Align Technology Inc. Common Stock (NASDAQ: ALGN)
According to the Complaint, Align Technology, Inc. is a medical device company that designs, manufactures, and markets devices to treat misaligned teeth. The Company’s principal products are the Invisalign clear dental aligners and the iTero® (“iTero”) intraoral scanners, which are used to create digital imagery of patients’ teeth for the purposes of diagnosing misalignment and fitting Invisalign aligners.
The Complaint alleges that throughout the Class Period, Defendants made numerous materially misleading statements emphasizing the growth and performance of the Company’s operations in China, the Company’s most valuable market after the United States; these statements included describing the “huge market opportunity” and “tremendous growth . . . in China, in particular,” and characterizing the Company’s increasing presence in China as “a big hit with our Chinese customers.” The Complaint alleges these and other statements were materially false and misleading because they exaggerated the Company’s performance in China and omitted to disclose material declines in Chinese demand for the Company’s products and the deteriorating sentiment of consumers in China towards the Company’s products.