Here's Why Align Technology (ALGN) is a Strong Value Stock

Core Insights - Zacks Premium provides tools for investors to enhance their stock market strategies, including daily updates, research reports, and stock screens [1] Zacks Style Scores - Zacks Style Scores are indicators that help investors select stocks likely to outperform the market in the next 30 days, rated from A to F based on value, growth, and momentum characteristics [2] - The Value Score focuses on identifying undervalued stocks using ratios like P/E, PEG, and Price/Sales [3] - The Growth Score assesses a company's financial health and future outlook through projected and historical earnings, sales, and cash flow [4] - The Momentum Score identifies optimal times to invest based on price trends and earnings estimate changes [5] - The VGM Score combines all three Style Scores, providing a comprehensive indicator for stock selection [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors, with 1 (Strong Buy) stocks achieving an average annual return of +23.83% since 1988, significantly outperforming the S&P 500 [7] - There are over 800 stocks rated 1 or 2, making it essential for investors to utilize Style Scores to narrow down choices [8] - For optimal returns, stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B are recommended [9] - Stocks with lower ranks but high Style Scores may still face downward price pressure due to negative earnings forecasts [10] Company Spotlight: Align Technology - Align Technology, based in California, specializes in clear aligner therapy and digital services for dentistry [11] - The company holds a Zacks Rank of 2 (Buy) and a VGM Score of B, with a Value Style Score of B, supported by a forward P/E ratio of 15.93 [12] - Recent upward revisions in earnings estimates and a Zacks Consensus Estimate of $11.02 per share for fiscal 2026 highlight its potential [12] - With strong rankings and favorable Style Scores, Align Technology is positioned as a compelling investment opportunity [13]