Alphatec (NASDAQ:ATEC) Shares Gap Down – Here’s Why

Alphatec Holdings, Inc. (NASDAQ:ATEC)’s stock price gapped down prior to trading on Monday . The stock had previously closed at $22.65, but opened at $21.47. Alphatec shares last traded at $18.4560, with a volume of 1,852,698 shares trading hands.

Key Stories Impacting Alphatec

Here are the key news stories impacting Alphatec this week:

• Positive Sentiment: Alphatec secured exclusive U.S. rights to Theradaptive’s OsteoAdapt® regenerative platform, a strategic partnership that could expand ATEC’s biologics pipeline and long‑term addressable market in spinal fusion. PR Newswire
• Positive Sentiment: Analysts at HC Wainwright and Needham reaffirmed “buy” ratings and set $24 and $22 price targets, respectively, signaling analyst confidence that shares have upside versus current levels. Benzinga TickerReport
• Positive Sentiment: Industry coverage notes joint upside with partners (e.g., Carlsmed) and expectations for material revenue growth in 2025, reinforcing the narrative of accelerating top‑line momentum for ATEC. Becker’s Spine
• Neutral Sentiment: Alphatec reported preliminary, unaudited Q4 and FY‑2025 revenue results that modestly exceeded consensus (Q4 guidance ~$212.2M–$213.2M vs. ~$209.3M consensus; FY‑2025 ~$763.4M–$764.4M vs. ~$760.6M consensus). However, EPS guidance was not clearly communicated in the release, leaving investors uncertain about profitability trajectory. BusinessWire
• Negative Sentiment: Markets reacted poorly to the company’s 2026 outlook (revenue guidance provided but EPS guidance was unclear/underwhelming in the eyes of investors), triggering a selloff and headlines that the stock “tumbled” after disappointing guidance. That reaction drove today’s share weakness despite revenue beats. Investing.com
• Negative Sentiment: Insider selling: CEO Miles Patrick recently sold ~100,000 shares (~$2.1M), which some investors interpret as a negative signal on near‑term conviction and may have added pressure to the move lower. Motley Fool

Analysts Set New Price Targets

A number of brokerages have recently commented on ATEC. Needham & Company LLC reissued a “buy” rating and set a $22.00 price objective on shares of Alphatec in a research report on Monday. Weiss Ratings reiterated a “sell (e+)” rating on shares of Alphatec in a research note on Monday, December 29th. Wells Fargo & Company increased their price objective on shares of Alphatec from $14.00 to $16.00 and gave the company an “overweight” rating in a research report on Thursday, October 16th. Stifel Nicolaus initiated coverage on shares of Alphatec in a report on Tuesday, October 28th. They issued a “buy” rating and a $20.00 price objective on the stock. Finally, Wall Street Zen upgraded shares of Alphatec from a “hold” rating to a “buy” rating in a research note on Saturday, January 3rd. Nine research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has an average rating of “Moderate Buy” and a consensus price target of $22.82.

Alphatec Price Performance

The company has a current ratio of 1.99, a quick ratio of 1.24 and a debt-to-equity ratio of 43.02. The stock has a market capitalization of $2.67 billion, a price-to-earnings ratio of -17.28 and a beta of 1.01. The company’s 50 day moving average is $20.74 and its 200 day moving average is $16.42.

Alphatec (NASDAQ:ATEC) last announced its earnings results on Thursday, October 30th. The medical technology company reported $0.03 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.09. The firm had revenue of $196.50 million during the quarter, compared to analyst estimates of $182.78 million. The firm’s revenue for the quarter was up 30.4% compared to the same quarter last year. During the same period last year, the company earned ($0.28) earnings per share. Research analysts anticipate that Alphatec Holdings, Inc. will post -1.08 EPS for the current fiscal year.

Insider Activity

In other Alphatec news, major shareholder Squadron Capital Llc sold 250,000 shares of Alphatec stock in a transaction on Wednesday, November 12th. The shares were sold at an average price of $20.80, for a total value of $5,200,000.00. Following the transaction, the insider directly owned 11,145,045 shares in the company, valued at approximately $231,816,936. The trade was a 2.19% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, major shareholder Jennifer N. Pritzker sold 250,000 shares of the stock in a transaction dated Wednesday, November 12th. The stock was sold at an average price of $20.80, for a total transaction of $5,200,000.00. Following the sale, the insider owned 11,145,045 shares of the company’s stock, valued at $231,816,936. This trade represents a 2.19% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold 3,403,342 shares of company stock valued at $69,816,381 in the last ninety days. 22.80% of the stock is currently owned by company insiders.

Institutional Trading of Alphatec

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vanguard Group Inc. raised its stake in shares of Alphatec by 2.4% during the third quarter. Vanguard Group Inc. now owns 6,815,058 shares of the medical technology company’s stock worth $99,091,000 after purchasing an additional 158,295 shares during the last quarter. American Century Companies Inc. increased its stake in Alphatec by 2.6% in the 3rd quarter. American Century Companies Inc. now owns 6,336,491 shares of the medical technology company’s stock valued at $92,133,000 after buying an additional 159,330 shares during the period. Geode Capital Management LLC raised its position in Alphatec by 7.4% during the 2nd quarter. Geode Capital Management LLC now owns 2,697,541 shares of the medical technology company’s stock worth $29,946,000 after buying an additional 185,297 shares during the last quarter. Next Century Growth Investors LLC raised its position in Alphatec by 22.8% during the 2nd quarter. Next Century Growth Investors LLC now owns 2,060,735 shares of the medical technology company’s stock worth $22,874,000 after buying an additional 382,057 shares during the last quarter. Finally, Two Sigma Investments LP lifted its stake in shares of Alphatec by 59.0% in the 3rd quarter. Two Sigma Investments LP now owns 1,794,324 shares of the medical technology company’s stock worth $26,089,000 after acquiring an additional 665,634 shares during the period. 66.35% of the stock is owned by hedge funds and other institutional investors.

About Alphatec

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.