Alphatec Holdings: Strategic Refinancing and Growth Prospects Drive Buy Rating

In a report released today, Brooks O’Neil from Lake Street maintained a Buy rating on Alphatec Holdings (ATEC – Research Report), with a price target of $18.00.

Brooks O’Neil has given his Buy rating due to a combination of factors that highlight Alphatec Holdings’ promising financial outlook and strategic positioning. The company recently completed a refinancing transaction, extending the maturity of its convertible notes, which demonstrates strong financial management and provides a solid foundation for future growth. This move also includes a capped call that offers dilution protection, indicating a well-thought-out approach to managing shareholder value.
Furthermore, Alphatec’s management has shown commitment to achieving significant revenue and EBITDA targets by 2027, reflecting confidence in their long-term strategy. The company’s ability to attract experienced professionals and its innovative culture are expected to drive continued success, especially in light of industry disruptions such as Stryker’s exit from the spinal implant business. The recent successful bond offering at a low interest rate, despite market uncertainties, reinforces the potential for attractive returns, making it an opportune time for investors to consider Alphatec’s stock.

In another report released on March 3, Stifel Nicolaus also maintained a Buy rating on the stock with a $17.00 price target.