TD Cowen Cuts Alphatec (NASDAQ:ATEC) Price Target to $11.00

Key Points

• TD Cowen cut its price target on Alphatec to $11 (from $20) while maintaining a "buy" rating, joining several firms with widely varying targets and leaving a consensus target near $19.
• Alphatec's Q1 results missed expectations—EPS of about ($0.22) vs. roughly ($0.01) expected and revenue of $192.1M vs. $197.5M—and management cut full‑year revenue guidance, triggering a steep sell‑off that drove the stock to $7.13 on heavy volume.
• Insiders have been sizable sellers recently (about 689,614 shares worth ~$8.63M in the past 90 days) even as institutional ownership remains high (~66%), adding to near‑term downward pressure despite longer‑term analyst conviction from many firms.

Alphatec (NASDAQ:ATEC - Get Free Report) had its price target reduced by analysts at TD Cowen from $20.00 to $11.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "buy" rating on the medical technology company's stock. TD Cowen's target price would indicate a potential upside of 54.34% from the company's previous close.

Several other equities research analysts have also recently commented on the company. Wall Street Zen raised Alphatec from a "hold" rating to a "buy" rating in a research note on Saturday, January 31st. Barclays set a $24.00 price objective on shares of Alphatec in a research report on Wednesday. Needham & Company LLC reduced their price objective on Alphatec from $25.00 to $14.00 and set a "buy" rating for the company in a research note on Wednesday. HC Wainwright reiterated a "buy" rating and issued a $24.00 target price on shares of Alphatec in a report on Monday, January 12th. Finally, Weiss Ratings reissued a "sell (e+)" rating on shares of Alphatec in a research report on Friday, March 27th. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating, one has given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $19.00.

Alphatec Price Performance

ATEC stock traded down $3.10 during midday trading on Wednesday, reaching $7.13. 14,786,911 shares of the stock were exchanged, compared to its average volume of 3,134,618. The stock has a market capitalization of $1.10 billion, a PE ratio of -7.50 and a beta of 0.96. The company has a debt-to-equity ratio of 40.35, a current ratio of 2.06 and a quick ratio of 1.28. The company has a fifty day moving average price of $11.73 and a 200 day moving average price of $15.95. Alphatec has a 52 week low of $6.85 and a 52 week high of $23.29.

Alphatec (NASDAQ:ATEC - Get Free Report) last posted its quarterly earnings data on Tuesday, May 5th. The medical technology company reported ($0.22) earnings per share for the quarter, missing analysts' consensus estimates of ($0.01) by ($0.21). The company had revenue of $192.11 million during the quarter, compared to analyst estimates of $197.51 million. During the same period last year, the firm earned ($0.35) EPS. The firm's revenue for the quarter was up 13.6% compared to the same quarter last year. As a group, analysts expect that Alphatec will post -0.28 EPS for the current fiscal year.

Insider Activity at Alphatec

In other news, General Counsel Tyson Eliot Marshall sold 88,835 shares of the stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $12.49, for a total transaction of $1,109,549.15. Following the transaction, the general counsel directly owned 559,459 shares in the company, valued at approximately $6,987,642.91. This represents a 13.70% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, EVP David Sponsel sold 163,452 shares of the business's stock in a transaction on Wednesday, March 11th. The stock was sold at an average price of $12.52, for a total transaction of $2,046,419.04. Following the completion of the sale, the executive vice president directly owned 504,932 shares of the company's stock, valued at $6,321,748.64. This represents a 24.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 689,614 shares of company stock worth $8,634,850. Insiders own 22.80% of the company's stock.

Hedge Funds Weigh In On Alphatec

Hedge funds and other institutional investors have recently made changes to their positions in the business. Summit Securities Group LLC purchased a new position in shares of Alphatec during the first quarter valued at approximately $29,000. Aster Capital Management DIFC Ltd bought a new position in shares of Alphatec during the third quarter valued at $34,000. Osterweis Capital Management Inc. purchased a new position in shares of Alphatec in the 2nd quarter worth about $37,000. Northwestern Mutual Wealth Management Co. grew its position in Alphatec by 157.1% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 2,571 shares of the medical technology company's stock valued at $54,000 after purchasing an additional 1,571 shares during the last quarter. Finally, China Universal Asset Management Co. Ltd. bought a new stake in Alphatec during the 3rd quarter valued at about $73,000. Institutional investors own 66.35% of the company's stock.

Key Headlines Impacting Alphatec

Here are the key news stories impacting Alphatec this week:

• Positive Sentiment: Established a new senior secured syndicated credit facility to support growth and liquidity; that reduces near‑term refinancing risk and is generally supportive for execution. TipRanks: Credit Facility
• Positive Sentiment: Q1 revenue rose ~13.6% year‑over‑year to ~$192M and GAAP/non‑GAAP gross margins were strong (~71–72%), showing underlying demand and healthy unit economics. Business Wire: Q1 Results
• Neutral Sentiment: Analysts: Needham cut its price target from $25 to $14 but kept a “buy” rating — a meaningful reduction in upside expectations that nonetheless signals some continued conviction. Benzinga / The Fly: Needham PT Cut
• Neutral Sentiment: Company provided slides and an earnings‑call transcript (useful for longer‑term visibility on execution and product cadence); these contain management commentary behind the quarter. Seeking Alpha: Call Transcript
• Negative Sentiment: Management cut its full‑year revenue outlook (MarketWatch reports the revision), which was the immediate catalyst for the sharp sell‑off — guidance reductions typically weigh heavily on multiple and sentiment. MarketWatch: Guidance Cut
• Negative Sentiment: Q1 EPS missed consensus (reported ~($0.22) vs. a roughly ($0.01) consensus) and revenue missed estimates (~$192.1M vs. ~$197.5M consensus), providing a tangible earnings/growth miss that pressured the stock. Company Press Release / Slide Deck
• Negative Sentiment: Large institutional selling was disclosed (a fund sold ~$18M of ATEC last quarter), which can amplify downward pressure when combined with negative guidance and an earnings miss. The Motley Fool: Fund Selling

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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