MeritValue

Alphatec Holdings, Inc.

ATECdata completeness 100%17 fiscal years on file
The thesis, from the filings

Alphatec Holdings, Inc. earns about -14% on invested capital, but has diluted owners by 56% over 5 years — worth asking whether the growth reaches owners. The cash-flow models don't apply cleanly here — the ledger says why below.Whether it’s worth owning at today’s price is the last question — and yours to answer, below.

i. The business — what you’d actually own
FigureFY 2021FY 2022FY 2023FY 2024FY 2025
Revenue$243.2M1$350.9M2$482.3M3$611.6M3$764.2M3
Net income−$143M4−$151.3M5−$186.6M6−$162.1M6−$143.4M6
Operating cash flow−$73.3M7−$75.1M8−$78.5M9−$44.7M9$45.2M9
Capital expenditure$68.5M10$49.5M11$80.5M12$83.2M12$42.5M12
Free cash flow (derived)−$141.9M7−$124.6M8−$159M9−$127.9M9$2.78M9
Total debt$654M13$743.9M14$1.03B15$1.15B16$1.2B16
Cash & equivalents$187.2M17$84.7M18$221M19$138.8M20$160.8M20
Diluted shares96.2M103.4M121.2M142.9M150.1M

Superscripts are receipts. Each links to the SEC filing the number came from (full list at the bottom).

ii. Your slice — ownership made literal
If you owned
shares
Net assets behind them
$0.83
your share of equity
Profit it earned you last year
−$9.55
Free cash flow it threw off
$0.18
Debt you’d be carrying
$79.73

10 shares is a claim on $0.83 of net worth that earned you −$9.55 and generated $0.18 of cash last year, against $79.73 of debt.

iii. Is this a good business?
Moat signal · return on invested capital
-14% avg · 5y
FY21 -20%FY22 -19%FY23 -15%FY24 -11%FY25 -7%

It earned an average -14% on invested capital over 5 years. Compare that to what it costs to fund the business.

seeing a moat in the numbers →
Management signal · capital allocation
+56% shares · 5y

Share count is up 56% over 5 years — owners have been diluted. Worth asking what they got for it. Total debt has risen 83% over the same window.

reading capital allocation →

Signals, not verdicts — read from the filings above. Numbers don’t prove a moat; they show its footprint. You decide.

iv. What it’s worth — engine v0.1.0
DCF · Growth Exit 10Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
DCF · Growth Exit 5Y
not applicable
3y-median FCF non-positive — growth-exit DCF not applicable (see EPV)
Earnings Power Value
not applicable
normalized (5y-median) earnings non-positive — EPV undefined
Graham Number
not applicable
diluted EPS missing or non-positive — Graham Number undefined

Different models answer different questions — which to trust when →

Sources — the receipts
  1. 10-K · period ending 2021-12-31 · accession 0000950170-24-021302 (RevenueFromContractWithCustomerIncludingAssessedTax)
  2. 10-K · period ending 2022-12-31 · accession 0000950170-25-027916 (RevenueFromContractWithCustomerIncludingAssessedTax)
  3. 10-K · period ending 2023-12-31 · accession 0001193125-26-067393 (RevenueFromContractWithCustomerIncludingAssessedTax)
  4. 10-K · period ending 2021-12-31 · accession 0000950170-24-021302 (NetIncomeLoss)
  5. 10-K · period ending 2022-12-31 · accession 0000950170-25-027916 (NetIncomeLoss)
  6. 10-K · period ending 2023-12-31 · accession 0001193125-26-067393 (NetIncomeLoss)
  7. 10-K · period ending 2021-12-31 · accession 0000950170-24-021302 (NetCashProvidedByUsedInOperatingActivities)
  8. 10-K · period ending 2022-12-31 · accession 0000950170-25-027916 (NetCashProvidedByUsedInOperatingActivities)
  9. 10-K · period ending 2023-12-31 · accession 0001193125-26-067393 (NetCashProvidedByUsedInOperatingActivities)
  10. 10-K · period ending 2021-12-31 · accession 0000950170-24-021302 (PaymentsToAcquirePropertyPlantAndEquipment)
  11. 10-K · period ending 2022-12-31 · accession 0000950170-25-027916 (PaymentsToAcquirePropertyPlantAndEquipment)
  12. 10-K · period ending 2023-12-31 · accession 0001193125-26-067393 (PaymentsToAcquirePropertyPlantAndEquipment)
  13. 10-K · period ending 2021-12-31 · accession 0000950170-23-005175 (LongTermDebtNoncurrent)
  14. 10-K · period ending 2022-12-31 · accession 0000950170-24-021302 (LongTermDebtNoncurrent)
  15. 10-K · period ending 2023-12-31 · accession 0000950170-25-027916 (LongTermDebtNoncurrent)
  16. 10-K · period ending 2024-12-31 · accession 0001193125-26-067393 (LongTermDebtNoncurrent)
  17. 10-K · period ending 2021-12-31 · accession 0000950170-23-005175 (CashAndCashEquivalentsAtCarryingValue)
  18. 10-K · period ending 2022-12-31 · accession 0000950170-24-021302 (CashAndCashEquivalentsAtCarryingValue)
  19. 10-K · period ending 2023-12-31 · accession 0000950170-25-027916 (CashAndCashEquivalentsAtCarryingValue)
  20. 10-K · period ending 2024-12-31 · accession 0001193125-26-067393 (CashAndCashEquivalentsAtCarryingValue)