Align Technology (ALGN) Dives 37% on Lower Price Target, Pessimistic Rating

We recently published Massive Sell-Off: 10 Stocks in a Bloodbath. Align Technology, Inc. (NASDAQ:ALGN) is one of the worst-performing stocks on Thursday.

Align Technology fell to a new low on Thursday as investors sold off positions after missing earnings expectations and earning a lower price target and pessimistic rating from an investment firm.

In intra-day trading, Align Technology, Inc. (NASDAQ:ALGN) dropped to its lowest price of $127.7 before slight buying pushed the company’s share price higher to end the day just down by 36.63 percent at $129.01 apiece.

This followed mixed earnings performance during the quarter that saw the company record a non-GAAP net income of $181.1 million, flat from last year. GAAP net income, on the other hand, amounted to $124.6 million, or 29 percent higher than the $93.2 million in the same period last year.

Net revenues, on the other hand, dipped by 1.6 percent to $1.012 billion from $1.028 billion year-on-year.

In other developments, Mizuho reduced its price target for Align Technology, Inc. (NASDAQ:ALGN) to $210 from $245 previously, but maintained an “outperform” rating for the stock.

Mizuho’s revision followed reports about June trends, which fell short of expectations, despite the company’s hosting of an “upbeat analyst meeting” in May this year.

Pixabay/Public domain

Additionally, the revision reflected the weaker-than-expected patient conversion rates despite iTero scans and Invisalign doctor case submissions appearing to remain on track.