Align Technology, Inc. (NASDAQ:ALGN) CEO Buys $996,168.24 in Stock

Key Points

• CEO Purchase: Align Technology's CEO Joseph M. Hogan bought 7,576 shares at an average price of $131.49, totaling approximately $996,168, increasing his ownership stake by 4.27%.
• Stock Performance: Align Technology's stock rose 5.8% to $136.52, with a notable trading volume of 7,974,235 shares, significantly higher than the average volume of 1,176,566.
• Analyst Ratings: Analysts have revised Align Technology's price targets, with an average target of $215, and a mix of ratings indicating a "Moderate Buy" sentiment among financial analysts.

Align Technology, Inc. (NASDAQ:ALGN - Get Free Report) CEO Joseph M. Hogan purchased 7,576 shares of Align Technology stock in a transaction dated Friday, August 1st. The stock was bought at an average price 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 in the company, valued at $24,318,418.05. This represents a 4.27% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is accessible through this hyperlink.

Align Technology Stock Performance

Shares of ALGN traded up $2.63 during trading hours on Tuesday, hitting $140.40. The company had a trading volume of 635,336 shares, compared to its average volume of 1,183,618. Align Technology, Inc. has a 52-week low of $127.70 and a 52-week high of $262.87. The firm has a fifty day moving average price of $186.38 and a 200-day moving average price of $184.55. The stock has a market capitalization of $10.18 billion, a price-to-earnings ratio of 23.78, a P/E/G ratio of 1.49 and a beta of 1.61.

Align Technology (NASDAQ:ALGN - Get Free Report) last issued its earnings results on Wednesday, July 30th. The medical equipment provider reported $2.49 earnings per share for the quarter, missing analysts' consensus estimates of $2.57 by ($0.08). Align Technology had a return on equity of 13.36% and a net margin of 11.04%. The business had revenue of $1.01 billion during the quarter, compared to analysts' expectations of $1.06 billion. During the same period last year, the firm posted $2.41 EPS. Align Technology's quarterly revenue was down 1.6% compared to the same quarter last year. Research analysts anticipate that Align Technology, Inc. will post 7.98 earnings per share for the current fiscal year.

Align Technology announced that its board has initiated a stock buyback program on Tuesday, May 6th that permits the company to repurchase $1.00 billion in shares. This repurchase authorization permits the medical equipment provider to purchase up to 7.9% of its shares through open market purchases. Shares repurchase programs are generally a sign that the company's management believes its stock is undervalued.

Analysts Set New Price Targets

Several research analysts have issued reports on ALGN shares. Morgan Stanley restated an "equal weight" rating and set a $154.00 price target (down previously from $249.00) on shares of Align Technology in a report on Thursday, July 31st. Needham & Company LLC restated a "hold" rating on shares of Align Technology in a report on Thursday, May 1st. Stifel Nicolaus lowered their price objective on shares of Align Technology from $275.00 to $200.00 and set a "buy" rating for the company in a research note on Thursday, July 31st. 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. Finally, Mizuho set a $210.00 price objective on shares of Align Technology in a research note on Thursday, July 31st. One research analyst has rated the stock with a sell rating, five have assigned a hold rating, nine have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, Align Technology currently has an average rating of "Moderate Buy" and a consensus price target of $215.00.

Institutional Investors Weigh In On Align Technology

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ALGN. Vanguard Group Inc. grew its holdings in Align Technology by 2.2% during the 1st quarter. Vanguard Group Inc. now owns 8,441,592 shares of the medical equipment provider's stock valued at $1,341,031,000 after buying an additional 185,187 shares in the last quarter. Ninety One UK Ltd lifted its position in Align Technology by 58.7% in the first quarter. Ninety One UK Ltd now owns 1,937,555 shares of the medical equipment provider's stock worth $307,800,000 after buying an additional 716,954 shares during the last quarter. Geode Capital Management LLC grew its stake in shares of Align Technology by 2.2% during the fourth quarter. Geode Capital Management LLC now owns 1,790,014 shares of the medical equipment provider's stock worth $372,299,000 after acquiring an additional 39,209 shares during the last quarter. Invesco Ltd. raised its stake in Align Technology by 12.7% in the 1st quarter. Invesco Ltd. now owns 1,219,715 shares of the medical equipment provider's stock valued at $193,764,000 after purchasing an additional 137,553 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC boosted its holdings in Align Technology by 32.2% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 832,313 shares of the medical equipment provider's stock valued at $132,221,000 after acquiring an additional 202,616 shares during the period. 88.43% of the stock is owned by hedge funds and other institutional investors.

About Align Technology

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.