Align Technology (NASDAQ:ALGN) and Haemonetics (NYSE:HAE) are both medical companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, dividends, valuation, profitability, earnings and institutional ownership.
Profitability
This table compares Align Technology and Haemonetics' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Align Technology | 76.00% | 68.99% | 46.64% |
Haemonetics | 11.76% | 22.85% | 10.40% |
Analyst Recommendations
This is a summary of recent ratings for Align Technology and Haemonetics, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Align Technology | 1 | 4 | 9 | 0 | 2.57 |
Haemonetics | 0 | 0 | 5 | 0 | 3.00 |
Align Technology presently has a consensus price target of $475.4615, indicating a potential downside of 16.03%. Haemonetics has a consensus price target of $144.80, indicating a potential upside of 13.19%. Given Haemonetics' stronger consensus rating and higher possible upside, analysts plainly believe Haemonetics is more favorable than Align Technology.
Volatility & Risk
Align Technology has a beta of 1.68, indicating that its share price is 68% more volatile than the S&P 500. Comparatively, Haemonetics has a beta of 0.56, indicating that its share price is 44% less volatile than the S&P 500.
Insider and Institutional Ownership
85.8% of Align Technology shares are held by institutional investors. Comparatively, 96.2% of Haemonetics shares are held by institutional investors. 1.2% of Align Technology shares are held by company insiders. Comparatively, 1.6% of Haemonetics shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Valuation & Earnings
This table compares Align Technology and Haemonetics' revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Align Technology | $2.41 billion | 18.55 | $442.78 million | $4.96 | 114.16 |
Haemonetics | $988.48 million | 6.58 | $76.53 million | $3.31 | 38.65 |
Align Technology has higher revenue and earnings than Haemonetics. Haemonetics is trading at a lower price-to-earnings ratio than Align Technology, indicating that it is currently the more affordable of the two stocks.
Summary
Align Technology beats Haemonetics on 9 of the 14 factors compared between the two stocks.