Align Technology (Nasdaq:ALGN) has announced plans to repurchase $150 million of its own common stock as part of its ongoing $1 billion stock repurchase program. This open-market repurchase comes after the company executed a $250 million repurchase in February 2023, and another $250 million repurchase in an accelerated program in October. A month later, Align made a $100 million repurchase.
Based in Tempe, Arizona, Align Technology aims to execute its repurchases while considering market conditions, stock price, trading volume, general business and market conditions, as well as capital ability. The company intends to complete the repurchases by the end of July 2024 and fund them with cash on hand. As of March 31, 2024, Align had approximately 75.3 million shares outstanding and $902.5 million in cash, cash equivalents, and short-term and long-term marketable securities.
John Morici, Align CFO and EVP, global finance stated that “Today’s announcement of Align’s $150 million open-market repurchases reflects the strength of our balance sheet and cash flow generation as well as management’s and the Board’s continued confidence in our ability to capitalize on our large and untapped market opportunity while allowing us to provide value back to our shareholders.” He added that “As the leader in clear aligners we have made strategic investments in technology and scalability to enable a new phase of growth that will transform the orthodontic industry,” further emphasizing that they remain confident in their ability to make Invisalign system the standard of care in orthodontics through their doctor-centered model.”