China smartphone shipments slumped in June on inventory overhang: Jefferies
Align Technology (NASDAQ:ALGN) Inc. stock reached a 52-week low, trading at $141.58. With a market capitalization of $10.2 billion and a P/E ratio of 37, this milestone comes amid a challenging year for the company. According to InvestingPro analysis, the stock appears undervalued compared to its Fair Value. The stock has fallen by 12.21% in the last year, reflecting broader challenges in the market and specific pressures on the company’s performance. Despite the volatility, InvestingPro data shows management actively buying back shares, with the company maintaining strong profitability and a healthy 70% gross margin. Investors are closely monitoring Align Technology’s next moves as it navigates this period of volatility, hoping for signs of recovery or strategic shifts that could restore confidence and stabilize its stock price. Discover 5 more exclusive InvestingPro Tips and comprehensive analysis in our detailed Pro Research Report.
In other recent news, Align Technology reported its second-quarter 2025 earnings, missing both earnings per share (EPS) and revenue expectations. The company’s EPS was $2.49, falling short of the anticipated $2.57, while revenue reached $1.012 billion, below the projected $1.06 billion. This underperformance has led to some analysts adjusting their outlooks on the company. Morgan Stanley (NYSE:MS) downgraded Align Technology from Overweight to Equalweight, citing growth concerns and reducing its price target significantly to $154.00 from $249.00. Similarly, Stifel lowered its price target for Align Technology to $200.00 from $275.00, maintaining a Buy rating despite the disappointing results. The firm noted weakened case volume trends in June, attributing it to high consumer interest but poor conversion rates. Align’s weaker outlook has also impacted its competitor Straumann, whose shares fell after the news. Barclays (LON:BARC) analyst Hassan Al-Wakeel described Align’s results as a "negative read-across" for Straumann.
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