Alphatec (NASDAQ:ATEC) Posts Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Alphatec (NASDAQ:ATEC) posted its earnings results on Tuesday. The medical technology company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.04 by $0.02, FiscalAI reports. The business had revenue of $212.93 million during the quarter, compared to the consensus estimate of $212.67 million. During the same period in the prior year, the firm earned ($0.23) earnings per share. The business’s revenue was up 20.4% on a year-over-year basis.

Here are the key takeaways from Alphatec’s conference call:

• Q4 revenue of $213 million (up 20% YoY) with surgical revenue +21%, Q4 Adjusted EBITDA of $33 million and $8 million of free cash flow; full-year revenue was $764 million (up 25%) with Adjusted EBITDA of $93 million (12% margin).
• Management raised full-year 2026 targets to approximately $890 million revenue (17% growth) and $134 million Adjusted EBITDA (15% margin), and expects at least $20 million of free cash flow.
• Executives highlighted a differentiated, integrated procedural ecosystem—EOS / EOS Insight imaging, SafeOp neuromonitoring, upcoming Valence navigation/robotics, 3D?printed implants and a Theradaptive BMP partnership—which management says is driving surgeon adoption and expanding addressable markets.
• Financial leverage is improving—non?GAAP gross margin ~70%, SG&A leverage and operating discipline produced meaningful margin expansion and ~41% full?year drop?through, enabling the company to self?fund instrument and inventory investments.
• Management warned that growing deformity volumes and EOS adoption have shifted seasonality (stronger Q2/Q3), which compressed the typical Q4 sequential lift and could complicate short?term quarter?to?quarter comparisons.

Alphatec Stock Performance

NASDAQ ATEC traded up $0.77 during midday trading on Tuesday, hitting $13.93. The company had a trading volume of 6,088,356 shares, compared to its average volume of 3,486,857. The firm has a fifty day simple moving average of $17.09 and a two-hundred day simple moving average of $17.15. Alphatec has a fifty-two week low of $8.81 and a fifty-two week high of $23.29. The company has a quick ratio of 1.24, a current ratio of 1.99 and a debt-to-equity ratio of 43.02. The stock has a market cap of $2.07 billion, a price-to-earnings ratio of -13.39 and a beta of 1.01.

Insiders Place Their Bets

In other Alphatec news, Director David R. Pelizzon sold 250,000 shares of the company’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $19.66, for a total value of $4,915,000.00. Following the completion of the transaction, the director owned 10,395,045 shares of the company’s stock, valued at $204,366,584.70. This represents a 2.35% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, COO Scott Lish sold 19,900 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $19.64, for a total value of $390,836.00. Following the completion of the sale, the chief operating officer owned 641,432 shares of the company’s stock, valued at $12,597,724.48. This represents a 3.01% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 1,436,125 shares of company stock valued at $29,385,878 in the last quarter. 22.80% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Alphatec

Several large investors have recently modified their holdings of ATEC. Osterweis Capital Management Inc. bought a new position in shares of Alphatec during the 2nd quarter worth approximately $37,000. Northwestern Mutual Wealth Management Co. raised its stake in Alphatec by 157.1% during the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 2,571 shares of the medical technology company’s stock worth $54,000 after acquiring an additional 1,571 shares in the last quarter. State of Wyoming bought a new position in shares of Alphatec during the second quarter valued at $124,000. Focus Partners Wealth acquired a new stake in shares of Alphatec in the 3rd quarter valued at $138,000. Finally, Tower Research Capital LLC TRC boosted its stake in shares of Alphatec by 536.4% in the 2nd quarter. Tower Research Capital LLC TRC now owns 14,815 shares of the medical technology company’s stock valued at $164,000 after purchasing an additional 12,487 shares in the last quarter. 66.35% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of brokerages recently weighed in on ATEC. Loop Capital set a $25.00 price objective on Alphatec in a research note on Wednesday, December 10th. Barclays increased their price target on Alphatec from $23.00 to $27.00 and gave the company an “overweight” rating in a report on Wednesday, January 7th. Wall Street Zen upgraded shares of Alphatec from a “hold” rating to a “buy” rating in a research note on Saturday, January 31st. HC Wainwright reaffirmed a “buy” rating and set a $24.00 price objective on shares of Alphatec in a report on Monday, January 12th. Finally, Stifel Nicolaus began coverage on shares of Alphatec in a report on Tuesday, October 28th. They issued a “buy” rating and a $20.00 target price on the stock. Ten research analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $22.82.

About Alphatec

Alphatec Holdings, Inc (NASDAQ: ATEC) is a medical technology company focused on the design, development and commercialization of products for the surgical correction of degenerative spinal conditions. The company’s portfolio centers on interbody implants, biologics, fixation devices and surgical planning tools intended to improve patient outcomes in spinal fusion procedures. Alphatec’s flagship offerings include customizable interbody cages, bone graft materials and specialized instrumentation designed for minimally invasive and open spinal surgeries.

Founded as Alphatec Spine in 1985 and rebranded as Alphatec Holdings in 2018, the company has grown from a single-product organization into a multi-platform innovator in the spine market.