(Bloomberg) -- Align Technology Inc. shares soared as much as 25% in late trading to top $400 for the first time after reporting quarterly results that beat the highest analyst estimate on almost every metric.
The maker of Invisalign teeth straighteners “knocked it out of the ballpark” in the third quarter against even heightened investor expectations, wrote Evercore ISI analyst Elizabeth Anderson. Revenue grew by 21% from a year earlier as shipments of its Invisalign product beat consensus projections by more than 40%.
Shares of the San Jose, California-based company traded as high as $421.33 at 4:31 p.m. in New York. If the gains hold when regular trading resumes Thursday, it would top the previous high in 2018 of just under $400.
The promising earnings sparked investor optimism for other clear-aligner manufacturers like SmileDirectClub Inc. which rose almost 12% in extended trading.
“Align's results show continued dental recovery in the U.S.,” Evercore's Anderson wrote in a note. “Strong top-line revenue beat, plus much higher-than-expected aligner revenue bodes well for the global recovery, and third-quarter growth likely benefitted from a strong teen season.”
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