Align Technology Inc. (NASDAQ:ALGN) has a beta of 1.70, a 12-month trailing P/E ratio of 102.23, and a growth ratio of 3.78. The stock’s Relative Strength Index (RSI) is 53.59, with weekly volatility at 3.00% and ATR at 20.92. The ALGN stock’s 52-week price range has touched low of $226.15 and a $647.20 high. Its shares traded higher over the last trading session, gaining 2.87% on 05/20/21. The shares fell to a low of $574.19 before closing at $587.90. Intraday shares traded counted 0.44 million, which was 32.6% higher than its 30-day average trading volume of 658.80K. ALGN’s previous close was $571.49 while the outstanding shares total 79.00M.
Investors have identified the Medical Devices company Align Technology Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $45.26 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.
Align Technology Inc. (ALGN) Fundamentals that are to be considered.
When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. In terms of their assets, the company currently has 2.12 billion total, with 1.39 billion as their total liabilities.
ALGN were able to record 183.76 million as free cash flow during the 07/28/2021 quarter of the year, this saw their quarterly net cash flow reduce by 170.83 million. In cash movements, the company had a total of 227.19 million as operating cash flow.
Potential earnings growth for Align Technology Inc. (ALGN)
In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the 07/28/2021 quarter of the year, Align Technology Inc. recorded a total of 894.77 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with 38.42% coming in sequential stages and their sales for the 07/28/2021 quarter increasing by 6.73%.
What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 217.67 million trying to sell their products during the last quarter, with the result yielding a gross income of 677.1 million. This allows shareholders to hold on to 79.00M with the recently reported earning now reading 2.54 cents per share. This is a figure that compared to analyst’s prediction for their 07/28/2021 (2.51 cents a share).
Having a look at the company’s valuation, the company is expected to record 10.76 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on ALGN sounds very interesting.
Is the stock of ALGN attractive?
In related news, SVP, Global Operations, Wright Emory sold 5,533 shares of the company’s stock in a transaction that recorded on May 07. The sale was performed at an average price of 595.00, for a total value of 3,292,135. As the sale deal closes, the Director, LARKIN C RAYMOND JR now sold 5,000 shares of the company’s stock, valued at 2,993,511. Also, SVP Global HR, Hockridge Stuart A sold 5,602 shares of the company’s stock in a deal that was recorded on Feb 24. The shares were price at an average price of 573.27 per share, with a total market value of 3,211,446. Following this completion of acquisition, the Director, PRESCOTT THOMAS M now holds 2,500 shares of the company’s stock, valued at 1,530,015. In the last 6 months, insiders have changed their ownership in shares of company stock by 0.30%.
10 out of 16 analysts covering the stock have rated it a Buy, while 3 have maintained a Hold recommendation on Align Technology Inc.. 1 analysts has assigned a Sell rating on the ALGN stock. The 12-month mean consensus price target for the company’s shares has been set at $707.00.