Alphatec Holdings, Inc. (ATEC) AI Stock Analysis
ATEC AI stock analysis summary
AI ResearchAlphatec Holdings, Inc. develops surgical technologies, implants, and biologics for treating spinal disorders. Full-year FY2025 revenue grew 25.0% to $764.2M, generating positive operating cash flow of $45.2M. However, net income was -$143.4M in FY2025 and total debt stood at $604.0M as of June 30, 2026.
- Market cap
- $1.62B
- Revenue (TTM)
- $815.1M
- P/E
- — fwd 18.6x
- 1Y return
- -26.6% S&P 500 16.8%
- Avg. target
- $15.79 50.9% vs last close
Bull case
- Revenue demonstrated sustained expansion with a 5-year compound annual growth rate of 39.5% from FY2020 to FY2025.
- Cash generation improved in FY2025, delivering $45.2M in operating cash flow and $2.8M in free cash flow.
- Analysts maintain an optimistic stance with 11 Strong Buy ratings and a mean price target of $15.79.
Bear case
- The balance sheet carries negative shareholders' equity of -$12.1M and net debt of $485.4M as of June 30, 2026.
- The company remained unprofitable on a net basis, reporting net income of -$143.4M for FY2025.
- The stock has underperformed broader markets, falling 50.3% year-to-date and 26.6% over the past year.
What Alphatec does
Alphatec Holdings, Inc. specializes in designing, developing, and advancing surgical technologies tailored for treating spinal disorders. The company provides a comprehensive portfolio of implants and instruments manufactured and distributed through third-party suppliers. Key offerings include the SafeOp Neural InformatiX System under the Alpha InformatiX platform for neural monitoring, alongside procedural access systems such as the Sigma PTP Access and Patient Positioning System, split-blade retractors, and the Sigma-ALIF Access System. It integrates EOS imaging systems for full-body imaging, and supplies biologics such as the 3D ProFuse Osteoconductive Bioscaffold, AlphaGRAFT Cellular Bone Matrix, BioCORE Moldable Bioactive Graft, and Amnioshield Amniotic Tissue Barrier.
Growth and profitability
Revenue expanded from $243.2M in FY2021 to $764.2M in FY2025, reflecting a 5-year compound annual growth rate of 39.5%. Revenue growth was 25.0% in FY2025, following 26.8% in FY2024. Gross margin improved from 64.9% in FY2021 to 69.6% in FY2025. Operating margin also improved from -52.7% in FY2021 to -10.7% in FY2025. Net income was -$143.4M in FY2025, compared to -$162.1M in FY2024 and -$143.0M in FY2021. In the latest quarter ended June 30, 2026, revenue increased 15.1% year-over-year, contributing to trailing twelve month revenue of $815.1M and an operating margin of -0.9%.
Balance sheet and cash flow
As of June 30, 2026, the company held $118.7M in cash and short-term investments against $604.0M in total debt, resulting in net debt of $485.4M. Shareholders' equity was -$12.1M against total assets of $791.0M, with a current ratio of 1.89. In FY2025, operating cash flow turned positive to $45.2M, and free cash flow reached $2.8M after capital expenditures of $42.5M. Over 5 years, the share count increased by 56.4%.
Valuation and performance
At a share price of $10.46, the company holds a market capitalization of $1.62B and an enterprise value of $2.03B. Its forward price-to-earnings multiple of 18.6x sits above the 17.3x median of its US-listed Healthcare peers. Its enterprise value-to-EBITDA ratio of 96.0x also exceeds the peer median of 12.0x, while its price-to-sales multiple of 2.0x is below the peer median of 4.1x. Over the past year, the stock fell 26.6%, trailing the S&P 500 return of 16.8%. Over 5 years, the stock fell 14.2% while the S&P 500 rose 83.0%.
What analysts expect
Wall Street coverage consists of 11 Strong Buy and 3 Buy ratings, with 0 Hold, 0 Sell, and 0 Strong Sell ratings. The mean price target is $15.79, representing upside of 50.9% over the October 16, 2026 closing price of $10.46. For the fiscal year ending December 31, 2026, analysts estimate EPS of $0.33 on revenue of $882.1M. Over the last 4 quarters, the company beat earnings estimates 2 times. The next earnings date is October 29, 2026.
Key risks and what to watch
- Total debt reached $604.0M as of June 30, 2026, creating potential financial pressure alongside negative shareholders' equity.
- Dilution has been significant, evidenced by a 56.4% change in share count over 5 years.
- High enterprise value-to-EBITDA multiple of 96.0x leaves the valuation sensitive to performance versus peers.
AI-generated research summary. Written with AI from Quotelinks data as of October 16, 2026 and checked so every figure matches that data. For information only, not investment advice. Disclaimer
About this ATEC AI stock analysis
This page is an AI-written research summary of Alphatec Holdings, Inc. (ATEC). The text was generated on October 30, 2026 from Quotelinks data as of October 16, 2026 (company profile, annual results, latest balance sheet, valuation, price performance and analyst estimates). An automatic check rejects any draft that contains a figure not found in that data. It is not investment advice; verify figures on the linked tabs before making decisions.
Related: ATEC income statement, ATEC balance sheet, ATEC key metrics, ATEC analyst forecast, ATEC chart. See the ATEC stock overview for the latest quote and news.
ATEC AI stock analysis FAQ
What was Alphatec's revenue in FY2025?
Alphatec generated $764.2M in revenue in FY2025, which represents a 25.0% increase over FY2024.
Does Alphatec pay a dividend?
Alphatec does not pay a dividend.
What is Alphatec's debt position?
As of June 30, 2026, Alphatec held $118.7M in cash and short-term investments, $604.0M in total debt, and net debt of $485.4M.
What do analysts target for ATEC stock?
Analysts have issued 11 Strong Buy and 3 Buy ratings with a mean price target of $15.79, which is 50.9% above the last closing price of $10.46.
When is Alphatec's next earnings report?
The next earnings date is scheduled for October 29, 2026.