Align Technology, Inc. Long-Term Shareholder Investigation

If you are a current long term investor in Align Technology, Inc. (Public, NASDAQ:ALGN) shares and / or invested in ALGN stock between January 30, 2007 and October 24, 2007, you have certain options and you should contact the Shareholders Foundation

To have your information reviewed for options and to recieve notifications about this investigation, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Align Technology
Affected Securities: 
NASDAQ: ALGN

Align Technology, Inc. faces a securities class action lawsuit over alleged violations of Federal Securities Laws on behalf of purchasers of common stock of Align Technology, Inc. (Nasdaq:ALGN) between January 30, 2007 and October 24, 2007. An investigation on behalf of current long term investors in Align Technology, Inc. (Public, NASDAQ:ALGN) concerning possible shareholder claims was announced.

An investor in Align Technology shares has filed a proposed securities class action lawsuit in the United States District Court for the Northern District of California on behalf of a class consisting of all persons or entities who purchased the common stock of Align Technology, Inc. (Nasdaq:ALGN) between January 30, 2007 and October 24, 2007 over alleged violations of Federal Securities Laws by Align Technology and other. According to the complaint the plaintiff alleges that Align Technology and its chief executive officer violated the federal securities laws by knowing or recklessly disregarding between January 30, 2007 and October 24, 2007 that the defendant’s public statements concerning Align Technology’s business, operations and prospects were materially false and misleading. Then on October 24, 2007, Align Technology held a conference call with analysts to discuss its third quarter 2007 financial results announced that same day. During the conference call, Align Technology announced that certain of its executive officers acknowledged that, among other things, in an effort to clear prior backlog “we did not focus enough effort on filling the pipeline for new case starts,” and that the Company had to refocus its field and channel marketing teams to generate new case growth.

In response to this news shares of Align Technology, Inc. (Nasdaq:ALGN) declined the next day more than 33%, or $9.63 per share, to close on October 25, 2007, at $19.07 per share, on unusually heavy volume of more than 12 million shares traded. According to previous investigations by law firms it has come also to light that in the months prior to Align’s October 24, 2007 announcement, certain company insiders sold hundreds of thousands of shares of their personally held Align common stock and realized gross proceeds in excess of $20 million.

Align Technology, Inc., located in Santa Clara, California, designs, manufactures, and markets the Invisalign system, a method for treating malocclusion, or the misalignment of teeth. Invisalign corrects malocclusion using a series of clear, nearly invisible, removable appliances that gently move teeth to a desired final position. Align Technology reported in 2007 Total Revenue of $284.33million and in 2008 Total Revenue of $303.98million with a Net Income of $79.99million. Shares of Align Technology (NASDAQ:ALGN) traded recently at $10.40 per share, down form a 52weekHigh of $13.74 per share and $28.46 per share in 2007.