ALGN Gears Up for Q3 Earnings: What Lies Ahead for the Stock?

Align Technology, Inc. ALGN is set to release third-quarter 2025 results on Oct. 29, after the closing bell.

The company posted adjusted earnings per share (EPS) of $2.49 in the last reported quarter, which missed the Zacks Consensus Estimate by 3.11%. Align Technology beat on earnings in three of the trailing four quarters, and missed in one, the average surprise being 1.65%.

ALGN’s Q3 Estimates

The Zacks Consensus Estimate for revenues is pegged at $971.5 million, which suggests a decline of 0.7% from the year-ago reported figure.

The Zacks Consensus Estimate for earnings is pinned at $2.37 per share, which implies a 0.9% rise from the year-ago recorded actuals.

Estimate Revision Trend Ahead of ALGN’s Q3 Earnings

Estimates for third-quarter earnings have remained unchanged at $2.37 per share in the past 30 days.

Let's take a look at how things might have shaped up for the MedTech major prior to the announcement.

Factors at Play

Clear Aligner Business

Similar to the last reported quarter, Align Technology is likely to have witnessed strength in Clear Aligner volumes, reflecting growth across regions, especially APAC and EMEA. Growth in the APAC and EMEA regions is likely to have been driven the orthodontic and GP dentist channels across teens, kids and adult patients. Meanwhile, from a product standpoint, Invisalign First is expected to be key year-over-year growth driver across all regions. Additionally, the Invisalign Palate Expander system might contribute to year-over-year growth in North America in the third quarter. 

During the third quarter, Align Technology’s Invisalign System with mandibular advancement featuring occlusal blocks was commercially launched in India and Malaysia. It is designed to address Class II skeletal and dental correction by simultaneously advancing the mandible while aligning the teeth. Additionally, the company’s Invisalign Palatal Expander System has been notified as Class B medical device in India and Malaysia, with commercial availability in both locations. These factors, too, are likely to have aided Align Technology’s third-quarter revenues.

Align Technology, Inc. Price and EPS Surprise

Align Technology, Inc. price-eps-surprise | Align Technology, Inc. Quote

Imaging Systems & CAD/CAM Service Business

The Systems & Services business is projected to have witnessed growth in the third quarter due to increased scanner volumes and non-system revenues driven by iTero Lumina wand upgrades. The continuous uptake of the iTero Lumina Scanner with ortho workflow and positive response from customers are likely to have boosted the company’s revenues.

What Our Quantitative Model Predicts for ALGN

Per our proven model, stocks with a Zacks Rank #1 (Strong Buy), 2 (Buy), or 3 (Hold), along with a positive Earnings ESP, have a higher chance of beating estimates. However, that is not the case here, as you can see below:

Earnings ESP: Align Technologies has an Earnings ESP of -1.62%. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: The company currently carries a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Stocks Worth a Look

Here are some medical stocks worth considering, as these have the right combination of elements to post an earnings beat this time around:

Exact Sciences EXAS has an Earnings ESP of +32.65% and a Zacks Rank #1 at present. The company is slated to release third-quarter 2025 results on Nov. 3.

EXAS’ earnings surpassed estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 329.87%. Per the Zacks Consensus Estimate, the company’s third-quarter EPS is expected to increase 147.6% from the year-ago quarter's figure.

ANI Pharmaceuticals ANIP has an Earnings ESP of +1.15% and a Zacks Rank #1 at present. The company is expected to release third-quarter 2025 results soon. 

ANIP’s earnings beat estimates in each of the trailing four quarters, the average surprise being 22.66%. Per the Zacks Consensus Estimate, ANIP’s third-quarter EPS is expected to surge 29.9% from the year-ago reported figure.

IDEXX Laboratories IDXX has an Earnings ESP of +0.23% and a Zacks Rank #2 at present. The company is slated to release third-quarter 2025 results on Nov. 3.

IDXX’s earnings topped estimates in each of the trailing four quarters, the average surprise being 6.08%. Per the Zacks Consensus Estimate, the company’s third-quarter EPS is anticipated to increase 12.1% from the year-ago quarter figure.

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This article originally published on Zacks Investment Research (zacks.com).

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