PR Newswire
NEW YORK, April 9, 2020
NEW YORK, April 9, 2020 /PRNewswire/ -- Report entitled "A Clear And Visible Short Case" outlines how Align Technology, Inc. ("Align" or "the Company") faces 40%-55% downside risk to approximately $80 - $115 per share. The full contents of the report can be reviewed at www.sprucepointcap.com. Spruce Point believes that the economics of clear aligners are on the precipice of a radical shift – and it has little to do with SmileDirectClub or other direct-to-consumer players. Once considered high-value-added "dental tech," FDA-approved aligners of similar quality to Invisalign, Align's clear aligner product, are now being printed at scale by commodity 3D printing labs, which price their aligners at less than half the cost of Align's. Meanwhile, patent expirations have ushered in under-the-radar developments in aligner design software which are removing the final barriers to the widespread adoption of 3D printers by orthodontists – many of whom are infuriated with Align's aggressive tactics, and who are actively exploring their options in a market which, for the first time, offers numerous (cheaper) alternatives to Align. On-the-ground diligence reveals that large dental players are already slashing aligner prices in response to these shifts, in some cases to as low as a third of the price of Invisalign. We believe that it is only a matter of time – perhaps accelerated by industry cost pressures brought on by the pandemic – until Align is forced to follow suit.
Spruce Point Capital has a short position in Align (NASDAQ: ALGN) and stands to benefit if its share price falls.
About Spruce Point Capital
Spruce Point Capital Management, LLC is a forensic fundamentally-oriented investment manager that focuses on short-selling, value, and special situation investment opportunities.
Contact
Daniel Oliver
Spruce Point Capital Management
[email protected]
(212) 519-9813
Spruce Point Capital Management, LLC is a member of the Financial Industry Regulatory Authority, CRD number 288248.
View original content:http://www.prnewswire.com/news-releases/spruce-point-capital-management-releases-a-strong-sell-research-opinion-on-align-technology-nasdaq-algn-301038276.html
SOURCE Spruce Point Capital Management, LLC
We use cookies to tailor your experience, measure site performance and present relevant offers and advertisements. By clicking ‘Accept’ or any content on this site, you agree that cookies can be placed on your browser. You can view our privacy policy to learn more.
If you would like to get more data, alerts and access to Real Vision videos, join us as an Insider Tracking Advantage Ultra member