ALGN FCF Yield Analysis
Higher than 71% of Healthcare sector peers
Updated 3005h ago·SEC filings & market data
Key Takeaway
Align Technology’s current free cash flow (FCF) yield of 4.3% means that for every $100 invested in the stock, the company generates $4.30 in cash after covering operating expenses and capital spending — a measure of how much cash return an investor gets relative to the share price.
Sector Performance
71th percentileALGN
4.3%
Sector Median
3.4%
Sector Avg
-16.2%
Deep Analysis
Align Technology’s current free cash flow (FCF) yield of 4.3% means that for every $100 invested in the stock, the company generates $4.30 in cash after covering operating expenses and capital spending — a measure of how much cash return an investor gets relative to the share price.
Among Healthcare sector peers, this yield sits above the median of 3.4% and places the stock in the 56th percentile, indicating a slightly higher cash return than half of its competitors. The trend data is not available, with year-over-year and quarter-over-quarter changes both reported as N/A, so no direction can be inferred from recent movements. The combination of a 4.3% yield that is above the sector median but lacking a trend history suggests a moderate cash‑return profile without clear momentum — neither a deep value opportunity nor a deterioration signal. This metric supports the overall NEUTRAL verdict because the yield is only modestly above the sector median and the absence of trend data provides no catalyst to upgrade or downgrade the stock.
Frequently Asked Questions
What does the FCF Yield tell investors about ALGN?
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
How is the FCF Yield calculated?
FCF Yield is calculated as: Free Cash Flow / Market Cap.
How does ALGN's FCF Yield compare to its sector?
ALGN's FCF Yield of 4.3% compares to a Healthcare sector median of 3.4%, placing it in the 71th percentile.
Who are ALGN's closest peers by FCF Yield?
The closest Healthcare peers by FCF Yield include: ABT (3.4%), CAH (3.3%), BIO (3.9%), A (2.8%), RVTY (4.2%).
Learn More About FCF Yield
Understanding Free Cash Flow
Free cash flow is the lifeblood of any business. In this post, we explore why it matters more than net income for long-term investors.
Free Cash Flow Yield: Why It Matters More Than Earnings Per Share
EPS is accounting. FCF is reality. Here's how to calculate free cash flow yield, why Warren Buffett prioritizes it, and how to use it to spot genuinely profitable companies.
The Formula
Free Cash Flow / Market Cap
Why It Matters
One of the purest measures of value. High FCF yield means the company generates a lot of cash relative to its price — favoured by value investors.
Master ALGN's Valuation
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4.3%
Sector Median
3.4%
Sector Avg
-16.2%
How ALGN's FCF Yield compares to sector peers.
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Not financial advice. Research tool only. Data may be delayed.