Forensic Analysis · Medical Devices · as of Nov 9, 2026
Alphatec Holdings, Inc. (ATEC)
A forensic read on Alphatec Holdings, Inc. built from its complete SEC filings — financial-health screens, earnings quality, red flags and a price-aware rating. Reproducible math, not opinion.
D · Weak — demands caution
Forensic grade
Distress
Financial health
-4.6
Distress distance
Clean
Earnings quality
3
Forensic signals
25.0%
Revenue growth
This free snapshot doesn't read filing or proxy text, so the auditor-quality and governance checks that can lower a grade were not evaluated (auditor quality, say on pay, board independence, going concern). Those checks only ever lower a grade, so the full analysis can land below the grade above but never above it — treat it as the most favourable reading, not the settled one.
Alphatec Holdings, Inc. earns a D (Weak — demands caution) forensic quality grade, and its balance-sheet distress test reads -4.6, placing it in the Distress zone. 3 forensic signals were flagged in its latest SEC filings, led by return on invested capital.
What the filings flag
-13.5%
FY2025
Return on invested capital.Return on invested capital is -13.5% in the latest fiscal year and rising across FY2023–FY2025 from -32.0%. After-tax operating profit was ($137M) in FY2023 and ($65M) in FY2025, with operating income at -36.0% of revenue in FY2023, -22.3% in FY2024 and -10.7% in FY2025. The capital base behind it grew +12% across FY2023–FY2025, from $428M to $481M, and the return did not fall doing it, so the dollars added over that window earned at least the -32.0% the older base was already earning.
+11.3%/yr
FY2023–FY2025
Share-count dilution.Diluted share count changed +24% over the last 2 years to FY2025 (+11.3%/yr). The count is growing — 121.2M shares in FY2023, 150.1M in FY2025: more stock was issued than repurchased over this window, so aggregate results grew faster than their per-share equivalents. That's ~11.3% shaved off per-share growth every year — total profit has to grow that much just to keep earnings-per-share flat, and a stake held since FY2023 has been diluted ~19%.
10% of rev
FY2025
Stock-based comp load.Stock-based compensation ran 10% of revenue and 2656% of free cash flow in FY2025 — about $0.49 per diluted share. No cash left the business to pay it, which is why operating cash flow adds it back. Net of repurchases the diluted count still rose about 11.3% a year across FY2023–FY2025, and the rate is falling. Stock compensation is one source of that issuance; acquisition consideration, equity raises, convertibles and other employee plans also net into the count, and these figures do not separate them.
Key fundamentals
Latest Revenue$764.2M
Revenue Growth YoY+25.0%
Revenue CAGR (2yr)+25.9%
Net Margin-18.8%
Free Cash Flow$2.8M
The forensic grade and screens above are free — no account needed. Want the AI investment read on top — the 0–100 rating, thesis, bull-vs-bear, red flags and the 12-month scenario, written from Alphatec Holdings, Inc.'s actual 10-K/10-Q/8-K filings?