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The YouTuber notes Alphatec Holdings' strong growth in spinal surgery technology, taking market share and launching new products. While revenue growth is strong and profitability is improving, the company is still investing heavily in R&D, leading to significant negative investing and operational cash flow. With only $81 million in cash on hand, he believes the company will need to raise additional capital through dilutive debt or convertible offerings, making it a risky investment despite its potential.
“the cash on hand here of $81 million isn't enough to cover the company and it's going to have to raise cash through debt probably a dilutive convertible as it grows”