HSBC thinks there's a big market share opportunity for Invisalign maker Align Technology thanks to strong brand awareness despite increasing competition.
Analyst Sidharth Sahoo initiated the stock with a buy rating.
"We like Align's exposure to the higher growth orthodontic case starts market, which it estimates will grow at a 15-20% [compound annual growth rate].
We think Align can continue to grow its market share from c.10% of c.21m annual orthodontic case starts currently," Sahoo said in a Wednesday note.
The analyst noted that the overall dental market is under-penetrated, with an addressable size of around $20 billion and a solid growth profile.
Persons:
there's, Sidharth Sahoo, Sahoo, CNBC's Michael Bloom
Organizations:
HSBC