Analyst Sean Lee CFA of H.C. Wainwright reiterated a Buy rating on Alphatec Holdings, retaining the price target of $20.00.
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Sean Lee CFA’s rating is based on Alphatec Holdings’ impressive financial performance and growth prospects. The company reported a significant increase in revenue for the second quarter of 2025, surpassing market expectations with a 27% year-over-year growth. This growth was largely driven by an increase in surgeon users and procedures, and the company has raised its revenue guidance for the year, indicating confidence in sustained growth.
Furthermore, Alphatec is making strides towards profitability, having achieved consecutive quarters of positive adjusted EBITDA and projecting positive cash flow for 2025. The company’s international operations are also expanding, although they are not expected to materially impact revenues in the near term. The valuation of Alphatec is supported by a detailed analysis, including an EV-to-sales multiple and discounted cash flow analysis, leading to a 12-month price target of $20.00 per share. Despite potential risks, such as commercial and regulatory challenges, the overall outlook remains positive, justifying the Buy rating.
In another report released today, Needham also reiterated a Buy rating on the stock with a $16.00 price target.
Based on the recent corporate insider activity of 57 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ATEC in relation to earlier this year.