ALGN Healthcare

Align Technology, Inc.

$151.58-1.65%

Price as of close on Nov 3, 2026 · Financials updated Oct 6, 2026

Basics

Sector: Healthcare
Industry: Medical Instruments & Supplies
Country: United States
Market cap: 10.8B USD
Enterprise value: 9.8B USD
Full-time employees: 20,435

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings
Drawback: growing more slowly than most peersgrowing more slowly than peers
Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.67 vs a peer median of 0.63) and less short-term liquidity (current ratio 1.40 vs a peer median of 2.59)higher risk: bigger price swings (beta 1.67 vs peers 0.63) and less liquidity (current ratio 1.40 vs peers 2.59)

Ranks #523 of 1,157 healthcare companies (top 46%)

See how it ranks against its peers

Worth knowing

Operating margin at a 6-year low. 14% in 2025, the weakest of the last 6 years.
Align Technology's operating margin fell to 14% in 2025, its lowest in the 6 years of filings we have.
Sales growing faster than profits. Since 2022: revenue +8.0%, operating profit −15%.
Since 2022, Align Technology's revenue changed +8.0% while operating profit fell 15%: costs rose faster than sales.
Share count shrinking. Shares outstanding down 8.1% from December 2022 to July 2026.
Align Technology had 8.1% fewer shares at July 2026 than at December 2022, mainly through buybacks, so each remaining share owns a larger slice of the business.
Profit is backed by cash. Free cash flow is 153% of reported profit.
Align Technology's free cash flow is 153% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

StockQuotient Score

54/ 100

Oct 5 54 → Nov 4 54

Valuation

Is the price right?

72/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: No major changeValuation also moves with the share price every day.

Why

Stronger than most peers on:

▲ EBITDA yield
▲ Earnings yield

Compare with peers

Behind the score

Sector-normalized EBITDA, earnings, and free cash flow yields.

Earnings yield3.8%

SEC filings · 12 months to Jun 2026Reported value30% base weight · Z-score 1.59Sector median: 0.0148 · MAD: 0.0148

EBITDA yield9.5%

Yahoo Finance fallback · SEC enterprise value unavailable (debt or EBITDA not reported in standard form) · trailing 12 monthsReported value50% base weight · Z-score 1.36Sector median: 0.0401 · MAD: 0.0401

Free cash flow yield5.9%

SEC filings · 12 months to Jun 2026 · operating cash flow − capital spendingReported value20% base weight · Z-score 0.00Sector median: 0.0000 · MAD: 0.0000

Other data (not scored)

Book yield39.3%

SEC filings · latest balance sheetReported valueInformational · 0% composite weightSector median: 0.3716 · MAD: 0.2313

Growth

Is it growing?

39/100

Weak

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ EPS growth

Compare with peers

Behind the score

Revenue and earnings-per-share growth over one year, and revenue growth over three years.

Earnings per share growth-3.6%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.45Sector median: 0.0976 · MAD: 0.2991

3-year revenue growth3.5%

SEC filings · 3 years to Jun 2026Reported value33% base weight · Z-score -0.28Sector median: 0.0584 · MAD: 0.0840

Revenue growth4.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score -0.17Sector median: 0.0609 · MAD: 0.0974

Profitability

Does it earn well?

75/100

Moderate

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Stronger than most peers on:

▲ ROA
▲ ROIC
▲ Operating margin

Compare with peers

Behind the score

Return on invested capital, operating margin, and return on assets.

Operating margin13.2%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.51Sector median: 0.0706 · MAD: 0.1217

Return on assets6.4%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.89Sector median: 0.0166 · MAD: 0.0537

Return on invested capital13.8%

SEC filings · 12 months to Jun 2026Reported value33% base weight · Z-score 0.91Sector median: 0.0471 · MAD: 0.1004

Other data (not scored)

Gross margin68.0%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.4697 · MAD: 0.2310

Return on equity9.8%

SEC filings · 12 months to Jun 2026Reported valueInformational · 0% composite weightSector median: 0.0330 · MAD: 0.1225

Risk

Debt, liquidity, price swings

Higher

Higher relative risk

3/3 inputs reported · High confidence

Since last quarter: No major change

Why

Weaker than most peers on:

▼ Beta
▼ Current ratio

Compare with peers

Behind the score

Relative to sector peers: 0 = lower relative risk · 1 = moderate · 2 = higher. Based on leverage, beta and liquidity.

Beta1.67

Yahoo Finance · 5-year monthly beta vs the marketReported value33% base weight · Z-score -3.10Sector median: 0.6250 · MAD: 0.3380

Current ratio1.40×

SEC filings · latest balance sheetReported value33% base weight · Z-score -0.86Sector median: 2.5860 · MAD: 1.3850

Debt / equity0.03×

Yahoo Finance fallback · no standard SEC debt tagReported value33% base weight · Z-score 0.95Sector median: 0.2215 · MAD: 0.2039

Valuation, growth and profitability scores: higher is better. Risk: 0 is lower, 2 is higher. Risk is a relative proxy, not a bankruptcy probability. Scores depend on available sector peers.

Questions investors ask about Align Technology

Is Align Technology getting weaker?: Its latest SEC filing (Aug 5, 2026) showed no major changes. Its overall score is unchanged at 54/100 since Oct 28, 2026.
How is Align Technology valued vs its peers?: Priced lower than most peers relative to what it earns. Valuation scores 72/100 against 1,393 healthcare peers. EBITDA yield 9.5% vs a peer median of 4.0% (stronger than 80% of peers).EBITDA yield 9.5% vs peers 4.0% (stronger than 80% of peers).
Is Align Technology growing?: More slowly than most of its peers. Growth scores 39/100 against 1,393 healthcare peers. Earnings per share growth -3.6% vs a peer median of 9.8% (weaker than 62% of peers).Earnings per share growth -3.6% vs peers 9.8% (weaker than 62% of peers).
How profitable is Align Technology?: More profitable than most of its peers. Profitability scores 75/100 against 1,393 healthcare peers. Return on assets 6.4% vs a peer median of 1.7% (stronger than 79% of peers).Return on assets 6.4% vs peers 1.7% (stronger than 79% of peers).
How risky is Align Technology?: Higher risk relative to 1,393 healthcare peers, judged on debt, liquidity and share-price swings. Debt / equity 0.03× vs a peer median of 0.22× (stronger than 82% of peers).Debt / equity 0.03× vs peers 0.22× (stronger than 82% of peers). Beta 1.67 vs a peer median of 0.63 (weaker than 90% of peers).Beta 1.67 vs peers 0.63 (weaker than 90% of peers). A relative measure, not a bankruptcy probability.

Latest filing: what changed

Quarter ended Jun 30, 2026 · filed Aug 5, 2026 · compared with the quarter ended Mar 31, 2026

No major changes

	Previous quarter	Latest quarter	Change
Revenue (12 months)	4.1B USD	4.1B USD	+1.1%
Net income (12 months)	429.5M USD	413.2M USD	−3.8%
Operating margin	13.6%	13.2%	−0.4 pts
Free cash flow (12 months)	583.6M USD	633.6M USD	+8.6%
Cash	1.1B USD	1.1B USD	+4.0%
Shares outstanding	71.6M	71.0M	−0.8%

From the company’s own SEC filings, as filed. Twelve-month figures roll forward one quarter at a time.

Industry valuation context

Industry: Medical Instruments & Supplies · 25 companies

Valuations in Medical Instruments & Supplies are near the bottom of their range since Jul 2018.

18% of months since Jul 2018 were valued lower than now.
0% of companies are in the most expensive fifth of their own price-to-sales history.
Median price-to-sales is +17% vs the whole market, against a usual +86%.

Jul 2018Shaded: most expensive fifth of its range2026

Financials

Fiscal years from SEC annual filings · change vs the prior year

Key ratios	FY 2021	FY 2022	FY 2023	FY 2024	FY 2025	Change
Gross margin	74.3%	70.5%	70.1%	70.0%	67.2%	▼ 2.8 pts
Operating margin	24.7%	17.2%	16.7%	15.2%	13.5%	▼ 1.7 pts
Net margin	19.5%	9.7%	11.5%	10.5%	10.2%	▼ 0.4 pts
Return on assets (ROA)	13.0%	6.1%	7.3%	6.8%	6.6%	▼ 0.2 pts
Return on equity (ROE)	21.3%	10.0%	12.3%	10.9%	10.1%	▼ 0.8 pts
Free cash flow margin	19.5%	7.4%	15.7%	15.6%	12.2%	▼ 3.4 pts
Current ratio	1.30×	1.26×	1.18×	1.22×	1.36×	▲ 11%
Quick ratio	1.18×	1.08×	1.04×	1.10×	1.24×	▲ 13%

ALGN price history

Price history is added with the daily price update and will appear after the next one.

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Sector leaderboards

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Bringing the fundamentals into focus…

Overall health

Strength: its shares are priced lower than most peers relative to what it earnspriced lower than peers for its earnings

Drawback: growing more slowly than most peersgrowing more slowly than peers

Drawback: higher risk than most peers: its share price swings more than most peers’ (beta 1.67 vs a peer median of 0.63) and less short-term liquidity (current ratio 1.40 vs a peer median of 2.59)higher risk: bigger price swings (beta 1.67 vs peers 0.63) and less liquidity (current ratio 1.40 vs peers 2.59)

Ranks #523 of 1,157 healthcare companies (top 46%)

See how it ranks against its peers

Worth knowing

Operating margin at a 6-year low. 14% in 2025, the weakest of the last 6 years.

Align Technology's operating margin fell to 14% in 2025, its lowest in the 6 years of filings we have.

Sales growing faster than profits. Since 2022: revenue +8.0%, operating profit −15%.

Since 2022, Align Technology's revenue changed +8.0% while operating profit fell 15%: costs rose faster than sales.

Share count shrinking. Shares outstanding down 8.1% from December 2022 to July 2026.

Align Technology had 8.1% fewer shares at July 2026 than at December 2022, mainly through buybacks, so each remaining share owns a larger slice of the business.

Profit is backed by cash. Free cash flow is 153% of reported profit.

Align Technology's free cash flow is 153% of its reported profit, so its earnings are turning into cash it can reinvest, pay out or use to reduce debt.

Questions investors ask about Align Technology

Is Align Technology getting weaker?

Its latest SEC filing (Aug 5, 2026) showed no major changes. Its overall score is unchanged at 54/100 since Oct 28, 2026.

How is Align Technology valued vs its peers?

Priced lower than most peers relative to what it earns. Valuation scores 72/100 against 1,393 healthcare peers. EBITDA yield 9.5% vs a peer median of 4.0% (stronger than 80% of peers).EBITDA yield 9.5% vs peers 4.0% (stronger than 80% of peers).

Is Align Technology growing?

More slowly than most of its peers. Growth scores 39/100 against 1,393 healthcare peers. Earnings per share growth -3.6% vs a peer median of 9.8% (weaker than 62% of peers).Earnings per share growth -3.6% vs peers 9.8% (weaker than 62% of peers).

How profitable is Align Technology?

More profitable than most of its peers. Profitability scores 75/100 against 1,393 healthcare peers. Return on assets 6.4% vs a peer median of 1.7% (stronger than 79% of peers).Return on assets 6.4% vs peers 1.7% (stronger than 79% of peers).

How risky is Align Technology?

Higher risk relative to 1,393 healthcare peers, judged on debt, liquidity and share-price swings. Debt / equity 0.03× vs a peer median of 0.22× (stronger than 82% of peers).Debt / equity 0.03× vs peers 0.22× (stronger than 82% of peers). Beta 1.67 vs a peer median of 0.63 (weaker than 90% of peers).Beta 1.67 vs peers 0.63 (weaker than 90% of peers). A relative measure, not a bankruptcy probability.

Previous quarter

Latest quarter

Change

Revenue (12 months)

4.1B USD

4.1B USD

+1.1%

Net income (12 months)

429.5M USD

413.2M USD

−3.8%

Operating margin

13.6%

13.2%

−0.4 pts

Free cash flow (12 months)

583.6M USD

633.6M USD

+8.6%

Cash

1.1B USD

1.1B USD

+4.0%

Shares outstanding

71.6M

71.0M

−0.8%

Key ratios

FY 2021

FY 2022

FY 2023

FY 2024

FY 2025

Change

Gross margin

74.3%

70.5%

70.1%

70.0%

67.2%

▼ 2.8 pts

Operating margin

24.7%

17.2%

16.7%

15.2%

13.5%

▼ 1.7 pts

Net margin

19.5%

9.7%

11.5%

10.5%

10.2%

▼ 0.4 pts

Return on assets (ROA)

13.0%

6.1%

7.3%

6.8%

6.6%

▼ 0.2 pts

Return on equity (ROE)

21.3%

10.0%

12.3%

10.9%

10.1%

▼ 0.8 pts

Free cash flow margin

19.5%

7.4%

15.7%

15.6%

12.2%

▼ 3.4 pts

Current ratio

1.30×

1.26×

1.18×

1.22×

1.36×

▲ 11%

Quick ratio

1.18×

1.08×

1.04×

1.10×

1.24×

▲ 13%