Align Technology, Inc. $ALGN Shares Acquired by Adage Capital Partners GP L.L.C.

Key Points

• Adage Capital Partners GP L.L.C. significantly increased its holdings in Align Technology, Inc. by 94.2% during the first quarter, bringing its total owned shares to 127,388, valued at approximately $20.24 million.
• Multiple hedge funds have boosted their stakes in Align Technology, with increases ranging from 58.7% to as much as 4,217.3% by different firms during the same period, indicating strong institutional interest.
• The recent earnings report from Align Technology showed a missed EPS estimate of $2.49 compared to a consensus of $2.57, contributing to various analysts adjusting their price targets on the stock.

Adage Capital Partners GP L.L.C. lifted its stake in Align Technology, Inc. (NASDAQ:ALGN - Free Report) by 94.2% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 127,388 shares of the medical equipment provider's stock after purchasing an additional 61,788 shares during the period. Adage Capital Partners GP L.L.C. owned 0.18% of Align Technology worth $20,237,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also modified their holdings of the company. Teacher Retirement System of Texas acquired a new position in Align Technology in the first quarter valued at about $1,647,000. Asset Management One Co. Ltd. raised its holdings in Align Technology by 14.5% during the 1st quarter. Asset Management One Co. Ltd. now owns 31,624 shares of the medical equipment provider's stock worth $5,024,000 after buying an additional 4,009 shares during the period. American Assets Inc. acquired a new position in shares of Align Technology in the fourth quarter valued at approximately $417,000. Janney Montgomery Scott LLC increased its position in shares of Align Technology by 48.9% during the first quarter. Janney Montgomery Scott LLC now owns 10,120 shares of the medical equipment provider's stock worth $1,608,000 after acquiring an additional 3,325 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC raised its holdings in shares of Align Technology by 44.3% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 9,380 shares of the medical equipment provider's stock worth $1,490,000 after acquiring an additional 2,881 shares during the period. Institutional investors and hedge funds own 88.43% of the company's stock.

Align Technology Stock Down 1.6%

Shares of NASDAQ ALGN traded down $2.26 during trading on Monday, reaching $136.86. The company had a trading volume of 1,408,549 shares, compared to its average volume of 1,226,029. The stock has a market cap of $9.92 billion, a PE ratio of 23.08, a P/E/G ratio of 1.57 and a beta of 1.65. Align Technology, Inc. has a 12-month low of $127.70 and a 12-month high of $262.87. The business's 50-day moving average is $166.65 and its 200 day moving average is $171.82.

Align Technology (NASDAQ:ALGN - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The medical equipment provider reported $2.49 earnings per share for the quarter, missing the consensus estimate of $2.57 by ($0.08). Align Technology had a net margin of 11.04% and a return on equity of 13.36%. The company had revenue of $1.01 billion for the quarter, compared to analysts' expectations of $1.06 billion. During the same period in the previous year, the firm earned $2.41 earnings per share. The firm's revenue for the quarter was down 1.6% on a year-over-year basis. Align Technology has set its Q3 2025 guidance at EPS. On average, analysts anticipate that Align Technology, Inc. will post 7.98 earnings per share for the current year.

Align Technology declared that its board has approved a stock buyback program on Tuesday, August 5th that authorizes the company to repurchase $200.00 million in outstanding shares. This repurchase authorization authorizes the medical equipment provider to reacquire up to 2% of its shares through open market purchases. Shares repurchase programs are often a sign that the company's board of directors believes its stock is undervalued.

Insider Buying and Selling

In other Align Technology news, CEO Joseph M. Hogan acquired 7,576 shares of the stock in a transaction on Friday, August 1st. The stock was acquired at an average price of $131.49 per share, for a total transaction of $996,168.24. Following the completion of the transaction, the chief executive officer directly owned 184,945 shares of the company's stock, valued at $24,318,418.05. This trade represents a 4.27% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.66% of the stock is owned by company insiders.

Wall Street Analyst Weigh In

Several equities research analysts have commented on ALGN shares. Stifel Nicolaus cut their price target on shares of Align Technology from $275.00 to $200.00 and set a "buy" rating on the stock in a research report on Thursday, July 31st. Zacks Research cut shares of Align Technology from a "hold" rating to a "strong sell" rating in a research report on Monday, September 1st. Evercore ISI upped their target price on shares of Align Technology from $200.00 to $220.00 and gave the company an "outperform" rating in a report on Wednesday, July 9th. Wells Fargo & Company dropped their price objective on Align Technology from $246.00 to $199.00 and set an "overweight" rating on the stock in a research note on Thursday, July 31st. Finally, Morgan Stanley reiterated an "equal weight" rating and set a $154.00 target price (down from $249.00) on shares of Align Technology in a research note on Thursday, July 31st. One investment analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, five have given a Hold rating and two have issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $215.00.

Align Technology Company Profile

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.