Alphatec (NASDAQ:ATEC) Trading Down 4.2% – Should You Sell?

Alphatec Holdings, Inc. (NASDAQ:ATEC)’s stock price fell 4.2% during mid-day trading on Thursday . The stock traded as low as $16.28 and last traded at $16.3090. 1,290,500 shares traded hands during mid-day trading, a decline of 70% from the average session volume of 4,297,394 shares. The stock had previously closed at $17.03.

Analysts Set New Price Targets

ATEC has been the subject of several recent research reports. Lake Street Capital set a $25.00 price objective on Alphatec and gave the company a “buy” rating in a report on Friday, October 31st. JPMorgan Chase & Co. initiated coverage on shares of Alphatec in a research note on Friday, October 24th. They set an “overweight” rating and a $19.00 price target for the company. HC Wainwright restated a “buy” rating and set a $24.00 price objective on shares of Alphatec in a report on Monday, January 12th. Wall Street Zen upgraded shares of Alphatec from a “hold” rating to a “buy” rating in a report on Saturday, January 3rd. 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. Nine research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to data from MarketBeat, Alphatec currently has a consensus rating of “Moderate Buy” and an average price target of $22.82.

Alphatec Stock Performance

The company has a debt-to-equity ratio of 43.02, a current ratio of 1.99 and a quick ratio of 1.24. The company’s fifty day moving average price is $20.29 and its 200 day moving average price is $16.72. The company has a market cap of $2.35 billion, a PE ratio of -15.19 and a beta of 1.01.

Alphatec (NASDAQ:ATEC) last issued its quarterly earnings data on Thursday, October 30th. The medical technology company reported $0.03 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.06) by $0.09. The firm had revenue of $196.50 million during the quarter, compared to the consensus estimate of $182.78 million. The company’s revenue for the quarter was up 30.4% on a year-over-year basis. During the same period in the previous year, the company posted ($0.28) earnings per share. On average, equities research analysts predict that Alphatec Holdings, Inc. will post -1.08 earnings per share for the current year.

Insider Activity

In related news, Director David R. Pelizzon sold 250,000 shares of the stock in a transaction that occurred on Wednesday, November 12th. The stock was sold at an average price of $20.80, for a total transaction of $5,200,000.00. Following the completion of the sale, the director directly owned 11,145,045 shares of the company’s stock, valued at approximately $231,816,936. This trade represents a 2.19% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, major shareholder Jennifer N. Pritzker sold 250,000 shares of the business’s stock in a transaction on Wednesday, November 12th. The stock was sold at an average price of $20.80, for a total value of $5,200,000.00. Following the completion of the transaction, the insider directly owned 11,145,045 shares in the company, valued at approximately $231,816,936. This represents a 2.19% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 3,403,342 shares of company stock valued at $69,816,381 over the last three months. Corporate insiders own 20.90% of the company’s stock.

Institutional Investors Weigh In On Alphatec

Several large investors have recently modified their holdings of the stock. Aster Capital Management DIFC Ltd bought a new stake in shares of Alphatec in the 3rd quarter worth approximately $34,000. Osterweis Capital Management Inc. bought a new position in shares of Alphatec during the 2nd quarter worth $37,000. China Universal Asset Management Co. Ltd. purchased a new stake in Alphatec in the 3rd quarter worth about $73,000. FNY Investment Advisers LLC bought a new stake in Alphatec in the 3rd quarter valued at about $74,000. Finally, Nisa Investment Advisors LLC raised its stake in Alphatec by 22.4% in the 2nd quarter. Nisa Investment Advisors LLC now owns 5,714 shares of the medical technology company’s stock valued at $63,000 after acquiring an additional 1,045 shares during the period. Hedge funds and other institutional investors own 66.35% of the company’s stock.

Alphatec Company Profile

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.