157.21 USD
+0.37 (+0.24%)
157.21 USD
0 (0%)
We assign a fundamental rating of 6 out of 10 to ALGN. ALGN was compared to 187 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. ALGN has a decent growth rate and is not valued too expensively. These ratings would make ALGN suitable for quality investing!
1. Profitability
1.1 Basic Checks
In the past year ALGN was profitable.
ALGN had a positive operating cash flow in the past year.
In the past 5 years ALGN has always been profitable.
ALGN had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ALGN (6.07%) is better than 83.42% of its industry peers.
The Return On Equity of ALGN (9.57%) is better than 84.49% of its industry peers.
ALGN has a better Return On Invested Capital (10.50%) than 90.37% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ALGN is above the industry average of 8.81%.
| 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 81.82% of its industry peers.
In the last couple of years the Profit Margin of ALGN has declined.
ALGN has a better Operating Margin (16.23%) than 86.10% of its industry peers.
In the last couple of years the Operating Margin of ALGN has declined.
ALGN has a Gross Margin of 69.48%. This is in the better half of the industry: ALGN outperforms 76.47% of its industry peers.
ALGN's Gross Margin has been stable in the last couple of years.
| 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
ALGN has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for ALGN has been reduced compared to 1 year ago.
The number of shares outstanding for ALGN has been reduced compared to 5 years ago.
ALGN has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
ALGN has an Altman-Z score of 4.61. This indicates that ALGN is financially healthy and has little risk of bankruptcy at the moment.
ALGN has a better Altman-Z score (4.61) than 77.54% 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 | 4.61 |
ROIC/WACC1.2
WACC8.78%
2.3 Liquidity
A Current Ratio of 1.29 indicates that ALGN should not have too much problems paying its short term obligations.
ALGN has a Current ratio of 1.29. This is amonst the worse of the industry: ALGN underperforms 80.75% 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's Quick ratio of 1.17 is on the low side compared to the rest of the industry. ALGN is outperformed by 70.05% 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.
The Earnings Per Share has been growing by 11.91% on average over the past years. This is quite good.
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
ALGN is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.83% yearly.
ALGN is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.37% yearly.
EPS Next Y11.47%
EPS Next 2Y9.3%
EPS Next 3Y9.02%
EPS Next 5Y10.83%
Revenue Next Year0.51%
Revenue Next 2Y1.95%
Revenue Next 3Y2.85%
Revenue Next 5Y6.37%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.26, which indicates a correct valuation of ALGN.
Compared to the rest of the industry, the Price/Earnings ratio of ALGN indicates a rather cheap valuation: ALGN is cheaper than 86.10% of the companies listed in the same industry.
ALGN's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.49.
A Price/Forward Earnings ratio of 14.09 indicates a correct valuation of ALGN.
Based on the Price/Forward Earnings ratio, ALGN is valued cheaply inside the industry as 88.77% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ALGN to the average of the S&P500 Index (23.69), we can say ALGN is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.26 | ||
| Fwd PE | 14.09 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ALGN is valued cheaply inside the industry as 84.49% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ALGN indicates a rather cheap valuation: ALGN is cheaper than 88.77% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 19.91 | ||
| EV/EBITDA | 13.49 |
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)1.42
PEG (5Y)1.36
EPS Next 2Y9.3%
EPS Next 3Y9.02%
5. Dividend
5.1 Amount
ALGN does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
157.21
+0.37 (+0.24%)
Chartmill FA Rating
GICS SectorHealth Care
GICS IndustryGroupHealth Care Equipment & Services
GICS IndustryHealth Care Equipment & Supplies
Earnings (Last)
Earnings (Next)
Inst Owners97.81%
Inst Owner Change4.39%
Ins Owners0.69%
Ins Owner Change1.24%
Market Cap11.28B
Revenue(TTM)3.98B
Net Income(TTM)378.59M
Analysts77.39
Price Target184.44 (17.32%)
Short Float %4.48%
Short Ratio2.18
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)-3.19%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-3.4%
EPS NY rev (1m)0.27%
EPS NY rev (3m)1.27%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.29%
Revenue NY rev (1m)0.1%
Revenue NY rev (3m)0.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.26 | ||
| Fwd PE | 14.09 | ||
| P/S | 2.83 | ||
| P/FCF | 19.91 | ||
| P/OCF | 17.19 | ||
| P/B | 2.85 | ||
| P/tB | 3.35 | ||
| EV/EBITDA | 13.49 |
EPS(TTM)9.67
EY6.15%
EPS(NY)11.16
Fwd EY7.1%
FCF(TTM)7.9
FCFY5.02%
OCF(TTM)9.14
OCFY5.82%
SpS55.51
BVpS55.16
TBVpS46.93
PEG (NY)1.42
PEG (5Y)1.36
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 | 4.61 |
F-Score7
WACC8.78%
ROIC/WACC1.2
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 Y11.47%
EPS Next 2Y9.3%
EPS Next 3Y9.02%
EPS Next 5Y10.83%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y0.39%
Revenue growth 5Y10.69%
Sales Q2Q%1.82%
Revenue Next Year0.51%
Revenue Next 2Y1.95%
Revenue Next 3Y2.85%
Revenue Next 5Y6.37%
EBIT growth 1Y-4.86%
EBIT growth 3Y-11.72%
EBIT growth 5Y5.48%
EBIT Next Year25.54%
EBIT Next 3Y10.88%
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 6 / 10 to ALIGN TECHNOLOGY INC (ALGN). This can be considered as Fairly Valued.
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 16.26 and the Price/Book (PB) ratio is 2.85.