NasdaqGS:ATEC

Stock Analysis Report

Executive Summary

Alphatec Holdings, Inc., a medical technology company, designs, develops, and markets products for the surgical treatment of spine disorders.

Snowflake

Fundamentals

Imperfect balance sheet with concerning outlook.


Similar Companies

Share Price & News

How has Alphatec Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

9.7%

ATEC

-1.6%

US Medical Equipment

0.07%

US Market


1 Year Return

91.2%

ATEC

13.8%

US Medical Equipment

8.9%

US Market

Return vs Industry: ATEC exceeded the US Medical Equipment industry which returned 13.8% over the past year.

Return vs Market: ATEC exceeded the US Market which returned 8.9% over the past year.


Shareholder returns

ATECIndustryMarket
7 Day9.7%-1.6%0.07%
30 Day3.3%-4.3%-0.3%
90 Day16.9%-4.3%-1.6%
1 Year91.2%91.2%14.7%13.8%11.3%8.9%
3 Year-6.4%-6.4%70.7%65.6%46.3%36.8%
5 Year-67.9%-67.9%117.3%93.5%62.1%44.3%

Price Volatility Vs. Market

How volatile is Alphatec Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Alphatec Holdings undervalued compared to its fair value and its price relative to the market?

19.7x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ATEC's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ATEC's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ATEC is unprofitable, so we can't compare its PE Ratio to the Medical Equipment industry average.

PE vs Market: ATEC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ATEC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ATEC is overvalued based on its PB Ratio (19.7x) compared to the US Medical Equipment industry average (3.7x).


Next Steps

Future Growth

How is Alphatec Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

57.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATEC is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ATEC is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ATEC is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ATEC's revenue (18.2% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: ATEC's revenue (18.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if ATEC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Alphatec Holdings performed over the past 5 years?

22.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: ATEC is unprofitable, but has reduced losses over the past 5 years at a rate of 22% per year.

Accelerating Growth: Unable to compare ATEC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ATEC is unprofitable, making it difficult to compare its past year earnings growth to the Medical Equipment industry (28.2%).


Return on Equity

High ROE: ATEC has a negative Return on Equity (-119.72%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: ATEC is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: ATEC is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Alphatec Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: ATEC's short term assets ($75.9M) exceeds its short term liabilities ($31.0M)

Long Term Liabilities: ATEC's short term assets (75.9M) exceeds its long term liabilities (64.7M)


Debt to Equity History and Analysis

Debt Level: ATEC's debt to equity ratio (131.5%) is considered high

Reducing Debt: ATEC's debt to equity ratio has increased from 40.1% to 131.5% over the past 5 years.


Balance Sheet

Inventory Level: ATEC has a high level of physical assets or inventory.

Debt Coverage by Assets: ATEC's debt is covered by short term assets (assets are 1.5x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ATEC has less than a year of cash runway based on its current free cash flow.

Forecast Cash Runway: ATEC has less than a year of cash runway if free cash flow continues to reduce at historical rates of -39.8% each year


Next Steps

Dividend

What is Alphatec Holdings's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate ATEC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate ATEC's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if ATEC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ATEC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ATEC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of Alphatec Holdings's salary, the management and board of directors tenure and is there insider trading?

1.6yrs

Average management tenure


CEO

Pat Miles (53yo)

1.6yrs

Tenure

US$3,176,253

Compensation

Mr. Patrick S. Miles, also known as Pat, has been an Executive Chairman of Alphatec Holdings, Inc since October 1, 2017 and its Chief Executive Officer since March 06, 2018 and also serves as its President ...


CEO Compensation Analysis

Compensation vs. Market: Pat has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

Compensation vs Earnings: Pat's compensation has been consistent with company performance over the past year.


Management Age and Tenure

1.6yrs

Average Tenure

50yo

Average Age

Experienced Management: ATEC's management team is not considered experienced ( 1.6 years average tenure), which suggests a new team.


Board Age and Tenure

4.5yrs

Average Tenure

66yo

Average Age

Experienced Board: ATEC's board of directors are considered experienced (4.5 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$9,89014 Mar 19
Donald Williams
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares4,000
Max PriceUS$2.47
BuyUS$258,93013 Mar 19
Kelli Howell
EntityIndividual
Role
Senior Key Executive
Executive Vice President of Clinical Strategies
Shares100,000
Max PriceUS$2.59
BuyUS$53,21713 Mar 19
Evan Bakst
EntityIndividual
Shares20,566
Max PriceUS$2.59

Ownership Breakdown


Management Team

  • Pat Miles (53yo)

    Executive Chairman

    • Tenure: 1.6yrs
    • Compensation: US$3.18m
  • Jeff Black (50yo)

    Executive VP & CFO

    • Tenure: 2.6yrs
    • Compensation: US$926.93k
  • Craig Hunsaker (55yo)

    Executive VP of People & Culture

    • Tenure: 2.6yrs
    • Compensation: US$1.00m
  • Luiz Pimenta

    Chief Medical Officer

    • Tenure: 1.6yrs
  • Mark Ojeda

    Executive Vice President of Cervical & Biologics

    • Tenure: 1.1yrs
  • Jon Allen (59yo)

    Executive Vice President of Commercial Operations

    • Tenure: 2.8yrs
  • Brian Snider (41yo)

    Executive Vice President of Marketing & Development

    • Tenure: 2.6yrs
  • Kelli Howell (45yo)

    Executive Vice President of Clinical Strategies

    • Tenure: 1.6yrs
  • Dave Sponsel (40yo)

    Executive Vice President of Sales

    • Tenure: 0.5yrs
  • Eric Dasso

    Executive Vice President of Adjunctive Technologies

    • Tenure: 0.2yrs

Board Members

  • Ward Woods (76yo)

    Independent Director

    • Tenure: 2yrs
    • Compensation: US$154.10k
  • Tim Berkowitz (66yo)

    Lead Director

    • Tenure: 2yrs
  • Stephen Hochschuler (76yo)

    Chairman of Scientific Advisory Board

    • Tenure: 14yrs
    • Compensation: US$42.42k
  • Pat Miles (53yo)

    Executive Chairman

    • Tenure: 1.6yrs
    • Compensation: US$3.18m
  • James Yue

    Member of Scientific Advisory Board

    • Tenure: 0yrs
  • Frank Phillips

    Member of Scientific Advisory Board

    • Tenure: 0yrs
  • Frank Eismont

    Member of Scientific Advisory Board

    • Tenure: 0yrs
  • Bret Abshire

    Member of Scientific Advisory Board

    • Tenure: 13.1yrs
  • J. Johnson

    Member of Scientific Advisory Board

    • Tenure: 12.7yrs
  • Don Williams (60yo)

    Independent Director

    • Tenure: 4.5yrs
    • Compensation: US$92.87k

Company Information

Alphatec Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Alphatec Holdings, Inc.
  • Ticker: ATEC
  • Exchange: NasdaqGS
  • Founded: 1990
  • Industry: Health Care Equipment
  • Sector: Healthcare
  • Market Cap: US$354.535m
  • Shares outstanding: 60.19m
  • Website: https://www.atecspine.com

Number of Employees


Location

  • Alphatec Holdings, Inc.
  • 5818 El Camino Real
  • Carlsbad
  • California
  • 92008
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATECNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDJun 2006
L1Z1DB (Deutsche Boerse AG)YesCommon SharesDEEURJun 2006

Biography

Alphatec Holdings, Inc., a medical technology company, designs, develops, and markets products for the surgical treatment of spine disorders. The company offers MIS products consisting of Battalion Lateral ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/23 23:50
End of Day Share Price2019/10/23 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.