Align Technology Stock Market Value
| ALGN Stock | USD 225.89 2.32 1.02% |
| Symbol | Align |
Align Technology Price To Book Ratio
Is Health Care Equipment & Supplies space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Align Technology. If investors know Align will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Align Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.02) | Earnings Share 5.86 | Revenue Per Share 52.669 | Quarterly Revenue Growth 0.018 | Return On Assets 0.067 |
The market value of Align Technology is measured differently than its book value, which is the value of Align that is recorded on the company's balance sheet. Investors also form their own opinion of Align Technology's value that differs from its market value or its book value, called intrinsic value, which is Align Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Align Technology's market value can be influenced by many factors that don't directly affect Align Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Align Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if Align Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Align Technology's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Align Technology 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Align Technology's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Align Technology.
| 12/03/2022 |
| 11/22/2024 |
If you would invest 0.00 in Align Technology on December 3, 2022 and sell it all today you would earn a total of 0.00 from holding Align Technology or generate 0.0% return on investment in Align Technology over 720 days. Align Technology is related to or competes with Insulet, Tandem Diabetes, Abbott Laboratories, Stryker, Edwards Lifesciences, DexCom, and Boston Scientific. Align Technology, Inc., a medical device company, designs, manufactures, and markets Invisalign clear aligners and iTero... More
Align Technology Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Align Technology's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Align Technology upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.06) | |||
| Maximum Drawdown | 10.02 | |||
| Value At Risk | (3.18) | |||
| Potential Upside | 3.07 |
Align Technology Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Align Technology's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Align Technology's standard deviation. In reality, there are many statistical measures that can use Align Technology historical prices to predict the future Align Technology's volatility.| Risk Adjusted Performance | (0.0001) | |||
| Jensen Alpha | (0.18) | |||
| Total Risk Alpha | (0.33) | |||
| Treynor Ratio | (0.02) |
Align Technology Backtested Returns
Align Technology secures Sharpe Ratio (or Efficiency) of -0.0064, which signifies that the company had a -0.0064% return per unit of risk over the last 3 months. Align Technology exposes twenty-two different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Align Technology's Risk Adjusted Performance of (0.0001), standard deviation of 2.27, and Mean Deviation of 1.85 to double-check the risk estimate we provide. The firm shows a Beta (market volatility) of 1.51, which signifies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Align Technology will likely underperform. At this point, Align Technology has a negative expected return of -0.0144%. Please make sure to confirm Align Technology's skewness, and the relationship between the total risk alpha and rate of daily change , to decide if Align Technology performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.30 |
Below average predictability
Align Technology has below average predictability. Overlapping area represents the amount of predictability between Align Technology time series from 3rd of December 2022 to 28th of November 2023 and 28th of November 2023 to 22nd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Align Technology price movement. The serial correlation of 0.3 indicates that nearly 30.0% of current Align Technology price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.3 | |
| Spearman Rank Test | -0.11 | |
| Residual Average | 0.0 | |
| Price Variance | 1193.38 |
Align Technology lagged returns against current returns
Autocorrelation, which is Align Technology stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Align Technology's stock expected returns. We can calculate the autocorrelation of Align Technology returns to help us make a trade decision. For example, suppose you find that Align Technology has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Align Technology regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Align Technology stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Align Technology stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Align Technology stock over time.
Current vs Lagged Prices |
| Timeline |
Align Technology Lagged Returns
When evaluating Align Technology's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Align Technology stock have on its future price. Align Technology autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Align Technology autocorrelation shows the relationship between Align Technology stock current value and its past values and can show if there is a momentum factor associated with investing in Align Technology.
Regressed Prices |
| Timeline |
Pair Trading with Align Technology
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Align Technology position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Align Technology will appreciate offsetting losses from the drop in the long position's value.Moving against Align Stock
The ability to find closely correlated positions to Align Technology could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Align Technology when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Align Technology - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Align Technology to buy it.
The correlation of Align Technology is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Align Technology moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Align Technology moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Align Technology can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Align Technology Correlation, Align Technology Volatility and Align Technology Alpha and Beta module to complement your research on Align Technology. To learn how to invest in Align Stock, please use our How to Invest in Align Technology guide.You can also try the Price Ceiling Movement module to calculate and plot Price Ceiling Movement for different equity instruments.
Align Technology technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.