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ATEC Alphatec-38.1%Stock moveEarnings and guidance

Alphatec Stock Plunges 38% After Third-Quarter Revenue Falls Short of Company's Expectations

Chairman and CEO Pat Miles blamed lower biologics attachment, while Needham kept its Buy rating and cut its price target to $12 from $14.

By Zintick Team · Editor: Kratik Mehta
Published

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Photo: Juice Verve/Shutterstock.com

Key points

  • Shares fell 38.1% Friday after Q3 revenue fell short of company expectations, mainly on lower biologics attachment
  • Q3 revenue $221 million, up 13% year over year; surgical revenue up 14% to $202 million
  • Net loss narrowed to $5.5 million from $28.6 million a year earlier
  • Needham kept Buy rating and cut its price target to $12 from $14

Alphatec Holdings (Nasdaq: ATEC) shares fell 38.1% on Friday, Oct. 30, 2026, closing at $7.04 against a previous close of $11.37, while the S&P 500 ETF (SPY) fell 1.77%. Volume was 10.5 times normal. The drop followed the spine-device maker's third-quarter results, which it released in an 8-K filed the previous afternoon.

Revenue fell short, the company said

In the press release attached to that filing, Chairman and Chief Executive Officer Pat Miles said third-quarter revenue "fell short of our expectations, primarily due to lower biologics attachment." Total revenue was $221 million, up 13% from a year earlier. Surgical revenue rose 14% to $202 million, and case volumes grew about 20%. Miles said improving biologics performance is now "a clear priority."

The net loss narrowed to $5.5 million from $28.6 million a year earlier. Operating income was $3.2 million, compared with a loss of $15.9 million. Free cash flow was $6 million in the quarter.

Full-year outlook and analyst view

For fiscal 2026 the company now expects total revenue of about $862 million, adjusted EBITDA of about $137 million and free cash flow of about $10 million. It ended the quarter with $79.9 million in cash and equivalents, against $541.7 million in long-term debt as of Sept. 30.

Before the open on Friday, Needham kept its Buy rating on Alphatec and lowered its price target to $12 from $14.

The press release did not give a specific reason for the size of the share decline.

Sources

Written with AI from SEC filings and market data, and checked against those sources before publishing. Our editorial standards.

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Filings, figures and price history are on the Alphatec page.