147.19 USD
-0.04 (-0.03%)
147.19 USD
0 (0%)
Taking everything into account, ALGN scores 6 out of 10 in our fundamental rating. ALGN was compared to 188 industry peers in the Health Care Equipment & Supplies industry. Both the health and profitability get an excellent rating, making ALGN a very profitable company, without any liquidiy or solvency issues. A decent growth rate in combination with a cheap valuation! Better keep an eye on ALGN. This makes ALGN very considerable for value and quality investing!
1. Profitability
1.1 Basic Checks
ALGN had positive earnings in the past year.
In the past year ALGN had a positive cash flow from operations.
Each year in the past 5 years ALGN has been profitable.
Each year in the past 5 years ALGN had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 6.07%, ALGN belongs to the top of the industry, outperforming 82.98% of the companies in the same industry.
The Return On Equity of ALGN (9.57%) is better than 84.04% of its industry peers.
Looking at the Return On Invested Capital, with a value of 10.50%, ALGN belongs to the top of the industry, outperforming 90.43% of the companies in the same industry.
ALGN had an Average Return On Invested Capital over the past 3 years of 11.25%. This is above the industry average of 8.71%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.07% | ||
| ROE | 9.57% | ||
| ROIC | 10.5% |
ROA(3y)6.72%
ROA(5y)13.99%
ROE(3y)11.08%
ROE(5y)21.89%
ROIC(3y)11.25%
ROIC(5y)11.65%
1.3 Margins
ALGN has a Profit Margin of 9.51%. This is amongst the best in the industry. ALGN outperforms 81.38% of its industry peers.
ALGN's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 16.23%, ALGN belongs to the top of the industry, outperforming 86.17% of the companies in the same industry.
ALGN's Operating Margin has declined in the last couple of years.
ALGN's Gross Margin of 69.48% is fine compared to the rest of the industry. ALGN outperforms 76.60% of its industry peers.
In the last couple of years the Gross Margin of ALGN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.23% | ||
| PM (TTM) | 9.51% | ||
| GM | 69.48% |
OM growth 3Y-12.06%
OM growth 5Y-4.71%
PM growth 3Y-18.59%
PM growth 5Y-10.55%
GM growth 3Y-1.95%
GM growth 5Y-0.69%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ALGN is still creating some value.
ALGN has less shares outstanding than it did 1 year ago.
ALGN has less shares outstanding than it did 5 years ago.
There is no outstanding debt for ALGN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
ALGN has an Altman-Z score of 4.42. This indicates that ALGN is financially healthy and has little risk of bankruptcy at the moment.
ALGN's Altman-Z score of 4.42 is fine compared to the rest of the industry. ALGN outperforms 76.06% of its industry peers.
There is no outstanding debt for ALGN. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.42 |
ROIC/WACC1.21
WACC8.66%
2.3 Liquidity
A Current Ratio of 1.29 indicates that ALGN should not have too much problems paying its short term obligations.
The Current ratio of ALGN (1.29) is worse than 80.32% of its industry peers.
A Quick Ratio of 1.17 indicates that ALGN should not have too much problems paying its short term obligations.
ALGN has a worse Quick ratio (1.17) than 69.68% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.76% over the past year.
Measured over the past years, ALGN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 11.91% on average per year.
ALGN shows a small growth in Revenue. In the last year, the Revenue has grown by 0.56%.
ALGN shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 10.69% yearly.
EPS 1Y (TTM)3.76%
EPS 3Y-5.96%
EPS 5Y11.91%
EPS Q2Q%11.06%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y0.39%
Revenue growth 5Y10.69%
Sales Q2Q%1.82%
3.2 Future
The Earnings Per Share is expected to grow by 10.83% on average over the next years. This is quite good.
Based on estimates for the next years, ALGN will show a small growth in Revenue. The Revenue will grow by 6.37% on average per year.
EPS Next Y11.17%
EPS Next 2Y9.15%
EPS Next 3Y8.98%
EPS Next 5Y10.83%
Revenue Next Year0.42%
Revenue Next 2Y1.92%
Revenue Next 3Y2.82%
Revenue Next 5Y6.37%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 15.22, which indicates a correct valuation of ALGN.
87.23% of the companies in the same industry are more expensive than ALGN, based on the Price/Earnings ratio.
ALGN is valuated rather cheaply when we compare the Price/Earnings ratio to 26.31, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.23, which indicates a correct valuation of ALGN.
ALGN's Price/Forward Earnings ratio is rather cheap when compared to the industry. ALGN is cheaper than 89.36% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 36.59. ALGN is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.22 | ||
| Fwd PE | 13.23 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ALGN indicates a rather cheap valuation: ALGN is cheaper than 87.23% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ALGN is valued cheaper than 89.36% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.64 | ||
| EV/EBITDA | 12.61 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ALGN has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.36
PEG (5Y)1.28
EPS Next 2Y9.15%
EPS Next 3Y8.98%
5. Dividend
5.1 Amount
ALGN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
147.19
-0.04 (-0.03%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners94.41%
Inst Owner Change4.38%
Ins Owners0.68%
Ins Owner Change1.24%
Market Cap10.56B
Revenue(TTM)3.98B
Net Income(TTM)378.59M
Analysts76.67
Price Target184.44 (25.31%)
Short Float %3.82%
Short Ratio2.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.79%
Min EPS beat(2)-4.95%
Max EPS beat(2)6.53%
EPS beat(4)2
Avg EPS beat(4)1.18%
Min EPS beat(4)-4.95%
Max EPS beat(4)6.53%
EPS beat(8)5
Avg EPS beat(8)2.84%
EPS beat(12)8
Avg EPS beat(12)3.11%
EPS beat(16)9
Avg EPS beat(16)-1.08%
Revenue beat(2)0
Avg Revenue beat(2)-3.18%
Min Revenue beat(2)-6.34%
Max Revenue beat(2)-0.02%
Revenue beat(4)0
Avg Revenue beat(4)-2.42%
Min Revenue beat(4)-6.34%
Max Revenue beat(4)-0.02%
Revenue beat(8)2
Avg Revenue beat(8)-1.81%
Revenue beat(12)3
Avg Revenue beat(12)-1.6%
Revenue beat(16)3
Avg Revenue beat(16)-2.32%
PT rev (1m)2.68%
PT rev (3m)-5.44%
EPS NQ rev (1m)-2.16%
EPS NQ rev (3m)-3.4%
EPS NY rev (1m)1.24%
EPS NY rev (3m)1%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)0.29%
Revenue NY rev (1m)0.39%
Revenue NY rev (3m)0.44%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.22 | ||
| Fwd PE | 13.23 | ||
| P/S | 2.65 | ||
| P/FCF | 18.64 | ||
| P/OCF | 16.1 | ||
| P/B | 2.67 | ||
| P/tB | 3.14 | ||
| EV/EBITDA | 12.61 |
EPS(TTM)9.67
EY6.57%
EPS(NY)11.13
Fwd EY7.56%
FCF(TTM)7.9
FCFY5.36%
OCF(TTM)9.14
OCFY6.21%
SpS55.51
BVpS55.16
TBVpS46.93
PEG (NY)1.36
PEG (5Y)1.28
Graham Number109.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.07% | ||
| ROE | 9.57% | ||
| ROCE | 15.14% | ||
| ROIC | 10.5% | ||
| ROICexc | 11.03% | ||
| ROICexgc | 12.91% | ||
| OM | 16.23% | ||
| PM (TTM) | 9.51% | ||
| GM | 69.48% | ||
| FCFM | 14.22% |
ROA(3y)6.72%
ROA(5y)13.99%
ROE(3y)11.08%
ROE(5y)21.89%
ROIC(3y)11.25%
ROIC(5y)11.65%
ROICexc(3y)12.85%
ROICexc(5y)14.58%
ROICexgc(3y)15.07%
ROICexgc(5y)17.6%
ROCE(3y)16.23%
ROCE(5y)16.81%
ROICexgc growth 3Y-21.83%
ROICexgc growth 5Y-25.54%
ROICexc growth 3Y-20.41%
ROICexc growth 5Y-25.98%
OM growth 3Y-12.06%
OM growth 5Y-4.71%
PM growth 3Y-18.59%
PM growth 5Y-10.55%
GM growth 3Y-1.95%
GM growth 5Y-0.69%
F-Score7
Asset Turnover0.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 51.62% | ||
| Cap/Sales | 2.25% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 80.04% | ||
| Profit Quality | 149.64% | ||
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.17 | ||
| Altman-Z | 4.42 |
F-Score7
WACC8.66%
ROIC/WACC1.21
Cap/Depr(3y)145.51%
Cap/Depr(5y)194.24%
Cap/Sales(3y)5.1%
Cap/Sales(5y)6.34%
Profit Quality(3y)120.32%
Profit Quality(5y)97.89%
High Growth Momentum
Growth
EPS 1Y (TTM)3.76%
EPS 3Y-5.96%
EPS 5Y11.91%
EPS Q2Q%11.06%
EPS Next Y11.17%
EPS Next 2Y9.15%
EPS Next 3Y8.98%
EPS Next 5Y10.83%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y0.39%
Revenue growth 5Y10.69%
Sales Q2Q%1.82%
Revenue Next Year0.42%
Revenue Next 2Y1.92%
Revenue Next 3Y2.82%
Revenue Next 5Y6.37%
EBIT growth 1Y-4.86%
EBIT growth 3Y-11.72%
EBIT growth 5Y5.48%
EBIT Next Year19.51%
EBIT Next 3Y10.28%
EBIT Next 5Y11.14%
FCF growth 1Y-17.43%
FCF growth 3Y-6.89%
FCF growth 5Y0.82%
OCF growth 1Y-25.75%
OCF growth 3Y-14.29%
OCF growth 5Y-0.24%
ALIGN TECHNOLOGY INC / ALGN FAQ
What is the ChartMill fundamental rating of ALIGN TECHNOLOGY INC (ALGN) stock?
ChartMill assigns a fundamental rating of 6 / 10 to ALGN.
What is the valuation status of ALIGN TECHNOLOGY INC (ALGN) stock?
ChartMill assigns a valuation rating of 7 / 10 to ALIGN TECHNOLOGY INC (ALGN). This can be considered as Undervalued.
Can you provide the profitability details for ALIGN TECHNOLOGY INC?
ALIGN TECHNOLOGY INC (ALGN) has a profitability rating of 7 / 10.
Can you provide the PE and PB ratios for ALGN stock?
The Price/Earnings (PE) ratio for ALIGN TECHNOLOGY INC (ALGN) is 15.22 and the Price/Book (PB) ratio is 2.67.