Shares of Align Technology (NASDAQ: ALGN) soared 11.43% in pre-market trading on Thursday, following the dental medical device company's impressive first-quarter 2025 financial results and an upbeat forecast for the year ahead. The maker of Invisalign clear aligners not only beat analyst expectations but also raised its annual revenue growth outlook, demonstrating resilience in the face of potential tariff challenges.

Align Technology reported adjusted earnings per share of $2.13 for Q1 2025, surpassing the analyst consensus estimate of $1.99 by 7.04%. While this represents a slight 0.47% decrease from the same period last year, it showcases the company's ability to maintain strong profitability in a challenging environment. Revenue for the quarter came in at $979.3 million, beating analyst estimates of $975.2 million, despite showing a marginal 1.82% decrease year-over-year.

Investors were particularly encouraged by Align's positive outlook for the full year 2025. The company now projects revenue growth between 3.5% and 5.5%, up from its previous forecast of low single-digit growth. This optimistic guidance is driven by strong demand for its dental products, especially its Clear Aligners. Align reported a 6.2% year-over-year increase in Clear Aligner volume, with notable strength across the Asia Pacific and EMEA regions, as well as growth in North America.

Despite potential tariff uncertainties, Align Technology appears well-positioned to navigate these challenges. The company manufactures some of its teeth aligners in Mexico for the U.S. market and in China for Chinese customers, helping to mitigate potential tariff impacts. CEO Joseph Hogan commented on the results, stating, "Fiscal 2025 is off to a good start with Q1 Clear Aligner volumes up both sequentially and year-over-year, reflecting strength in both the teens and adult patient segments, across all regions."

Following the strong quarterly performance and upbeat outlook, several analysts have revised their price targets for Align Technology. Piper Sandler raised its target price to $250 from $235, while Wells Fargo adjusted its target to $246 from $255. These revisions reflect growing confidence in Align's ability to drive growth and maintain its market leadership in the competitive dental technology sector.