Align Technology (NASDAQ:ALGN) Share Price Breaks Above Fifty Day Moving Average - Here's What Happened

Key Points

• Align Technology shares rose above their 50-day moving average, reaching $154.69 and last trading at $154.13, though the stock remained below its 200-day average of $168.68.
• Analyst sentiment remains moderately positive, with a consensus “Moderate Buy” rating and an average price target of $193.08. However, some firms recently lowered targets, while Zacks downgraded the stock to “Strong Sell.”
• The company slightly beat quarterly expectations, reporting $2.80 in EPS and $1.01 billion in revenue, with revenue up 1.9% year over year. Institutional ownership is high at 88.43%, supported by significant recent purchases and position increases from major investors.

Align Technology, Inc. (NASDAQ:ALGN - Get Free Report) passed above its fifty day moving average during trading on Monday. The stock has a fifty day moving average of $150.29 and traded as high as $154.69. Align Technology shares last traded at $154.13, with a volume of 898,573 shares trading hands.

Analysts Set New Price Targets

ALGN has been the topic of several recent analyst reports. Needham & Company LLC reissued a "hold" rating on shares of Align Technology in a research note on Thursday. Zacks Research downgraded shares of Align Technology from a "hold" rating to a "strong sell" rating in a research note on Thursday, October 15th. BMO Capital Markets initiated coverage on Align Technology in a research note on Wednesday, July 8th. They issued an "outperform" rating and a $209.00 target price for the company. Piper Sandler dropped their price target on shares of Align Technology from $235.00 to $205.00 and set an "overweight" rating on the stock in a research note on Wednesday, October 21st. Finally, Leerink Partners dropped their price objective on Align Technology from $235.00 to $215.00 and set an "outperform" rating on the stock in a report on Wednesday, October 14th. One analyst has rated the stock with a Strong Buy rating, eight have given a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $193.08.

Align Technology Stock Performance

The stock has a market capitalization of $11.04 billion, a P/E ratio of 22.44, a price-to-earnings-growth ratio of 1.65 and a beta of 1.67. The business has a 50 day simple moving average of $150.29 and a 200-day simple moving average of $168.68.

Align Technology (NASDAQ:ALGN - Get Free Report) last issued its earnings results on Wednesday, October 28th. The medical equipment provider reported $2.80 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.77 by $0.03. The business had revenue of $1.01 billion for the quarter, compared to analysts' expectations of $1 billion. Align Technology had a return on equity of 16.11% and a net margin of 11.83%. The company's quarterly revenue was up 1.9% on a year-over-year basis. During the same period in the previous year, the firm posted $2.61 EPS. Equities research analysts forecast that Align Technology, Inc. will post 9.26 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of large investors have recently made changes to their positions in ALGN. BlackRock Inc. purchased a new position in shares of Align Technology in the 2nd quarter worth approximately $745,370,000. Assenagon Asset Management S.A. increased its position in shares of Align Technology by 638.7% during the third quarter. Assenagon Asset Management S.A. now owns 4,662,437 shares of the medical equipment provider's stock valued at $629,469,000 after acquiring an additional 4,031,284 shares during the last quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA increased its position in shares of Align Technology by 3,162.7% during the third quarter. Loring Wolcott & Coolidge Fiduciary Advisors LLP MA now owns 2,097,745 shares of the medical equipment provider's stock valued at $278,342,000 after acquiring an additional 2,033,451 shares during the last quarter. Vontobel Holding Ltd. increased its position in shares of Align Technology by 69,628.9% during the third quarter. Vontobel Holding Ltd. now owns 1,385,513 shares of the medical equipment provider's stock valued at $183,335,000 after acquiring an additional 1,383,526 shares during the last quarter. Finally, Deutsche Bank AG bought a new stake in Align Technology during the second quarter worth $99,779,000. Institutional investors and hedge funds own 88.43% of the company's stock.

Align Technology Company Profile

Align Technology, Inc is a global medical device company focused on digital orthodontics and restorative dentistry. Founded in 1997, the company is best known for the Invisalign system, a series of clear, removable aligners designed to gradually move teeth and treat a range of orthodontic conditions.

Align's products and services also include digital scanning and dental practice solutions. Its iTero intraoral scanners create digital impressions for orthodontic and restorative procedures, while its exocad business develops computer-aided design and computer-aided manufacturing software used by dental laboratories, clinicians and other dental professionals.

The company serves orthodontists, dentists, dental laboratories and patients in numerous markets worldwide.

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