Align Technology ALGN 564.37 +6.96 +1.25%, the maker of clear braces, reported 2nd Quarter June 2019 earnings of $1.64 per share on revenue of $600.7 million. The consensus earnings estimate was $1.52 per share on revenue of $595.6 million. Revenue grew 22.5% on a year-over-year basis.
The company said it expects third quarter earnings of $1.09 to $1.16 per share on revenue of $585.0 million to $600.0 million. The current consensus earnings estimate is $1.43 per share on revenue of $622.9 million for the quarter ending September 30, 2019.
(CEO Joe Hogan) “…In Q2, total Invisalign case shipments were lower than expected, primarily due to a softness in China related to a tougher consumer environment and slower growth in young adult case in North America. Given the uncertainty in China, our outlook for the third quarter reflects a more cautious view for growth in the Asia Pacific region.”
Another China casualty! They’re getting smoked today, down over 20%… with a PE over 60 and pulling down your estimates by 20%(ish), it’s going to happen. The company was priced for perfection and they did not deliver. But, it looks like they are being extremely cautious with outlook and projections, so if Dental stocks are your thing this could be a set up for next quarters beat.