Jim Cramer Breaks Down the Selloff in Align Technology Stock

Align Technology, Inc. (NASDAQ:ALGN) is one of the stocks that Jim Cramer spoke about. Cramer highlighted that the company “missed its numbers badly.” He remarked:

“What do you make of the shocking decline in a company like Align Technology? That’s the maker of Invisalign clear aligners. It’s the gold standard, the one that dentists love to recommend, but it missed its numbers badly, and its stock collapsed, down nearly 37%, one session. Let me tell you what CEO Joe Hogan, who again is no slouch, gave as his excuse for the weakness in his conference call. Listen to this, ‘In the face of a challenging and uncertain macroeconomic backdrop characterized by global tariff volatility, ongoing inflation, elevated interest rates, and unstable consumer confidence, we’re navigating with a clear focus to control what we can.’ Then he says, ‘significant headwinds across the consumer discretionary spend landscape’ has come to hurt these guys. I say, well, wait, wait a second, wait a second. We’re talking about clear braces here; we’re talking about your teeth. To me, that’s not really that much of a discretionary item, at least not in America, maybe in Britain. But most Americans get their teeth straightened, or at least they did. I mean, apparently now it’s becoming discretionary spending. People must really be strapped. Because I believe Hogan, I’ve had him on the show a bunch of times.”

A laptop and a computer monitor display a detailed stock market technical analysis chart. Photo by Jakub Zerdzicki on Pexels

Align Technology (NASDAQ:ALGN) develops and markets Invisalign clear aligners, retainers, and iTero intraoral scanners, as it provides digital solutions for orthodontic and restorative dental treatments. The company’s products include aligner systems for all age groups, 3D printed devices, and CAD/CAM software for dental professionals.

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Disclosure: None. This article is originally published at Insider Monkey.