Alphatec Holdings, Inc. (NASDAQ:ATEC) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• Analysts maintain a “Moderate Buy” consensus on Alphatec, with 13 buy ratings, one hold and one sell among 15 brokerages. The average 12-month price target is $17.40, though several firms recently lowered their targets.
• Alphatec reported quarterly earnings of $0.07 per share, matching estimates, while revenue rose 15.1% year over year to $213.51 million, above expectations. Analysts forecast a full-year loss of $0.45 per share.
• The stock opened at $9.29, near its 50-day average of $9.09 and below its 200-day average of $10.26. Institutional investors own 66.35% of shares, while insiders own 13.48%; recent insider sales were conducted under pre-arranged plans to cover taxes.

Alphatec Holdings, Inc. (NASDAQ:ATEC - Get Free Report) has been given an average rating of "Moderate Buy" by the fifteen brokerages that are currently covering the stock, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell recommendation, one has given a hold recommendation and thirteen have assigned a buy recommendation to the company. The average 1-year target price among brokerages that have updated their coverage on the stock in the last year is $17.40.

Several research firms have commented on ATEC. Needham & Company LLC dropped their target price on shares of Alphatec from $25.00 to $14.00 and set a "buy" rating on the stock in a research report on Wednesday, May 6th. Barclays reduced their target price on Alphatec from $27.00 to $24.00 and set an "overweight" rating for the company in a report on Thursday, May 7th. Weiss Ratings reiterated a "sell (d-)" rating on shares of Alphatec in a report on Monday, August 3rd. BMO Capital Markets lifted their price target on Alphatec from $11.00 to $12.00 and gave the stock an "outperform" rating in a report on Wednesday, August 5th. Finally, Wells Fargo & Company cut their price objective on Alphatec from $28.00 to $14.00 and set an "overweight" rating on the stock in a research report on Thursday, May 7th.

Insiders Place Their Bets

In related news, General Counsel Tyson Eliot Marshall sold 8,168 shares of the business's stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $9.65, for a total value of $78,821.20. Following the transaction, the general counsel directly owned 630,398 shares of the company's stock, valued at approximately $6,083,340.70. The trade was a 1.28% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 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, Director Karen K. Mcginnis sold 6,050 shares of the stock in a transaction dated Thursday, June 11th. The shares were sold at an average price of $8.01, for a total transaction of $48,460.50. Following the transaction, the director owned 94,671 shares of the company's stock, valued at approximately $758,314.71. The trade was a 6.01% decrease in their position. The SEC filing for this sale provides additional information. 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. Insiders own 13.48% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the stock. Millennium Management LLC raised its stake in shares of Alphatec by 292.2% in the fourth quarter. Millennium Management LLC now owns 2,225,927 shares of the medical technology company's stock valued at $46,834,000 after buying an additional 1,658,349 shares during the period. Iron Triangle Partners LP purchased a new position in shares of Alphatec during the 4th quarter valued at $27,051,000. Paradigm Capital Management Inc. NY bought a new position in shares of Alphatec during the 2nd quarter worth $9,413,000. Morgan Stanley grew its stake in shares of Alphatec by 22.0% during the 4th quarter. Morgan Stanley now owns 4,340,936 shares of the medical technology company's stock worth $91,333,000 after acquiring an additional 784,191 shares during the period. Finally, M&G PLC purchased a new stake in Alphatec in the 4th quarter worth about $14,055,000. 66.35% of the stock is owned by institutional investors.

Alphatec Stock Performance

NASDAQ ATEC opened at $9.29 on Friday. Alphatec has a 1 year low of $6.82 and a 1 year high of $23.29. The company has a debt-to-equity ratio of 40.35, a current ratio of 1.89 and a quick ratio of 1.07. The firm has a market cap of $1.43 billion, a price-to-earnings ratio of -13.08 and a beta of 0.85. The company has a fifty day moving average price of $9.09 and a 200-day moving average price of $10.26.

Alphatec (NASDAQ:ATEC - Get Free Report) last released its quarterly earnings results on Tuesday, August 4th. The medical technology company reported $0.07 earnings per share for the quarter, meeting analysts' consensus estimates of $0.07. Alphatec had a negative net margin of 13.49% and a negative return on equity of 6,752.24%. The company had revenue of $213.51 million for the quarter, compared to analyst estimates of $211.26 million. During the same period last year, the firm earned $0.02 earnings per share. The firm's revenue was up 15.1% on a year-over-year basis. As a group, equities research analysts predict that Alphatec will post -0.45 EPS for the current fiscal year.

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.

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