Case 55 Align Technology Inc

Align Technology is a global medical device company, which is involved in the design, manufacture, and marketing of Invisalign® clear aligners, iTero® intraoral scanners and services for dentistry, and exocad® computer-aided design and computer-aided manufacturing (“CAD/CAM”) software for dental laboratories and dental practitioners. Consumer products that are complementary to principal products prescribed by doctors are also sold by the company mainly under the Invisalign brand. The consumer products sold by Align Technology include retainers, aligner cases (clamshells), teeth whitening products, and cleaning solutions. The company is focused on positioning itself as the main treatment provider preferred by orthodontists and general dental practitioners. The products are sold through a specialized sales force to its customers consisting of orthodontists, general practitioner dentists, aesthetic dentists, oral surgeons, and dental laboratories. The products are also sold to Dental Support Organizations. The manufacturing facilities for aligner fabrication and distribution are located in Mexico and China. The digital treatment planning facilities are located globally in regions which includes Costa Rica, China, Germany, Spain, and Japan. By December 2021, the company had approximately 22,540 employees. The company has made its presence in more than 100 countries either selling directly or through authorized distributors. By the end of December 2021, Align Technologies had 642 active US patents, 724 active foreign patents, and 736 pending global patent applications. The total cumulative monthly return for Align Technology stock was 91% compared to the cumulative monthly return of 52% registered by the market index S&P 500 Healthcare Equipment and Supplies Index during the 5-year period March 2018–February 2023. The average book value of equity as percent of market value of equity was 7.8% during the period 2018–2022.