Alphatec Holdings Inc. Common Stock (ATEC)

FairStock Score: 41/100 — MIXED

Key Financials

Strengths

• Generates $55 million in annual free cash flow (3.5% yield on market cap)
• Revenue growth of 20.4% demonstrates strong top-line momentum

Concerns

• High leverage at 33.03x debt-to-equity increases financial risk and interest expense burden
• Currently unprofitable—sustained losses could lead to dilutive capital raises or balance sheet deterioration
• Altman Z-Score of -0.7 places it in the financial distress zone—elevated bankruptcy risk

AI Analysis

Alphatec Holdings Inc. Common Stock is a micro-cap healthcare company valued at $1.6 billion. Revenue stands at $787 million, though the company is currently unprofitable. From a quality standpoint, Alphatec shows solid Piotroski F-Score of 6/9 and distressed Altman Z-Score of -0.7 warrants caution. On valuation, the stock is 0.4% FCF yield. Growth dynamics show revenue growing at 20.4% and profit growth of 34.8%. Our composite FairStock Score of 41/100 reflects below-average fundamentals overall. Without profitability, this remains speculative—suitable only for those with high risk tolerance and a long time horizon.

Bull Case

Alphatec's 20% revenue growth trajectory could accelerate as it captures additional market share in the healthcare sector. With $55 million in annual free cash flow (3.5% yield), management has ample capital for buybacks, dividends, or accretive acquisitions.

Bear Case

Without a clear path to profitability, continued cash burn forces either dilutive equity raises or debt accumulation that destroys shareholder value. Regulatory changes, input cost inflation, or demand normalization represent underappreciated risks that could materially impact forward estimates.

Data from SEC filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer