up to 1.6% of its stock through open market purchases. Stock repurchase programs are generally an indication that the company's management believes its shares are undervalued.

Insiders Place Their Bets

In related news, EVP John Morici sold 7,969 shares of the stock in a transaction that occurred on Wednesday, February 18th. The shares were sold at an average price of $189.31, for a total value of $1,508,611.39. Following the transaction, the executive vice president owned 8,237 shares in the company, valued at approximately $1,559,346.47. This represents a 49.17% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Company insiders own 0.75% of the company's stock.

Hedge Funds Weigh In On Align Technology

Several hedge funds and other institutional investors have recently bought and sold shares of ALGN. Wealth Enhancement Advisory Services LLC grew its stake in Align Technology by 38.9% in the 3rd quarter. Wealth Enhancement Advisory Services LLC now owns 15,551 shares of the medical equipment provider's stock valued at $2,029,000 after acquiring an additional 4,359 shares during the period. AE Wealth Management LLC acquired a new stake in Align Technology during the 3rd quarter worth $650,000. Dana Investment Advisors Inc. acquired a new stake in Align Technology during the 3rd quarter worth $9,991,000. AIA Group Ltd acquired a new stake in Align Technology during the 3rd quarter worth $2,507,000. Finally, Hussman Strategic Advisors Inc. purchased a new position in shares of Align Technology during the 3rd quarter worth $3,156,000. Institutional investors and hedge funds own 88.43% of the company's stock.

Align Technology Company Profile

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.

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