Align Technology Inc (ALGN)vsResMed Inc (RMD)
ALGN
Align Technology Inc
$180.27
+0.52%
HEALTHCARE · Cap: $12.87B
RMD
ResMed Inc
$226.31
-0.82%
HEALTHCARE · Cap: $33.31B
Smart Verdict
WallStSmart Research — data-driven comparison
ResMed Inc generates 34% more annual revenue ($5.40B vs $4.03B). RMD leads profitability with a 27.5% profit margin vs 10.2%. ALGN appears more attractively valued with a PEG of 1.06. RMD earns a higher WallStSmart Score of 70/100 (B).
ALGN
Strong Buy68
out of 100
Grade: B-
RMD
Strong Buy70
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+25.3%
Fair Value
$264.42
Current Price
$180.27
$84.15 discount
Margin of Safety
+14.4%
Fair Value
$303.30
Current Price
$226.31
$76.99 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 22.4%
Earnings expanding 35.6% YoY
Strong operational efficiency at 35.2%
Safe zone — low bankruptcy risk
Every $100 of equity generates 26 in profit
Keeps 28 of every $100 in revenue as profit
Areas to Watch
Premium valuation, high expectations priced in
Weak financial health signals
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : ALGN
The strongest argument for ALGN centers on Operating Margin, EPS Growth. PEG of 1.06 suggests the stock is reasonably priced for its growth.
Bull Case : RMD
The strongest argument for RMD centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 27.5% and operating margin at 35.2%. Revenue growth of 11.0% demonstrates continued momentum.
Bear Case : ALGN
The primary concerns for ALGN are P/E Ratio, Piotroski F-Score.
Bear Case : RMD
No major red flags identified for RMD, but monitor valuation.
Key Dynamics to Monitor
ALGN profiles as a value stock while RMD is a mature play — different risk/reward profiles.
ALGN carries more volatility with a beta of 1.82 — expect wider price swings.
RMD is growing revenue faster at 11.0% — sustainability is the question.
RMD generates stronger free cash flow (311M), providing more financial flexibility.
Bottom Line
RMD scores higher overall (70/100 vs 68/100), backed by strong 27.5% margins and 11.0% revenue growth. ALGN offers better value entry with a 25.3% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Align Technology Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
Align Technology is a manufacturer of 3D digital scanners and the Invisalign clear aligners used in orthodontics. It is headquartered in San Jose, California.
ResMed Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
ResMed is a San Diego, California-based medical equipment company. It primarily provides cloud-connectable medical devices for the treatment of sleep apnea (such as CPAP devices and masks), chronic obstructive pulmonary disease (COPD), and other respiratory conditions.
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