OrthoPediatrics (KIDS) AI Stock Analysis

• Market Cap: $491.69M
• Dividend Yield: N/A
• Average Volume (3M): 165.90K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.90
• Revenue Growth: 26.08%
• EPS Growth: -63.67%
• Country: US
• Employees: 562
• Sector: Healthcare
• Sector Strength: 43
• Industry: Medical - Devices
• EPS (TTM): -0.11
• Shares Outstanding: 25,073,603
• 10 Day Avg. Volume: 214,266
• 30 Day Avg. Volume: 165,898
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 2.40
• Enterprise Value/Gross Profit: 3.35
• Enterprise Value/Ebitda: -31.65
• 1Y Price Target: $32.14
• Price Target Upside: 59.98% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7

• Rating: 50 Neutral
• Price Target: $18.00 ▼(-10.40% Downside)

OrthoPediatrics' overall score reflects its strong revenue growth and strategic expansions, but is weighed down by ongoing profitability challenges and weak technical indicators. The positive earnings call and corporate events provide some optimism, but financial and valuation concerns remain significant.

Positive Factors

Market Position

Physician feedback for KIDS' products continues to be extremely positive and emphasizes its dominant position in the pediatric orthopedic market.

Product Development

Development of new products are also receiving positive early feedback, highlighting KIDS' dedication to pediatric orthopedics.

Valuation

KIDS shares trade at 1.7x NTM EV/Sales, below high-growth peers at 5.5x NTM EV/Sales, indicating potential for multiple expansion as growth sustains.

Negative Factors

Costs and Profitability

The company is exposed to tariffs which could impact costs and profitability.

Gross Margin

Gross margin was down 520 bps Y/Y driven by increased international set sales and 7D placements.

OrthoPediatrics Business Overview & Revenue Model

Company Description

OrthoPediatrics Corp., a medical device company, designs, develops, and markets anatomically appropriate implants and devices for the treatment of children with orthopedic conditions in the United States and internationally. The company offers trauma and deformity correction products; scoliosis procedures for the treatment of spinal deformity; and sports medicine and other products. Its products comprise PediLoc, PediPlates, cannulated screws, PediFlex nail, PediNail, PediLoc tibia, anterior cruciate ligament reconstruction systems, locking cannulated blades, locking proximal femurs, Spica Tables, RESPONSE Spine systems, Bandloc, Pediguard, Pediatric Nailing Platform, Femur system, Orthex, QuickPack, and ApiFix Mid-C system. The company serves pediatric orthopedic market, as well as pediatric orthopedic surgeons and caregivers. OrthoPediatrics Corp. was founded in 2006 and is headquartered in Warsaw, Indiana.

How the Company Makes Money

OrthoPediatrics generates revenue primarily through the sale of its specialized orthopedic products and surgical instruments to hospitals, surgical centers, and medical professionals involved in pediatric care. The company's revenue model is based on direct sales of its proprietary products, which include a variety of orthopedic implants and systems. Additionally, the company participates in training and educational programs for surgeons, which can further drive product adoption and usage. Significant partnerships with hospitals and healthcare systems that utilize OrthoPediatrics' products also contribute to its revenue. Furthermore, the company may benefit from ongoing research and development efforts that lead to new product innovations, expanding its market reach and potential sales opportunities.

OrthoPediatrics Financial Statement Overview

Summary

OrthoPediatrics shows moderate revenue growth but struggles with profitability and cash flow management. The balance sheet is stable with low leverage, yet the company faces challenges in generating positive returns and cash flows.

Income Statement

OrthoPediatrics shows moderate revenue growth with a 3.9% increase in TTM. However, profitability remains a concern with negative net profit and EBIT margins, indicating ongoing operational challenges. The gross profit margin is relatively strong at 70.56%, but the company needs to address its negative net income to improve overall financial health.

Balance Sheet

The balance sheet reflects a low debt-to-equity ratio of 0.07, suggesting conservative leverage and financial stability. However, the return on equity is negative, indicating that the company is not generating sufficient returns on shareholders' equity. The equity ratio is not explicitly calculated, but the company's equity position appears strong relative to its assets.

Cash Flow

Cash flow analysis reveals negative operating and free cash flows, which are concerning for liquidity. The free cash flow to net income ratio is positive, suggesting some efficiency in converting earnings to cash, but the overall negative cash flow trends highlight potential liquidity risks.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	220.73M	204.73M	148.73M	122.29M	98.05M	71.08M
Gross Profit	157.91M	148.60M	111.25M	90.66M	73.40M	55.03M
EBITDA	-16.74M	-10.44M	-8.38M	-7.93M	-7.19M	-22.35M
Net Income	-41.76M	-37.82M	-20.97M	1.26M	-16.26M	-32.94M
Balance Sheet
Total Assets	503.61M	473.21M	438.75M	427.73M	304.27M	320.41M
Cash, Cash Equivalents and Short-Term Investments	70.15M	68.83M	80.31M	118.29M	53.54M	83.90M
Total Debt	97.17M	73.12M	10.06M	907.00K	1.04M	1.50M
Total Liabilities	148.09M	118.64M	61.72M	49.08M	78.91M	85.64M
Stockholders Equity	355.51M	354.57M	377.02M	378.65M	225.37M	234.77M
Cash Flow
Free Cash Flow	-37.67M	-41.31M	-46.03M	-31.80M	-29.07M	-29.83M
Operating Cash Flow	-28.88M	-27.05M	-27.05M	-21.77M	-13.06M	-18.53M
Investing Cash Flow	-38.71M	-13.16M	41.68M	-113.37M	-7.41M	-69.69M
Financing Cash Flow	82.65M	53.13M	7.30M	135.97M	6.00K	46.73M

OrthoPediatrics Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 20.09
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For KIDS, the sentiment is Negative. The current price of 20.09 is below the 20-day moving average (MA) of 20.88, below the 50-day MA of 21.28, and below the 200-day MA of 23.20, indicating a bearish trend. The MACD of -0.73 indicates Positive momentum. The RSI at 40.15 is Neutral, neither overbought nor oversold. The STOCH value of 66.63 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KIDS.

OrthoPediatrics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SIBN	61 Neutral	$655.74M	―	-14.18%	―	22.93%	43.83%
BVS	57 Neutral	$604.38M	―	-0.10%	―	5.08%	99.38%
OFIX	55 Neutral	$545.02M	―	-24.63%	―	4.84%	0.85%
TMCI	53 Neutral	$412.52M	―	-46.89%	―	7.67%	23.79%
CBLL	52 Neutral	$428.97M	―	26.25%	―	―	―
Sector *	51 Neutral	$7.44B	-0.22	-45.45%	2.27%	23.06%	-2.29%
KIDS	50 Neutral	$491.69M	―	-11.49%	―	26.08%	-63.67%

OrthoPediatrics Corporate Events

OrthoPediatrics Announces Board Member Resignation and Replacement

On August 7, 2025, OrthoPediatrics Corp. announced the resignation of Board member Terry Schlotterback due to retirement, effective August 8, 2025. Kelly Fischer, currently Senior Vice President and CFO of Cook Medical, was appointed to fill the vacancy and will serve on the Audit and Compensation Committees. The transition is not expected to impact the company’s operations or stakeholder interests significantly.

The most recent analyst rating on (KIDS) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on OrthoPediatrics stock, see the KIDS Stock Forecast page.

OrthoPediatrics Highlights Strategic Focus in Presentations

OrthoPediatrics Corp. announced upcoming presentations to investors and analysts, highlighting its strategic focus on pediatric orthopedics. The company emphasizes its unique market position with a comprehensive product portfolio and global sales channel, aiming to expand its market through R&D and acquisitions, while continuing to support clinical education and innovation.

The most recent analyst rating on (KIDS) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on OrthoPediatrics stock, see the KIDS Stock Forecast page.

OrthoPediatrics Expands Specialty Bracing Division Globally

On August 5, 2025, OrthoPediatrics Corp. announced the expansion of its OrthoPediatrics Specialty Bracing (OPSB) division with new clinics and entry into new territories, including California, Ohio, Colorado, New York, and Ireland. This strategic expansion aims to enhance access to pediatric orthopedic care, leveraging partnerships with major children’s hospitals and expanding into international markets, thereby positioning the company to meet the growing demand for pediatric bracing and orthopedic care.

The most recent analyst rating on (KIDS) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on OrthoPediatrics stock, see the KIDS Stock Forecast page.

OrthoPediatrics Holds Annual Stockholders Meeting

On May 23, 2025, OrthoPediatrics Corp. held its Annual Meeting of Stockholders where key decisions were made, including the election of directors to serve until 2028. The stockholders approved the compensation of the company’s executive officers and confirmed Deloitte & Touche LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (KIDS) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on OrthoPediatrics stock, see the KIDS Stock Forecast page.

OrthoPediatrics Issues Common Stock Under Amendment

OrthoPediatrics announced the issuance of Common Stock under the First Amendment, leveraging an exemption under Section 4(a)(2) of the Securities Act of 1933. This strategic move may impact the company’s financial operations and market positioning by potentially increasing capital and shareholder value.

The most recent analyst rating on (KIDS) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on OrthoPediatrics stock, see the KIDS Stock Forecast page.