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Shares of Align Technologies spiked as much as 15% on Thursday after the company posted revenue and earnings that came in well ahead of analyst estimates, climbing above $600 for the first time ever.
Align revealed GAAP earnings per share of $2.00, beating analyst estimates by $0.14 and revenues of $834.5 million—up 28.4% year-over-year—to beat estimates by $40.94 million.
"Align's strong results show continued dental recovery in the U.S.," Evercore ISI analyst Elizabeth Anderson wrote. A "strong top-line revenue beat, plus higher than expected aligner and scanner revenue bodes well for the global recovery."
Align Technologies—known for its flagship clear braces alternative Invisalign—had a banner year in 2020, with shares rising over 100% as orthodontics patients avoided physical locations and opted for digital options.
Clear Aligner revenues jumped 28.9% year-over-year to a record $700.7 million in the fourth quarter, and according to CEO Joe Hogan, the company's January 2021 orders were soild as well.
One of the biggest reasons for the growth seen at Align is a renewed focus on younger customers. Revenue from teenage patients grew 38.7% year-over-year in the fourth quarter.
Align Technology President and CEO Joe Hogan said in a statement that the company was focused on delivering results in this area.
"Our Teen and Mom-focused consumer campaign generated a +77% year-over-year increase in unique visitors to our website and a 76% increase in leads generated," Hogan said.
Hogan also appeared on Yahoo Finance to talk up his company after the quarterly results and said the company is spending "about a quarter of a billion dollars" annually on advertising as they push for younger customers.
The CEO noted "digital orthodontics" is an "underserved marketplace" in its "birth period" and that there are an estimated "500 million patients out there that need a correction and could receive it with this kind of digital orthodontics."
Analysts are mostly bullish on Align. The company boasts 15 "buy" ratings, four "neutral" ratings, and just one "sell" rating.
Shares of Align traded up 13.81% at $621.59 as of 11:12 AM EST on Thursday, giving the company a nearly $49 billion market cap.