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ALGN vs IONS

ALGN
Align Technology, Inc.
NEUTRAL
Price
$164.23
Market Cap
$11.78B
Sector
Healthcare
AI Confidence
78%
IONS
Ionis Pharmaceuticals, Inc.
BEARISH
Price
$75.17
Market Cap
$12.42B
Sector
Healthcare
AI Confidence
85%

Valuation

P/E Ratio
ALGN
29.07
IONS
--
Forward P/E
ALGN
13.39
IONS
-120.83
P/B Ratio
ALGN
2.89
IONS
25.1
P/S Ratio
ALGN
2.92
IONS
13.16
EV/EBITDA
ALGN
12.6
IONS
-33.45

Profitability

Gross Margin
ALGN
69.8%
IONS
1.29%
Operating Margin
ALGN
22.38%
IONS
-105.47%
Profit Margin
ALGN
10.17%
IONS
-40.41%
ROE
ALGN
10.39%
IONS
-70.8%
ROA
ALGN
6.94%
IONS
-7.31%

Growth

Revenue Growth
ALGN
5.3%
IONS
-10.3%
Earnings Growth
ALGN
35.6%
IONS
--

Financial Health

Debt/Equity
ALGN
0.03
IONS
5.35
Current Ratio
ALGN
1.36
IONS
3.83
Quick Ratio
ALGN
1.17
IONS
3.51

Dividends

Dividend Yield
ALGN
--
IONS
--
Payout Ratio
ALGN
0.0%
IONS
0.0%

AI Verdict

ALGN NEUTRAL

ALGN's Piotroski F-Score of 4/9 indicates weak financial health, signaling potential operational inefficiencies despite stable profitability. The absence of an Altman Z-Score raises concern about default risk, though the company's extremely low debt/equity ratio (0.03) and strong liquidity support financial stability. The stock trades near its intrinsic value of $166.68 but at a premium to the Graham Number ($84.93), reflecting high growth expectations. Analysts maintain a 'buy' consensus with a target price of $201.57, suggesting upside, though recent insider selling and inconsistent earnings surprises temper enthusiasm.

Strengths
Strong gross margin of 69.80% indicates pricing power and efficient production
Low debt/equity ratio (0.03) reflects conservative capital structure and strong financial health
High operating margin (22.38%) and solid ROE (10.39%) demonstrate effective cost management and profitability
Risks
Piotroski F-Score of 4/9 is below the threshold for strong financial health, indicating potential red flags in operational efficiency or capital allocation
Recent insider selling (1 transaction, $1.51M) suggests possible lack of confidence among executives
Earnings surprise history shows inconsistency, with recent misses (e.g., -39.3% in Q3 2025) and volatility in performance
IONS BEARISH

IONS presents a significant disconnect between its market valuation and fundamental performance. While the Piotroski F-Score of 5/9 indicates stable financial health, the company is grappling with negative revenue growth (-10.30%) and a severe collapse in YoY EPS (-167.4%). Despite a massive 181% price surge over the last year, the valuation is extreme with a Price/Book of 25.10 and a Price/Sales of 13.16. Heavy insider selling by the CEO and CFO, combined with a bearish technical trend, suggests the current price is driven by speculative pipeline expectations rather than realized value.

Strengths
Strong short-term liquidity with a Current Ratio of 3.83
Consistent history of beating earnings estimates (3 of last 4 quarters)
Strong analyst consensus with a target price of $97.60
Risks
Extreme valuation premiums (P/B 25.10, P/S 13.16)
Negative revenue growth (-10.30% YoY) and declining Q/Q revenue
Severe profitability issues with an operating margin of -105.47%

Compare Another Pair

ALGN vs IONS: Head-to-Head Comparison

This page compares Align Technology, Inc. (ALGN) and Ionis Pharmaceuticals, Inc. (IONS) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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