ALIGN TECHNOLOGY INC (AFW.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:AFW • US0162551016
136.25 EUR
-1.55 (-1.12%)
Last: Jan 30, 2026, 07:00 PM
Taking everything into account, AFW scores 6 out of 10 in our fundamental rating. AFW was compared to 64 industry peers in the Health Care Equipment & Supplies industry. While AFW has a great health rating, its profitability is only average at the moment. AFW has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
- AFW had positive earnings in the past year.
- In the past year AFW had a positive cash flow from operations.
- In the past 5 years AFW has always been profitable.
- Each year in the past 5 years AFW had a positive operating cash flow.
1.2 Ratios
- With a decent Return On Assets value of 6.07%, AFW is doing good in the industry, outperforming 68.75% of the companies in the same industry.
- Looking at the Return On Equity, with a value of 9.57%, AFW is in the better half of the industry, outperforming 64.06% of the companies in the same industry.
- AFW's Return On Invested Capital of 10.50% is amongst the best of the industry. AFW outperforms 82.81% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for AFW is in line with the industry average of 9.97%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.07% | ||
| ROE | 9.57% | ||
| ROIC | 10.5% |
ROA(3y)6.72%
ROA(5y)13.99%
ROE(3y)11.08%
ROE(5y)21.89%
ROIC(3y)11.25%
ROIC(5y)11.65%
1.3 Margins
- Looking at the Profit Margin, with a value of 9.51%, AFW is in the better half of the industry, outperforming 68.75% of the companies in the same industry.
- In the last couple of years the Profit Margin of AFW has declined.
- AFW's Operating Margin of 16.23% is fine compared to the rest of the industry. AFW outperforms 75.00% of its industry peers.
- AFW's Operating Margin has declined in the last couple of years.
- AFW has a Gross Margin of 69.48%. This is in the better half of the industry: AFW outperforms 79.69% of its industry peers.
- In the last couple of years the Gross Margin of AFW has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.23% | ||
| PM (TTM) | 9.51% | ||
| GM | 69.48% |
OM growth 3Y-12.06%
OM growth 5Y-4.71%
PM growth 3Y-18.59%
PM growth 5Y-10.55%
GM growth 3Y-1.95%
GM growth 5Y-0.69%
2. Health
2.1 Basic Checks
- AFW has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
- Compared to 1 year ago, AFW has less shares outstanding
- AFW has less shares outstanding than it did 5 years ago.
- There is no outstanding debt for AFW. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
- AFW has an Altman-Z score of 4.70. This indicates that AFW is financially healthy and has little risk of bankruptcy at the moment.
- Looking at the Altman-Z score, with a value of 4.70, AFW belongs to the top of the industry, outperforming 81.25% of the companies in the same industry.
- There is no outstanding debt for AFW. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 4.7 |
ROIC/WACC1.04
WACC10.08%
2.3 Liquidity
- A Current Ratio of 1.29 indicates that AFW should not have too much problems paying its short term obligations.
- AFW has a worse Current ratio (1.29) than 60.94% of its industry peers.
- A Quick Ratio of 1.17 indicates that AFW should not have too much problems paying its short term obligations.
- AFW has a Quick ratio (1.17) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.29 | ||
| Quick Ratio | 1.17 |
3. Growth
3.1 Past
- The Earnings Per Share has been growing slightly by 3.76% over the past year.
- AFW shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 11.91% yearly.
- Looking at the last year, AFW shows a small growth in Revenue. The Revenue has grown by 0.56% in the last year.
- Measured over the past years, AFW shows a quite strong growth in Revenue. The Revenue has been growing by 10.69% on average per year.
EPS 1Y (TTM)3.76%
EPS 3Y-5.96%
EPS 5Y11.91%
EPS Q2Q%11.06%
Revenue 1Y (TTM)0.56%
Revenue growth 3Y0.39%
Revenue growth 5Y10.69%
Sales Q2Q%1.82%
3.2 Future
- Based on estimates for the next years, AFW will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.83% on average per year.
- Based on estimates for the next years, AFW will show a small growth in Revenue. The Revenue will grow by 6.37% on average per year.
EPS Next Y11.31%
EPS Next 2Y9.52%
EPS Next 3Y9.19%
EPS Next 5Y10.83%
Revenue Next Year0.51%
Revenue Next 2Y2.05%
Revenue Next 3Y2.9%
Revenue Next 5Y6.37%
3.3 Evolution
- The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 16.80, AFW is valued correctly.
- Compared to the rest of the industry, the Price/Earnings ratio of AFW indicates a rather cheap valuation: AFW is cheaper than 92.19% of the companies listed in the same industry.
- AFW's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.32.
- With a Price/Forward Earnings ratio of 14.49, AFW is valued correctly.
- 79.69% of the companies in the same industry are more expensive than AFW, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. AFW is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.8 | ||
| Fwd PE | 14.49 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of AFW indicates a somewhat cheap valuation: AFW is cheaper than 65.63% of the companies listed in the same industry.
- AFW's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. AFW is cheaper than 78.13% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.57 | ||
| EV/EBITDA | 13.94 |
4.3 Compensation for Growth
- The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
- AFW has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.48
PEG (5Y)1.41
EPS Next 2Y9.52%
EPS Next 3Y9.19%
5. Dividend
5.1 Amount
- No dividends for AFW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
ALIGN TECHNOLOGY INC / AFW.DE FAQ
What is the fundamental rating for AFW stock?
ChartMill assigns a fundamental rating of 6 / 10 to AFW.DE.
What is the valuation status of ALIGN TECHNOLOGY INC (AFW.DE) stock?
ChartMill assigns a valuation rating of 5 / 10 to ALIGN TECHNOLOGY INC (AFW.DE). This can be considered as Fairly Valued.
How profitable is ALIGN TECHNOLOGY INC (AFW.DE) stock?
ALIGN TECHNOLOGY INC (AFW.DE) has a profitability rating of 6 / 10.
What is the valuation of ALIGN TECHNOLOGY INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ALIGN TECHNOLOGY INC (AFW.DE) is 16.8 and the Price/Book (PB) ratio is 2.94.
What is the expected EPS growth for ALIGN TECHNOLOGY INC (AFW.DE) stock?
The Earnings per Share (EPS) of ALIGN TECHNOLOGY INC (AFW.DE) is expected to grow by 11.31% in the next year.