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3 Stocks From the Growing Digital Orthodontic Space in Focus
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The pandemic-led crisis spanning two and a half years forced the dental industry to incline toward digital treatment options. The industry bore the brunt of the closure of dental practices and lower patient visits due to the risk of exposure to the virus and more focus on COVID-related treatments.
However, digital orthodontics has been gaining traction lately. It offers advanced teeth straightening options while safeguarding dentists from the contagious virus.
This subsegment of dental treatment entails the improvement of the arrangement and appearance of protruding, crowded or crooked teeth. It also pertains to correcting problems related to misaligned bites.
Growing Trend
Going by a Fortune Business Insights report, the global clear aligners market size was $2.41 billion in 2020, exhibiting lower growth of 4.4% compared with the average year-over-year growth from 2017 to 2019.
However, the market has experienced substantial recovery, primarily owing to the easing of restrictions and mass opening up of the economy in 2022. Apart from this, rising dependence on Artificial Intelligence (AI) & Robotics and teledentistry and an increase in the number of patient visits are likely to help the industry thrive in the near term. The latest technologies are helping orthodontic surgeons in carrying out minimally-invasive procedures that ensure precision and efficiency, thereby reducing patients’ trauma. The industry players actively promote digital workflows for general dentistry and dental specialties. Further, dental 3D printers are revolutionizing dentistry. These reduce time and cost through efficient utilization of orthodontics and dental practices.
Accordingly, going by the same report, this industry is projected to grow from $2.85 billion in 2021 to $10.04 billion in 2028 at a CAGR of 19.7% in the forecast period 2021-2028.
Orthodontics players like Align Technology (ALGN - Free Report) , SmileDirectClub and DENTSPLY SIRONA (XRAY - Free Report) are likely to gain from the changing opportunities within the orthodontic space.
Stocks to Watch
Align Technology: In September 2022, Align introduced Invisalign Virtual Care AI, its next-generation remote monitoring solution with new artificial intelligence-assisted capabilities that streamline workflows for doctors and their staff. It has features like patient enrollment, setup, and review directly on the Invisalign Doctor Site without the need to use separate standalone solutions. Prior to this, the company announced its new Invisalign systems innovations for the Align Digital Platform. These latest innovations include ClinCheck Live Update for 3D controls, the Invisalign Practice App, Invisalign Personalized Plan, or IPP, and the Invisalign Smile Architect.
In terms of 3D scanners, in the last-reported second quarter of 2022, the number of intraoral digital scans used for Invisalign case submissions reflected the continued adoption of digital scanners and a larger installed base. Total worldwide intraoral digital scan submitted to start an Invisalign case in Q2 increased to 88.4% from 82.2% in the year-ago period.
SmileDirectClub: Realizing the enormous prospects of this space, SmileDirectClub has extended its teledentistry platform to dental and orthodontic offices through a collaborative model, designed specifically for dentists who currently do not offer an orthodontic product to patients, and an office-directed model, designed for orthodontists and dentists as a traditional in-office clear aligner product. The company is currently providing a doctor-directed digital end-to-end experience in teledentistry, with 24/7 access to orthodontic care and the back end of a lifetime smile guarantee. The company continues to see favorable industry dynamics with broader acceptance of telehealth and specifically, teledentistry.
The company continues to see growth in the adoption and use of teledentistry by the dental and orthodontic industries. This is further boosted by the expansion of the company’s professional partnerships and well-established and respected national DSOs, which demonstrate the adoption of telehealth by the dental community.
DENTSPLY SIRONA: In a bid to revolutionize digital-implant workflow in dental care, DENTSPLY’s single tooth replacement solution — Azento — needs special mention. It revolutionizes the digital implant workflow by restructuring implant-planning service, purchase and delivery. Management remains optimistic about the long-term potential of the company’s digital dentistry and workflow management as it is well positioned with respect to the diagnostic expertise of its X-ray portfolio, which is critical for implants. DENTSPLY has been witnessing a rising trend in dental offices, upgrading from 2D to 3D units, which has also been observed in all global markets. In the last fiscal, digital diagnostic devices like Primescan, Axeos and Orthophos delivered solid growth. In three years, the company scaled its clear aligners from having no presence in the digital diagnostic space to a business that delivered $274 million in 2021.
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3 Stocks From the Growing Digital Orthodontic Space in Focus
The pandemic-led crisis spanning two and a half years forced the dental industry to incline toward digital treatment options. The industry bore the brunt of the closure of dental practices and lower patient visits due to the risk of exposure to the virus and more focus on COVID-related treatments.
However, digital orthodontics has been gaining traction lately. It offers advanced teeth straightening options while safeguarding dentists from the contagious virus.
This subsegment of dental treatment entails the improvement of the arrangement and appearance of protruding, crowded or crooked teeth. It also pertains to correcting problems related to misaligned bites.
Growing Trend
Going by a Fortune Business Insights report, the global clear aligners market size was $2.41 billion in 2020, exhibiting lower growth of 4.4% compared with the average year-over-year growth from 2017 to 2019.
However, the market has experienced substantial recovery, primarily owing to the easing of restrictions and mass opening up of the economy in 2022. Apart from this, rising dependence on Artificial Intelligence (AI) & Robotics and teledentistry and an increase in the number of patient visits are likely to help the industry thrive in the near term. The latest technologies are helping orthodontic surgeons in carrying out minimally-invasive procedures that ensure precision and efficiency, thereby reducing patients’ trauma. The industry players actively promote digital workflows for general dentistry and dental specialties. Further, dental 3D printers are revolutionizing dentistry. These reduce time and cost through efficient utilization of orthodontics and dental practices.
Accordingly, going by the same report, this industry is projected to grow from $2.85 billion in 2021 to $10.04 billion in 2028 at a CAGR of 19.7% in the forecast period 2021-2028.
Orthodontics players like Align Technology (ALGN - Free Report) , SmileDirectClub and DENTSPLY SIRONA (XRAY - Free Report) are likely to gain from the changing opportunities within the orthodontic space.
Stocks to Watch
Align Technology: In September 2022, Align introduced Invisalign Virtual Care AI, its next-generation remote monitoring solution with new artificial intelligence-assisted capabilities that streamline workflows for doctors and their staff. It has features like patient enrollment, setup, and review directly on the Invisalign Doctor Site without the need to use separate standalone solutions. Prior to this, the company announced its new Invisalign systems innovations for the Align Digital Platform. These latest innovations include ClinCheck Live Update for 3D controls, the Invisalign Practice App, Invisalign Personalized Plan, or IPP, and the Invisalign Smile Architect.
In terms of 3D scanners, in the last-reported second quarter of 2022, the number of intraoral digital scans used for Invisalign case submissions reflected the continued adoption of digital scanners and a larger installed base. Total worldwide intraoral digital scan submitted to start an Invisalign case in Q2 increased to 88.4% from 82.2% in the year-ago period.
SmileDirectClub: Realizing the enormous prospects of this space, SmileDirectClub has extended its teledentistry platform to dental and orthodontic offices through a collaborative model, designed specifically for dentists who currently do not offer an orthodontic product to patients, and an office-directed model, designed for orthodontists and dentists as a traditional in-office clear aligner product. The company is currently providing a doctor-directed digital end-to-end experience in teledentistry, with 24/7 access to orthodontic care and the back end of a lifetime smile guarantee. The company continues to see favorable industry dynamics with broader acceptance of telehealth and specifically, teledentistry.
The company continues to see growth in the adoption and use of teledentistry by the dental and orthodontic industries. This is further boosted by the expansion of the company’s professional partnerships and well-established and respected national DSOs, which demonstrate the adoption of telehealth by the dental community.
DENTSPLY SIRONA: In a bid to revolutionize digital-implant workflow in dental care, DENTSPLY’s single tooth replacement solution — Azento — needs special mention. It revolutionizes the digital implant workflow by restructuring implant-planning service, purchase and delivery. Management remains optimistic about the long-term potential of the company’s digital dentistry and workflow management as it is well positioned with respect to the diagnostic expertise of its X-ray portfolio, which is critical for implants. DENTSPLY has been witnessing a rising trend in dental offices, upgrading from 2D to 3D units, which has also been observed in all global markets. In the last fiscal, digital diagnostic devices like Primescan, Axeos and Orthophos delivered solid growth. In three years, the company scaled its clear aligners from having no presence in the digital diagnostic space to a business that delivered $274 million in 2021.