Align Technology (XTER:AFW) ROCE %: 15.93% (As of Mar. 2026)


XTER:AFW Align Technology Inc XTER:AFW
89 GF Score
Price €149.05
GF Value €209.07
Valuation Significantly Undervalued
! 3 Warning Signs
View Full Analysis

What is Align Technology ROCE %?

Align Technology XTER:AFW 89 ROCE % is 15.93% as of Mar. 2026. GuruFocus rates XTER:AFW with a GF Score™ of 89/100 and a GF Value™ of €209.07 (Significantly Undervalued). The stock has 3 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Align Technology's annualized ROCE % for the quarter that ended in Mar. 2026 was 15.93%.

Align Technology  (XTER:AFW) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Align Technology ROCE % Related Terms

Align Technology ROCE % Historical Data

* Premium members only.

The historical data trend for Align Technology's ROCE % 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.

Align Technology ROCE % Chart

Align Technology Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.85 16.79 16.10 16.72 13.03

Align Technology Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.85 15.15 11.97 14.83 15.93
XTER:AFW
89GF Score
Align Technology Inc XTER:AFW
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Align Technology ROCE % Calculation

Align Technology's annualized ROCE % for the fiscal year that ended in Dec. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Dec. 2025 )  (A: Dec. 2024 )(A: Dec. 2025 )
=499.856/( ( (5934.943 - 1946.316) + (5323.574 - 1639.693) )/ 2 )
=499.856/( (3988.627+3683.881)/ 2 )
=499.856/3836.254
=13.03 %

Align Technology's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=597.152/( ( (5323.574 - 1639.693) + (5461.76 - 1648.563) )/ 2 )
=597.152/( ( 3683.881 + 3813.197 )/ 2 )
=597.152/3748.539
=15.93 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* 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.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 15.93% mean?
Align Technology (XTER:AFW) has a ROCE % of 15.93% as of Mar. 2026.
Is Align Technology's ROCE % too high?
Align Technology's current ROCE % is 15.93%. The Medical Devices & Instruments industry median ROCE % is 2.23. Align Technology's value of 15.93% is 614.3% above this industry median. 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 ROCE % compare to SOLV and COO?
Align Technology's ROCE % of 15.93% can be compared against companies in the Medical Devices & Instruments industry. The industry median ROCE % is 2.23. Align Technology's value of 15.93% is 614.3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Medical Devices & Instruments company?
The median ROCE % among Medical Devices & Instruments companies is 2.23, based on 814 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Align Technology's current ROCE % of 15.93% is 614.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Medical Devices & Instruments industry, the median ROCE % is 2.23 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Align Technology's current ROCE % is 15.93%. 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 €209.07, compared to a current price of €149.05 — trading 28.7% below its estimated fair value. The current ROCE % is 15.93% and 614.3% above the Medical Devices & Instruments industry median of 2.23. 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 ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Align Technology (XTER:AFW), the current ROCE % is 15.93% 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 €149.05 is trading 28.7% below its estimated GF Value™ of €209.07. GuruFocus considers Align Technology to be Significantly Undervalued.

Key valuation signals for XTER:AFW:

  • ROCE %: 15.93%
  • GF Value™: €209.07 vs. price of €149.05 (28.7% below fair value)
  • GF Score™: 89/100 with 3 warning signs
  • Industry Position: 614.3% above the Medical Devices & Instruments median

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 Business Description

Address 410 North Scottsdale Road, Suite 1300, Tempe, AZ, USA, 85288
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

Get the complete analysis for XTER:AFW

ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€149.05
Price
€209.07
GF Value