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Align TechnologyXTER:AFW 89 Graham Number is €95.30 as of Mar. 2026, which is 100% below its 10-year median of 4.32. GuruFocus rates XTER:AFW with a GF Score™ of 89/100 and a GF Value™ of €219.51 (Significantly Undervalued). The stock has 3 warning signs investors should review. Among 401 Medical Devices & Instruments companies, Align Technology ranks better than 57.11% on this metric.
Graham Number is a figure that measures a stock's fundamental value by taking into account the company's earnings per share and book value per share. The Graham number is the upper bound of the price range that a defensive investor should pay for the stock. According to the theory, any stock price below the Graham number is considered undervalued, and thus worth investing in.
As of today (2026-07-24), the stock price of Align Technology is €153.65. Align Technology's graham number for the quarter that ended in Mar. 2026 was €95.30. Therefore, Align Technology's Price to Graham Number ratio for today is 1.61.
The historical rank and industry rank for Align Technology's Graham Number or its related term are showing as below:
XTER:AFW'
s Price-to-Graham-Number Range Over the Past 10 Years
Min: 1.24 Med: 4.32 Max: 11.3
Current: 1.52
During the past 13 years, the highest Price to Graham Number ratio of Align Technology was 11.30. The lowest was 1.24. And the median was 4.32.
XTER:AFW's Price-to-Graham-Number is ranked better than 57.11% of 401
companies
in the Medical Devices & Instruments industry
Industry Median: 1.71
vs XTER:AFW: 1.52
Graham Number is a combination of asset valuation and earnings power valuation. It is a very conservative way of valuing a stock.
Align Technology (XTER:AFW) Graham Number Explanation
Ben Graham actually did not publish a formula like this. But he wrote in The Intelligent Investor (1948 version) regarding to the criteria for purchases:
Current price should not be more than 15 times average earnings of the past three years.
Current price should not be more than 1.5 times the book value last reported. However, a multiplier of earnings below 15 could justify a correspondingly higher multiplier of assets. As a rule of thumb we suggest that the product of the multiplier times the ratio of price to book value should not exceed 22.5. (This figure corresponds to 15 times earnings and 1.5 times book value. It would admit an issue selling at only 9 times earnings and 2.5 times asset value, etc.)
Unlike valuation methods such as DCF or Discounted Earnings, the Graham number does not take growth into the valuation. Unlike the valuation methods based on book value alone, it takes into account the earnings power. Therefore, the Graham Number is a combination of asset valuation and earnings power valuation.
In general, the Graham number is a very conservative way of valuing a stock. It cannot be applied to companies with negative book values.
Align Technology's Price to Graham number Ratio for today is calculated as
Price to Graham number
=
Share Price (Today)
/
Graham number (Q: Mar. 2026 )
=
153.65
/
95.30
=
1.61
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Please keep these in mind:
1. Graham Number does not take growth into account. Therefore it underestimates the values of the companies that have good earnings growth. We feel that if the earnings per share grows more than 10% a year, Graham Number underestimates the value.
2. Graham Number punishes the companies that have temporarily low earnings. Therefore, an average of earnings makes more sense in the calculation of Graham Number.
3. Graham Numbers underestimates companies that are light with book.
Align Technology Graham Number Related Terms
Align Technology Graham Number Historical Data
* Premium members only.
The historical data trend for Align Technology's Graham Number can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XTER:AFW vs SOLV, COO, BAX: Graham Number Comparison
For the Medical Instruments & Supplies subindustry, Align Technology's Price-to-Graham-Number, along with its competitors' market caps and Price-to-Graham-Number data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Align Technology Price-to-Graham-Number vs Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Align Technology's Price-to-Graham-Number distribution charts can be found below:
* The bar in red indicates where Align Technology's Price-to-Graham-Number falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Align Technology (XTER:AFW) has a Graham Number of €95.30 as of Mar. 2026. The Graham Number values a company based on its per-share earnings and book value. View historical data on Align Technology and its competitors. This is 2106% above median its historical median of 4.32. Over the past decade, Align Technology's Graham Number has ranged from 1.24 to 11.30. According to the industry distribution chart, Align Technology ranks #172 out of 401 companies in the Medical Devices & Instruments industry, placing it in the top 42.9%.
Is Align Technology's Graham Number too high?
Align Technology's current Graham Number of €95.30 is 2106% above median its 10-year median of 4.32. Over the past 10 years, this metric has ranged from a low of 1.24 to a high of 11.30. Based on the distribution chart, Align Technology ranks #172 out of 401 companies in the Medical Devices & Instruments industry, which is above the industry midpoint. Overall, Align Technology has a GF Score™ of 89/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Align Technology's Graham Number compare to SOLV and COO?
According to the Medical Devices & Instruments industry distribution chart, Align Technology ranks #172 out of 401 companies for Graham Number. This puts Align Technology in the upper half of its industry. The industry median Graham Number is 1.71. Historically, Align Technology's own Graham Number has ranged from 1.24 to 11.30 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Graham Number for a Medical Devices & Instruments company?
The median Graham Number among Medical Devices & Instruments companies is 1.71, based on 401 companies in the industry. Companies in the top quartile (top 25%) have a Graham Number significantly above this median, while those in the bottom quartile fall well below. However, Graham Number should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Graham Number mean?
A high Graham Number can signal that a stock is expensive relative to its fundamentals. The Graham Number values a company based on its per-share earnings and book value. View historical data on Align Technology and its competitors. For the Medical Devices & Instruments industry, the median Graham Number is 1.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Align Technology's current Graham Number is €95.30, which is 2106% above median its own 10-year median of 4.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Align Technology stock overvalued right now?
Based on GuruFocus' analysis, Align Technology (XTER:AFW) is currently considered Significantly Undervalued. The stock's GF Value™ is €219.51, compared to a current price of €153.65 — trading 30% below its estimated fair value. The current Graham Number is €95.30, which is 2106% above median its 10-year median of 4.32. Align Technology's overall GF Score™ is 89/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Graham Number calculated?
Graham Number is calculated from a company's financial statements. For Align Technology (XTER:AFW), the current Graham Number is €95.30 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Align Technology (XTER:AFW) Overvalued in 2026?
Based on GuruFocus' analysis, Align Technology stock appears to be undervalued.
The current stock price of €153.65 is trading 30% below its estimated GF Value™ of €219.51.
GuruFocus considers Align Technology to be Significantly Undervalued.
Key valuation signals for XTER:AFW:
Graham Number: €95.30 (2106% above median its 10-year median of 4.32)
GF Value™: €219.51 vs. price of €153.65 (30% below fair value)
No single metric tells the full story. See the XTER:AFW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Align Technology is the leading manufacturer of clear aligners. Invisalign, its main product, was approved by the Food and Drug Administration in 1998 and has since dominated, controlling over 90% of the market. Invisalign can treat roughly 90% of all malocclusion cases (misaligned teeth), and there are over 230,000 Invisalign-trained dentists and orthodontists. In 2022, Invisalign treated over 2 million cases, or roughly 10% of all orthodontic cases for the year, and it has treated over 14 million patients since its launch. Align also sells intraoral scanners under the brand iTero, which captures digital impressions of patients' teeth and illustrates treatment plans. Over 85% of Invisalign cases are submitted by digital scans, and iTero scans make up over half of these scans.
89GF Score
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