Resona Asset Management Co. Ltd. Has $49.09 Million Holdings in Align Technology, Inc. (NASDAQ:ALGN)

Key Points

• Resona Asset Management Co. Ltd. has increased its stake in Align Technology by 35.0% in the first quarter, now owning 308,771 shares valued at approximately $49 million.
• Align Technology's latest earnings report showed earnings per share of $2.49, missing estimates and reflected a 1.6% year-over-year revenue decline.
• Multiple institutional investors, including National Bank of Canada FI and Invesco Ltd., have also increased their holdings in Align Technology, with 88.43% of the stock now owned by hedge funds and institutional investors.

Resona Asset Management Co. Ltd. raised its stake in Align Technology, Inc. (NASDAQ:ALGN - Free Report) by 35.0% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 308,771 shares of the medical equipment provider's stock after acquiring an additional 80,061 shares during the quarter. Resona Asset Management Co. Ltd. owned about 0.42% of Align Technology worth $49,085,000 as of its most recent filing with the Securities and Exchange Commission.

Other institutional investors also recently modified their holdings of the company. GKV Capital Management Co. Inc. acquired a new position in Align Technology during the fourth quarter valued at approximately $31,000. Compagnie Lombard Odier SCmA acquired a new position in Align Technology during the first quarter valued at approximately $32,000. Center for Financial Planning Inc. acquired a new position in Align Technology during the first quarter valued at approximately $35,000. Orion Capital Management LLC acquired a new position in Align Technology during the fourth quarter valued at approximately $42,000. Finally, Mather Group LLC. grew its holdings in Align Technology by 375.0% during the first quarter. Mather Group LLC. now owns 437 shares of the medical equipment provider's stock valued at $69,000 after purchasing an additional 345 shares during the period. Institutional investors and hedge funds own 88.43% of the company's stock.

Align Technology Trading Down 0.3%

Shares of NASDAQ:ALGN traded down $0.45 on Friday, hitting $142.43. The company had a trading volume of 1,110,144 shares, compared to its average volume of 2,439,051. Align Technology, Inc. has a 1-year low of $127.70 and a 1-year high of $262.87. The stock has a market cap of $10.32 billion, a price-to-earnings ratio of 24.02, a P/E/G ratio of 1.61 and a beta of 1.61. The stock has a 50 day moving average price of $179.19 and a 200 day moving average price of $179.62.

Align Technology (NASDAQ:ALGN - Get Free Report) last released its quarterly earnings data on Wednesday, July 30th. The medical equipment provider reported $2.49 EPS 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 during the quarter, compared to analyst estimates of $1.06 billion. During the same quarter in the prior year, the firm earned $2.41 earnings per share. Align Technology's revenue for the quarter was down 1.6% on a year-over-year basis. Sell-side analysts anticipate that Align Technology, Inc. will post 7.98 earnings per share for the current fiscal year.

Align Technology declared that its board has approved a stock buyback plan on Tuesday, May 6th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the medical equipment provider to repurchase up to 7.9% of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board believes its stock is undervalued.

Insider Activity at Align Technology

In other Align Technology news, CEO Joseph M. Hogan purchased 7,576 shares of the firm's stock in a transaction that occurred on Friday, August 1st. The shares were acquired at an average cost of $131.49 per share, for a total transaction of $996,168.24. Following the completion of the purchase, the chief executive officer owned 184,945 shares of the company's stock, valued at approximately $24,318,418.05. The trade was a 4.27% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 0.66% of the company's stock.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. Hsbc Global Res lowered shares of Align Technology from a "strong-buy" rating to a "hold" rating in a research note on Friday, April 25th. Morgan Stanley reaffirmed an "equal weight" rating and issued a $154.00 price target (down previously from $249.00) on shares of Align Technology in a research note on Thursday, July 31st. Wells Fargo & Company cut their price target on shares of Align Technology from $246.00 to $199.00 and set an "overweight" rating on the stock in a research note on Thursday, July 31st. 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 note on Thursday, July 31st. Finally, Evercore ISI boosted their price objective on shares of Align Technology from $200.00 to $220.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 9th. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, nine have given a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $215.00.

Align Technology 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.