Alphatec (NASDAQ:ATEC) Shares Gap Down on Disappointing Earnings

Alphatec Holdings, Inc. (NASDAQ:ATEC) gapped down prior to trading on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $11.06, but opened at $10.50. Alphatec shares last traded at $11.65, with a volume of 285,146 shares changing hands.

The medical technology company reported ($0.23) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.19) by ($0.04). The firm had revenue of $176.79 million for the quarter, compared to analyst estimates of $172.74 million. Alphatec had a negative net margin of 31.06% and a negative return on equity of 541.39%.

Analyst Upgrades and Downgrades

A number of analysts have recently weighed in on the stock. Needham & Company LLC reaffirmed a “buy” rating and issued a $16.00 price target on shares of Alphatec in a research note on Thursday. HC Wainwright reissued a “buy” rating and set a $20.00 target price on shares of Alphatec in a research note on Tuesday, January 14th. Barclays increased their target price on shares of Alphatec from $20.00 to $21.00 and gave the company an “overweight” rating in a research note on Wednesday, January 22nd. Finally, Piper Sandler increased their target price on shares of Alphatec from $12.00 to $13.00 and gave the company an “overweight” rating in a research note on Thursday. One equities research analyst has rated the stock with a hold rating and eight have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $17.67.

Insider Activity

In other news, COO Scott Lish sold 27,453 shares of the business’s stock in a transaction that occurred on Thursday, February 6th. The shares were sold at an average price of $11.49, for a total transaction of $315,434.97. Following the sale, the chief operating officer now owns 867,677 shares in the company, valued at $9,969,608.73. The trade was a 3.07 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Patrick Miles sold 6,687 shares of the company’s stock in a transaction that occurred on Tuesday, January 21st. The shares were sold at an average price of $12.00, for a total transaction of $80,244.00. Following the completion of the transaction, the chief executive officer now owns 5,501,715 shares in the company, valued at approximately $66,020,580. This represents a 0.12 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 267,715 shares of company stock worth $3,048,819 over the last 90 days. 22.80% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. BNP PARIBAS ASSET MANAGEMENT Holding S.A. increased its stake in Alphatec by 11.3% in the 3rd quarter. BNP PARIBAS ASSET MANAGEMENT Holding S.A. now owns 2,928,094 shares of the medical technology company’s stock valued at $16,280,000 after buying an additional 297,850 shares during the period. Barclays PLC increased its stake in Alphatec by 362.3% in the 3rd quarter. Barclays PLC now owns 170,546 shares of the medical technology company’s stock valued at $948,000 after buying an additional 133,653 shares during the period. Franklin Resources Inc. increased its stake in Alphatec by 299.3% in the 3rd quarter. Franklin Resources Inc. now owns 64,450 shares of the medical technology company’s stock valued at $343,000 after buying an additional 48,308 shares during the period. AlphaCentric Advisors LLC acquired a new position in shares of Alphatec during the 3rd quarter worth $2,057,000. Finally, Royce & Associates LP increased its stake in shares of Alphatec by 15.9% during the 3rd quarter. Royce & Associates LP now owns 1,212,286 shares of the medical technology company’s stock worth $6,740,000 after purchasing an additional 165,954 shares during the last quarter. Institutional investors and hedge funds own 66.35% of the company’s stock.

Alphatec Trading Up 4.2 %

The company’s 50 day moving average price is $10.57 and its 200 day moving average price is $8.35. The company has a market cap of $1.63 billion, a price-to-earnings ratio of -9.06 and a beta of 1.43. The company has a debt-to-equity ratio of 30.21, a quick ratio of 1.15 and a current ratio of 2.32.

About Alphatec

Alphatec Holdings, Inc, a medical technology company, designs, develops, and advances technologies for the surgical treatment of spinal disorders in the United States and internationally. It manufactures and sells implants and instruments through third-party suppliers. The company offers Alpha InformatiX product platform, including EOS imaging system that provides full-body imaging; VEA alignment mobile application, which leverages EOS technology to more quickly quantify alignment parameters on a mobile device; SafeOp Neural InformatiX System that automates electromyographic and somatosensory evoked potential monitoring; and Valence, an intra-operative system that integrates navigation and robotics into spine procedures, as well as Sigma Prone TransPsoas (PTP) Access and PTP Patient Positioning Systems.