Alphatec (NASDAQ:ATEC) Releases Earnings Results, Misses Estimates By $0.01 EPS

Alphatec (NASDAQ:ATEC) posted its quarterly earnings results on Thursday. The medical technology company reported $0.09 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.10 by ($0.01), FiscalAI reports. Alphatec had a negative return on equity of 6,752.24% and a negative net margin of 13.49%. The business had revenue of $221.17 million during the quarter, compared to the consensus estimate of $225.16 million.

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

• ATEC reported 13% revenue growth to $221 million, driven by 17% surgical hardware growth, approximately 20% procedural-volume growth, and 25% new-surgeon growth. Management said these adoption metrics support its long-term growth strategy despite revenue missing expectations.
• Profitability continued to improve: adjusted EBITDA rose 46% year over year to $38 million, with margin expanding to 17%, while the company generated approximately $6 million of free cash flow. Gross margin reached 72%, up nearly 200 basis points.
• ATEC lowered full-year 2026 guidance to approximately $862 million of revenue, $137 million of adjusted EBITDA, and $10 million of free cash flow. The reduction reflects weaker biologics attachment, softer thoracolumbar procedure volumes, and an international supply constraint expected to affect sales by about $3 million.
• Biologics revenue declined about $1 million year over year in the third quarter, reducing revenue per case by 5% and leaving biologics revenue contribution flat for the full year. Management acknowledged execution and sales-discipline issues, though it expects sequentially flat biologics performance in Q4 rather than an immediate recovery.
• EOS revenue was $20 million, essentially flat year over year, as hospital capital budgets and installation timing remained lumpy despite what management described as healthy underlying demand. ATEC continues to position EOS Insight, Valence, and SafeOp as long-term drivers of deeper surgeon adoption and procedural growth.

Alphatec Stock Down 0.7%

Alphatec stock traded down $0.08 during mid-day trading on Thursday, hitting $11.37. 7,073,807 shares of the company’s stock traded hands, compared to its average volume of 2,912,041. The firm has a 50 day moving average price of $10.15 and a 200 day moving average price of $10.73. The company has a market cap of $1.76 billion, a PE ratio of -16.01 and a beta of 0.78. Alphatec has a one year low of $6.82 and a one year high of $23.29.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the stock. BMO Capital Markets increased their price objective on shares of Alphatec from $11.00 to $12.00 and gave the stock an “outperform” rating in a research note on Wednesday, August 5th. TD Cowen lifted their target price on Alphatec from $11.00 to $13.00 and gave the company a “buy” rating in a research note on Wednesday, August 5th. UBS Group upped their target price on Alphatec from $15.00 to $16.00 and gave the company a “buy” rating in a report on Wednesday, August 5th. Stifel Nicolaus dropped their price target on Alphatec from $16.00 to $13.00 and set a “buy” rating on the stock in a research report on Wednesday, July 8th. Finally, Stephens initiated coverage on Alphatec in a research report on Thursday, July 23rd. They set an “overweight” rating and a $15.00 price objective for the company. Thirteen analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Alphatec has a consensus rating of “Moderate Buy” and a consensus price target of $17.40.

Insiders Place Their Bets

In other news, General Counsel Tyson Marshall sold 8,168 shares of the stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $9.65, for a total value of $78,821.20. Following the completion of the transaction, the general counsel owned 630,398 shares of the company’s stock, valued at approximately $6,083,340.70. This represents a 1.28% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Patrick Miles purchased 115,000 shares of the stock in a transaction dated Thursday, September 10th. The shares were acquired at an average cost of $8.81 per share, for a total transaction of $1,013,150.00. Following the completion of the acquisition, the chief executive officer directly owned 5,893,551 shares of the company’s stock, valued at approximately $51,922,184.31. This trade represents a 1.99% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders own 13.48% of the company’s stock.

About Alphatec

Alphatec Holdings, Inc is a medical technology company focused on the design, development and commercialization of products and procedural solutions for spine surgery. The company aims to improve the treatment of spinal disorders through technologies that support spinal fusion, deformity correction, reconstruction and minimally invasive procedures.

Its portfolio includes spinal implants, surgical instruments, navigation and imaging technologies, and intraoperative monitoring solutions.