Orthofix Medical (NASDAQ:OFIX) Announces Earnings Results

Orthofix Medical (NASDAQ:OFIX) released its quarterly earnings results on Tuesday. The medical device company reported ($0.06) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.44 by ($0.50), FiscalAI reports. The firm had revenue of $219.91 million for the quarter, compared to the consensus estimate of $218.72 million. Orthofix Medical had a negative net margin of 14.56% and a negative return on equity of 25.59%.

Here are the key takeaways from Orthofix Medical’s conference call:

• We delivered another quarter of margin expansion with Q4 Adjusted EBITDA of $29.2M (13.4%), strong free cash flow in the quarter ($16.8M), and 2026 guidance of $850M–$860M in net sales and $95M–$98M in Adjusted EBITDA (≈5.5% organic growth at the midpoint).
• The spine commercial channel optimization is largely complete, with top 30 U.S. distributor partners up ~25% in Q4 (27% TTM), and the planned H2 2026 full market release of VIRATA positioned as a multi-year growth catalyst in the $2B U.S. pedicle screw market.
• Orthopedics businesses show momentum — U.S. Limb Reconstruction was up 8% in Q4 (16% for the year) after a strategic rebrand and portfolio focus, and Bone Growth Therapies outperformed peers with Q4 growth of 7% and is expected to grow above market in 2026.
• Management extended its long-range plan by one year to 2028 because the timing of commercial benefits from the spine channel optimization shifted, and guidance excludes potential legal settlements (an accrual was taken in Q3), which creates uncertainty for free cash flow timing and magnitude.

Orthofix Medical Stock Performance

OFIX opened at $12.75 on Wednesday. The stock’s 50 day simple moving average is $14.22 and its 200-day simple moving average is $14.72. The company has a current ratio of 2.47, a quick ratio of 1.38 and a debt-to-equity ratio of 0.39. The stock has a market cap of $504.90 million, a PE ratio of -4.21 and a beta of 0.78. Orthofix Medical has a 1 year low of $10.24 and a 1 year high of $20.48.

Orthofix Medical News Roundup

Here are the key news stories impacting Orthofix Medical this week:

• Positive Sentiment: Revenue roughly met expectations: Q4 net sales were about $219.9M, essentially in line with consensus — this limits the downside from a top‑line perspective. Orthofix Reports Fourth Quarter and Full-Year 2025 Financial Results and Provides 2026 Financial Guidance
• Positive Sentiment: Management provided FY2026 revenue guidance ($850M–$860M) and updated three‑year targets, giving investors forward visibility on the plan to normalize operations after product-line changes. Orthofix Reports Fourth Quarter and Full-Year 2025 Financial Results and Provides 2026 Financial Guidance
• Neutral Sentiment: Investor materials and the earnings‑call slide deck are available for deeper detail on margin drivers and the discontinuation of the M6 product lines (pro forma figures exclude that impact). Analysts and investors will parse adjustments and one‑time items. Q4 Slide Deck / Press Release
• Negative Sentiment: EPS missed expectations: reported earnings missed the consensus materially (company disclosed negative or well‑below consensus EPS in several reports), highlighting continued profitability pressure and influencing the selloff. Orthofix (OFIX) Q4 Earnings and Revenues Lag Estimates
• Negative Sentiment: Management extended the timeline for achieving its 6.5%–7.5% sales CAGR through 2028 as channel optimization “matures,” which signals slower near‑term growth than previously expected and likely weighed on investor sentiment. Orthofix extends timeline for 6.5%-7.5% sales CAGR through 2028 as channel

Analyst Ratings Changes

Several equities analysts recently weighed in on OFIX shares. TD Cowen initiated coverage on Orthofix Medical in a research report on Tuesday, January 27th. They set a “hold” rating and a $14.00 price objective for the company. Barrington Research reaffirmed an “outperform” rating and issued a $18.00 price target on shares of Orthofix Medical in a research report on Tuesday, February 17th. Stifel Nicolaus assumed coverage on Orthofix Medical in a report on Tuesday, October 28th. They set a “buy” rating and a $22.00 price target for the company. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Orthofix Medical in a research note on Thursday, January 22nd. Four equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $20.00.

Insiders Place Their Bets

In other news, CEO Massimo Calafiore sold 9,797 shares of the firm’s stock in a transaction dated Monday, January 12th. The shares were sold at an average price of $15.21, for a total transaction of $149,012.37. Following the completion of the transaction, the chief executive officer directly owned 217,237 shares of the company’s stock, valued at approximately $3,304,174.77. This trade represents a 4.32% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO Julie Andrews sold 4,873 shares of Orthofix Medical stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $14.38, for a total transaction of $70,073.74. Following the sale, the chief financial officer owned 58,039 shares in the company, valued at approximately $834,600.82. This trade represents a 7.75% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 24,270 shares of company stock worth $370,958 in the last quarter. Corporate insiders own 1.30% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in OFIX. Paradigm Capital Management Inc. NY boosted its holdings in Orthofix Medical by 34.6% during the second quarter. Paradigm Capital Management Inc. NY now owns 3,340,600 shares of the medical device company’s stock valued at $37,248,000 after purchasing an additional 858,900 shares in the last quarter. Millennium Management LLC lifted its position in shares of Orthofix Medical by 86.6% during the 3rd quarter. Millennium Management LLC now owns 1,475,718 shares of the medical device company’s stock worth $21,605,000 after buying an additional 684,850 shares during the period. Bank of America Corp DE lifted its position in shares of Orthofix Medical by 659.5% during the 2nd quarter. Bank of America Corp DE now owns 687,410 shares of the medical device company’s stock worth $7,665,000 after buying an additional 596,907 shares during the period. Arrowstreet Capital Limited Partnership boosted its stake in Orthofix Medical by 1,670.1% in the 3rd quarter. Arrowstreet Capital Limited Partnership now owns 310,645 shares of the medical device company’s stock valued at $4,548,000 after buying an additional 293,095 shares in the last quarter. Finally, Qube Research & Technologies Ltd grew its position in Orthofix Medical by 179.4% in the second quarter. Qube Research & Technologies Ltd now owns 163,192 shares of the medical device company’s stock valued at $1,820,000 after acquiring an additional 104,778 shares during the period. Institutional investors and hedge funds own 89.76% of the company’s stock.

About Orthofix Medical

Orthofix Medical Inc (NASDAQ: OFIX) is a global medical device company focused on the design and development of innovative orthopedic and spinal solutions. The company’s core business is divided into two segments: spine and orthopedics. In the spine segment, Orthofix offers a range of titanium implants, biologics and portable bone growth stimulation devices designed to support spinal fusion, deformity correction and minimally invasive procedures. Its orthopedic segment encompasses products for fracture fixation, external fixation systems, trauma care and sports medicine, providing surgeons with implantable devices and instruments for complex bone reconstruction and healing.

Orthofix’s product portfolio includes strut systems, bone growth stimulators, interbody fusion devices and fixation hardware that address various indications such as degenerative disc disease, spinal deformities, non-unions and long-bone fractures.