ALGN vs. EHC: Align vs. Encompass Health Stock Comparison
How do Align (ALGN) and Encompass Health (EHC) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Align (ALGN) and Encompass Health (EHC) both fall under the Health Care Equipment & Services industry group, but ALGN is classified in Health Care Equipment & Supplies while EHC is classified in Health Care Providers & Services.
| Profile Item | ALGN | EHC |
|---|---|---|
| Name | Align Technology Inc. | Encompass Health Corporation |
| Country/Region | United States | United States |
| GICS Sector | Health Care | Health Care |
| GICS Industry Group | Health Care Equipment & Services | Health Care Equipment & Services |
| GICS Industry | Health Care Equipment & Supplies | Health Care Providers & Services |
| GICS Sub-Industry | Health Care Supplies | Health Care Facilities |
| Market Capitalization | 11.70 billion USD | 13.50 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | NYSE |
| Listing Date | January 30, 2001 | September 24, 1986 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Total Return (1Y) | 27.43% | 22.16% |
| Total Return (3Y, Annualized) | -2.84% | 30.96% |
| Total Return (5Y, Annualized) | -24.73% | 23.55% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Volatility (1Y, Annualized) | 40.49% | 30.54% |
| Beta (5Y) | 1.67 | 0.82 |
| Max Drawdown (5Y) | -82.44% | -27.33% |
| Avg. Volume (3M) | 942.14K | 996.79K |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Sharpe Ratio (1Y) | 0.57 | 0.59 |
| Sortino Ratio (1Y) | 0.89 | 1.08 |
Profitability
ROE (TTM)
Encompass Health (EHC) at 25.11% sits in the top ROE quartile, while Align (ALGN) at 11.91% is closer to the peer norm — stronger capital efficiency for EHC.
ALGN
Health Care Equipment & Services industry group
11.91%
- Max
- 47.61%
- Q3
- 14.36%
- ALGN
- 11.91%
- Median
- 5.45%
- Q1
- -10.67%
- Min
- -47.01%
EHC
Health Care Equipment & Services industry group
25.11%
- Max
- 47.61%
- EHC
- 25.11%
- Q3
- 14.36%
- Median
- 5.45%
- Q1
- -10.67%
- Min
- -47.01%
Net Margin (TTM)
For every dollar of sales, both Align (ALGN) at 11.83% and Encompass Health (EHC) at 10.17% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
ALGN
Health Care Equipment & Services industry group
11.83%
- Max
- 29.35%
- ALGN
- 11.83%
- Q3
- 9.33%
- Median
- 2.18%
- Q1
- -6.29%
- Min
- -28.46%
EHC
Health Care Equipment & Services industry group
10.17%
- Max
- 29.35%
- EHC
- 10.17%
- Q3
- 9.33%
- Median
- 2.18%
- Q1
- -6.29%
- Min
- -28.46%
Operating Margin (TTM)
Both Align (ALGN) at 20.13% and Encompass Health (EHC) at 18.07% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.
ALGN
Health Care Equipment & Services industry group
20.13%
- Max
- 35.43%
- ALGN
- 20.13%
- Q3
- 14.14%
- Median
- 6.81%
- Q1
- -0.28%
- Min
- -16.29%
EHC
Health Care Equipment & Services industry group
18.07%
- Max
- 35.43%
- EHC
- 18.07%
- Q3
- 14.14%
- Median
- 6.81%
- Q1
- -0.28%
- Min
- -16.29%
Profitability Metrics
| Metric | ALGN | EHC |
|---|---|---|
| ROE (TTM) | 11.91% | 25.11% |
| ROA (TTM) | 8.01% | 10.08% |
| Net Margin (TTM) | 11.83% | 10.17% |
| Operating Margin (TTM) | 20.13% | 18.07% |
| Gross Margin (TTM) | 71.53% | 44.15% |
Growth
Revenue Growth
Encompass Health (EHC) at 10.46% is around its peer norm for revenue growth, while Align (ALGN) at 0.90% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Both Align (ALGN) at 0.53% and Encompass Health (EHC) at 24.22% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Revenue Growth (YoY) | 0.90% | 10.46% |
| Revenue Growth (3Y CAGR) | 2.61% | 10.92% |
| EPS Growth (YoY) | 0.53% | 24.22% |
| EPS Growth (3Y CAGR) | 7.02% | 27.07% |
Financial Strength
Current Ratio (MRQ)
Align (ALGN) at 1.43 keeps current ratio within its industry’s typical mid-range, while Encompass Health (EHC) at 1.09 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for EHC.
ALGN
Health Care Equipment & Services industry group
1.43
- Max
- 7.59
- Q3
- 4.00
- Median
- 1.98
- ALGN
- 1.43
- Q1
- 1.37
- Min
- 0.30
EHC
Health Care Equipment & Services industry group
1.09
- Max
- 7.59
- Q3
- 4.00
- Median
- 1.98
- Q1
- 1.37
- EHC
- 1.09
- Min
- 0.30
Debt / Equity (MRQ)
Align (ALGN) at 0.03 keeps leverage in the lower industry quartile, while Encompass Health (EHC) at 0.79 runs a more typical debt-to-equity mix.
ALGN
Health Care Equipment & Services industry group
0.03
- Max
- 1.88
- Q3
- 0.91
- Median
- 0.58
- Q1
- 0.16
- ALGN
- 0.03
- Min
- 0.00
EHC
Health Care Equipment & Services industry group
0.79
- Max
- 1.88
- Q3
- 0.91
- EHC
- 0.79
- Median
- 0.58
- Q1
- 0.16
- Min
- 0.00
Financial Strength Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Current Ratio (MRQ) | 1.43 | 1.09 |
| Debt / Equity (MRQ) | 0.03 | 0.79 |
| Net Debt / EBITDA | -1.04 | 1.79 |
Dividends
Dividend Yield (TTM)
Align (ALGN) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Encompass Health (EHC) reports a yield of 0.55%, ranking against industry peers normally.
ALGN
Health Care Equipment & Services industry group
0.00%
- ALGN
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
EHC
Health Care Equipment & Services industry group
0.55%
- EHC
- 0.55%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Align (ALGN) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Encompass Health (EHC) reports a payout of 12.48%, ranking against industry peers normally.
ALGN
Health Care Equipment & Services industry group
0.00%
- ALGN
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
EHC
Health Care Equipment & Services industry group
12.48%
- EHC
- 12.48%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | ALGN | EHC |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.55% |
| Dividend Payout Ratio (TTM) | 0.00% | 12.48% |
Valuation
P/E Ratio (TTM)
Both Align (ALGN) at 24.20 and Encompass Health (EHC) at 22.01 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
ALGN
Health Care Equipment & Services industry group
24.20
- Max
- 80.41
- Q3
- 47.62
- Median
- 29.93
- ALGN
- 24.20
- Q1
- 21.19
- Min
- 4.21
EHC
Health Care Equipment & Services industry group
22.01
- Max
- 80.41
- Q3
- 47.62
- Median
- 29.93
- EHC
- 22.01
- Q1
- 21.19
- Min
- 4.21
P/S Ratio (TTM)
On P/S ratio, both Align (ALGN) at 2.81 and Encompass Health (EHC) at 2.13 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.
ALGN
Health Care Equipment & Services industry group
2.81
- Max
- 8.80
- Q3
- 4.32
- ALGN
- 2.81
- Median
- 2.13
- Q1
- 1.10
- Min
- 0.03
EHC
Health Care Equipment & Services industry group
2.13
- Max
- 8.80
- Q3
- 4.32
- EHC
- 2.13
- Median
- 2.13
- Q1
- 1.10
- Min
- 0.03
P/B Ratio (MRQ)
On P/B ratio, both Align (ALGN) at 2.73 and Encompass Health (EHC) at 5.04 are valued close to their industries’ norm against book — neither stands out from peers.
ALGN
Health Care Equipment & Services industry group
2.73
- Max
- 11.68
- Q3
- 6.12
- Median
- 3.00
- ALGN
- 2.73
- Q1
- 1.73
- Min
- -1.31
EHC
Health Care Equipment & Services industry group
5.04
- Max
- 11.68
- Q3
- 6.12
- EHC
- 5.04
- Median
- 3.00
- Q1
- 1.73
- Min
- -1.31
Valuation Metrics
| Metric | ALGN | EHC |
|---|---|---|
| P/E Ratio (TTM) | 24.20 | 22.01 |
| P/S Ratio (TTM) | 2.81 | 2.13 |
| P/B Ratio (MRQ) | 2.73 | 5.04 |
| Free Cash Flow Yield (TTM) | 4.90% | 1.97% |