Align Tech investors should brace for Q1 shortfall- Baird

SmileDirectClub

22/04/2022 12:16

** Baird analyst Jeff Johnson expects a sizeable impact from
Omicron cases in Jan/Feb to sales of dental products, including
for clear aligner maker Align Technology Inc  ALGN.O 
    ** Dental equipment maker Dentsply Sirona  XRAY.O  on
Tuesday forecast a fall in Q1 sales due to global supply chain
challenges and stronger dollar  urn:newsml:reuters.com:*:nL3N2WI2C2
    ** Brokerage says ALGN investors need to brace for a Q1
shortfall in shipments and 2022 guidance reduction, also driven
in part by China shutdowns and the Russia-Ukraine war adding to
late-quarter pressures 
    ** There is at least a chance ALGN points to modest
near-term hit from U.S./ EU deferrals in new patients due to
rising inflationary pressures when it reports earnings on
Wednesday, says Johnson
    ** However, the analyst believes growth can likely
accelerate back to mid-teens to 20%+ levels in the second half
of 2022
    ** ALGN shares have lost ~41% of their value YTD, while
rival SmileDirectClub's  SDC.N  are down over 9% 

 (Reporting by Manas Mishra in Bengaluru)
 ((Manas.Mishra@thomsonreuters.com;
www.twitter.com/Manaswrites15))