OrthoPediatrics Corp is a medical device company... Show more
OrthoPediatrics Corp. is a medical device company devoted exclusively to pediatric orthopedics. Founded in 2006 and headquartered in Warsaw, Indiana, the company designs, develops, and markets anatomically appropriate implants, instruments, and braces for children with orthopedic conditions, including trauma, deformity, and scoliosis. It distributes roughly 80 surgical and specialized bracing systems through a dedicated sales force across the United States and a growing international footprint.
The company's so-called innovation "super cycle" has become central to its growth narrative, with recent launches such as the 3P Hip plating system, the Traxeo and VerteGlide systems, and an expanding pediatric nailing portfolio. Its OrthoPediatrics Specialty Bracing (OPSB) franchise, which has grown to more than 60 clinics and 34 systems, targets non-surgical treatment, broadening the addressable market. Investors follow KIDS for its niche leadership in an underserved segment, its double-digit revenue growth, and its progress toward sustained profitability and free cash flow.
Over the last 30 days, KIDS advanced roughly 23%, from a closing price near $22.58 to approximately $27.75. Most of that move was concentrated in the period immediately following the company's third-quarter earnings release on October 27, 2026, which triggered a sharp intraday rally that carried shares to fresh multi-year highs.
The quarterly trend is even stronger. Over the last three months, the stock has risen approximately 40%, from a level near $19.84 in late July to its current price. The shares began a sustained upward trend in early August and have since broken above prior trading ranges. In short, the 30-day gain represents an acceleration of a multi-month uptrend rather than an isolated event.
The primary catalyst was the company's third-quarter 2026 results. OrthoPediatrics reported record revenue of $72.7 million, up 19% from $61.2 million a year earlier and above analyst consensus estimates. U.S. revenue rose 19% to $57.9 million, while international revenue increased 18% to $14.8 million, with Trauma & Deformity and Scoliosis both posting strong growth.
Management lifted full-year 2026 revenue guidance to a range of $270 million to $273 million, up from a prior range of $265 million to $269 million, implying 14% to 16% growth. Profitability also improved: adjusted EBITDA reached a record $6.9 million, and free cash flow turned positive at $1.6 million, compared with a $3.4 million outflow in the prior-year quarter.
Additional catalysts reinforced the move. The company announced FDA 510(k) clearance of its PNP Femur Retrograde Nail System and completed its first implantations, expanding its pediatric nailing platform. Analysts responded favorably, with Piper Sandler raising its price target to $30 from $25 and maintaining an Overweight rating. Collectively, these developments improved investor sentiment around the company's growth and margin trajectory.
The broader quarterly rally began in early August, when second-quarter results beat expectations and sparked a re-rating of the shares. Since then, a series of analyst price-target increases—including moves from Needham and BTIG—has supported the advance, alongside progress on the company's innovation super cycle.
Strategic activity also shaped the multi-month trend. OrthoPediatrics completed acquisitions, including The Spinecorporation Limited in July 2026, aimed at broadening its product portfolio and addressable market. Steady contributions from the OPSB bracing franchise and ramping adoption of new implant systems reinforced the view that the company can sustain double-digit revenue growth while improving operating leverage. The combination of top-line momentum, better profitability, and expanding institutional interest underpinned the stock's roughly 40% gain over the quarter.
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Looking ahead, the key factor will be execution against the company's raised full-year guidance and its ability to sustain double-digit revenue growth. Investors should monitor the ramp of new "super cycle" products, including the 3P plating platform and the pediatric nailing systems, as these move from limited to full commercial launches.
Profitability metrics will remain in focus, particularly the company's stated goal of reaching positive free cash flow in 2027 and continued expansion of adjusted EBITDA. The growth of the OPSB bracing clinics and international market penetration are additional demand drivers to track. On the risk side, elevated sales and marketing spending, ongoing insider selling, and broader macroeconomic factors affecting hospital procedure volumes and med-tech valuations could influence sentiment. These considerations, rather than near-term price swings, are likely to shape the stock's longer-term direction.
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The 10-day moving average for KIDS crossed bullishly above the 50-day moving average on October 26, 2026. This indicates that the trend has shifted higher and could be considered a buy signal. In 17 of 18 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are 90%.
The Momentum Indicator moved above the 0 level on October 20, 2026. You may want to consider a long position or call options on KIDS as a result. In 63 of 81 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are 78%.
The Moving Average Convergence Divergence (MACD) for KIDS just turned positive on October 20, 2026. Looking at past instances where KIDS's MACD turned positive, the stock continued to rise in 28 of 40 cases over the following month. The odds of a continued upward trend are 70%.
KIDS moved above its 50-day moving average on October 20, 2026 date and that indicates a change from a downward trend to an upward trend.
Following a +10.12% 3-day Advance, the price is estimated to grow further. Considering data from situations where KIDS advanced for three days, in 216 of 283 cases, the price rose further within the following month. The odds of a continued upward trend are 76%.
The Aroon Indicator entered an Uptrend today. In 80 of 130 cases where KIDS Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are 62%.
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 9 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 14 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where KIDS declined for three days, the price rose further in 50 of 62 cases within the following month. The odds of a continued downward trend are 82%.
KIDS broke above its upper Bollinger Band on October 28, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Tickeron Valuation Rating of 14 (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.413) is normal, around the industry mean (4.142). P/E Ratio (-18.905) is within average values for comparable stocks, (3.291). Projected Growth (PEG Ratio) (0.000) is also within normal values, averaging (11.253). Dividend Yield (0.000) settles around the average of (0.011) among similar stocks. P/S Ratio (2.175) is also within normal values, averaging (40.124).
The Tickeron Price Growth Rating for this company is 34 (best 1 - 100 worst), indicating steady price growth. KIDS’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is 94 (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is 94 (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Profit vs. Risk Rating rating for this company is 100 (best 1 - 100 worst), indicating that the returns do not compensate for the risks. KIDS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 94, placing this stock worse than average.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of orthopedic devices
Industry MedicalNursingServices