We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Align Technology (ALGN) Stock Sinks As Market Gains: What You Should Know
Read MoreHide Full Article
In the latest trading session, Align Technology (ALGN - Free Report) closed at $249.54, marking a -1.8% move from the previous day. This change lagged the S&P 500's 0.36% gain on the day. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.1%.
Prior to today's trading, shares of the maker of the Invisalign tooth-straightening system had lost 7.09% over the past month. This has lagged the Medical sector's loss of 0.99% and the S&P 500's loss of 6.59% in that time.
Align Technology will be looking to display strength as it nears its next earnings release, which is expected to be July 27, 2022. On that day, Align Technology is projected to report earnings of $2.30 per share, which would represent a year-over-year decline of 24.34%. Meanwhile, our latest consensus estimate is calling for revenue of $1.01 billion, up 0.26% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.14 per share and revenue of $4.24 billion. These totals would mark changes of -9.63% and +7.34%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Align Technology. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Align Technology currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Align Technology has a Forward P/E ratio of 25.06 right now. This valuation marks a premium compared to its industry's average Forward P/E of 21.83.
Also, we should mention that ALGN has a PEG ratio of 3.46. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Dental Supplies industry currently had an average PEG ratio of 2.15 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Align Technology (ALGN) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Align Technology (ALGN - Free Report) closed at $249.54, marking a -1.8% move from the previous day. This change lagged the S&P 500's 0.36% gain on the day. Elsewhere, the Dow gained 0.23%, while the tech-heavy Nasdaq lost 0.1%.
Prior to today's trading, shares of the maker of the Invisalign tooth-straightening system had lost 7.09% over the past month. This has lagged the Medical sector's loss of 0.99% and the S&P 500's loss of 6.59% in that time.
Align Technology will be looking to display strength as it nears its next earnings release, which is expected to be July 27, 2022. On that day, Align Technology is projected to report earnings of $2.30 per share, which would represent a year-over-year decline of 24.34%. Meanwhile, our latest consensus estimate is calling for revenue of $1.01 billion, up 0.26% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $10.14 per share and revenue of $4.24 billion. These totals would mark changes of -9.63% and +7.34%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for Align Technology. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Align Technology currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Align Technology has a Forward P/E ratio of 25.06 right now. This valuation marks a premium compared to its industry's average Forward P/E of 21.83.
Also, we should mention that ALGN has a PEG ratio of 3.46. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Medical - Dental Supplies industry currently had an average PEG ratio of 2.15 as of yesterday's close.
The Medical - Dental Supplies industry is part of the Medical sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.