Align Technology Valuation

ALGN Stock  USD 164.12  0.80  0.49%   
At this time, the firm appears to be overvalued. Align Technology shows a prevailing Real Value of $136.16 per share. The current price of the firm is $164.12. Our model approximates the value of Align Technology from analyzing the firm fundamentals such as Current Valuation of 10.95 B, return on equity of 0.0958, and Profit Margin of 0.1 % as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
164.12
Please note that Align Technology's price fluctuation is very steady at this time. Calculation of the real value of Align Technology is based on 3 months time horizon. Increasing Align Technology's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since Align Technology is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Align Stock. However, Align Technology's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  164.12 Real  136.16 Hype  164.12 Naive  158.16
The intrinsic value of Align Technology's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Align Technology's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
134.22
Downside
136.16
Real Value
180.53
Upside
Estimating the potential upside or downside of Align Technology helps investors to forecast how Align stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Align Technology more accurately as focusing exclusively on Align Technology's fundamentals will not take into account other important factors:
Bollinger
Band Projection (param)
LowerMiddle BandUpper
155.38165.83176.28
Details
Hype
Prediction
LowEstimatedHigh
162.18164.12166.06
Details
Naive
Forecast
LowNext ValueHigh
156.22158.16160.10
Details

About Align Technology Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of Align Technology. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Align Technology based exclusively on its fundamental and basic technical indicators. By analyzing Align Technology's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Align Technology's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Align Technology. We calculate exposure to Align Technology's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Align Technology's related companies.
Align Technology, Inc., a medical device company, designs, manufactures, and markets Invisalign clear aligners and iTero intraoral scanners and services for orthodontists and general practitioner dentists, and restorative and aesthetic dentistry. Align Technology, Inc. was incorporated in 1997 and is headquartered in Tempe, Arizona. Align Technology operates under Medical Devices classification in the United States and is traded on NASDAQ Exchange. It employs 23800 people.

Align Technology Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
Common Stock Shares Outstanding75 M
Quarterly Earnings Growth Y O Y-0.497
Forward Price Earnings15.3846
When determining whether Align Technology offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Align Technology's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Align Technology Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Align Technology Stock:
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Align Technology. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in census.
To learn how to invest in Align Stock, please use our How to Invest in Align Technology guide.
You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Will Stock sector continue expanding? Could Align diversify its offerings? 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. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Align Technology data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Investors evaluate Align Technology using market value (trading price) and book value (balance sheet equity), each telling a different story. Calculating Align Technology's intrinsic value—the estimated true worth—helps identify when the stock trades at a discount or premium to fair value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. External factors like market trends, sector rotation, and investor psychology can cause Align Technology's market price to deviate significantly from intrinsic value.
Understanding that Align Technology's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Align Technology represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. Conversely, Align Technology's market price signifies the transaction level at which participants voluntarily complete trades.