OrthoPediatrics Corp. (KIDS) — RQD Stock Rating Cockpit

Per the Roarable RQD rating, KIDS scores 50 out of 100, earning a letter grade of D and a verdict of "Roarable Sell — Underperform / Distribution Warning." The five pillars break down as follows:

• Fundamental Cash Engine: 9 / 20. The rating cites ROIC of -7.3% and FCF yield of -1.94%. Both figures indicate the business is not currently generating returns on capital or free cash flow relative to its market value. This is the weakest pillar in relative terms and the main reason the overall score sits in the D range.
• Whale 13F Flow: 16 / 20. The rating reads this as institutional accumulation and options positioning. This is the strongest pillar and the one most supportive of the stock, though the source data does not itemize the underlying 13F holdings, so the magnitude of accumulation cannot be verified here.
• Insider Conviction: 3 / 20. The rating cites SEC Form 4 and Congressional PTR cluster flow. This is the lowest pillar, suggesting insider and congressional activity is not offering a supportive signal. The transaction detail is not provided in the source data.
• Macro Regime Fit: 10 / 20. The rating cites Beta of 1.0 and sector sensitivity. A beta of 1.0 means the stock is expected to move broadly in line with the market, offering neither defensive protection nor amplified upside on a market-driven basis.
• Forensic Balance Sheet: 12 / 20. The rating cites Altman Z of 3, Piotroski F of 5/9, and Debt/Equity of 0.29. These are mid-range readings: the Debt/Equity ratio is modest, but the Piotroski score is neither strong nor weak.

For a prospective investor evaluating the stock today, the picture is mixed in a way that leans cautious. The fundamental and insider pillars carry the most weight against the stock, while institutional flow provides the main counterpoint. The 52-week range of $14.42 to $32.62 places the current price of $31.52 near the top of that band, which means much of the recent price appreciation is already reflected in the quote, and the cash-flow metrics do not yet justify it on a fundamental basis. The rating is a scoring framework, not a recommendation, and the investor should weigh these pillar readings against their own research.

Per the SEC financials, revenue rose from $148.7M in FY 2023 to $236.3M in FY 2025, while operating losses persisted across all three periods. The market data reports a gross margin of 73.1%, an operating margin of -16.6%, and a net margin of -16.8%. Per the RQD rating, ROIC is -7.3% and the Forensic Balance Sheet pillar cites an Altman Z-Score of 3 and a Piotroski F-Score of 5/9. The source reports Debt/Equity of 0.29. Cash fell from $43.8M to $19.6M across FY 2024 to FY 2025 while debt rose from $73.0M to $99.8M.

• Guidance raise. Multiple headlines reference a raised 2026 revenue forecast and a stock climb after raising guidance. One headline cites "nearly 42,000 children" helped in one quarter. These are classified as CATALYST items.
• Fair value lift. A headline references a fair value lift after higher growth and new product wins. This is classified as a CATALYST item and is sourced from Yahoo Finance.
• Q3 loss with revenue beat. A headline reports a Q3 loss while topping revenue estimates. This is classified as a RISK WATCH item, reflecting the continuing unprofitability.
• Analyst fair value reference. A Simply Wall St headline references a fair value figure of US$30.75 derived from analyst views, which sits slightly below the current price of $31.52.
• The source data includes no proprietary butterfly signals; the Butterfly Supply-Chain Graph lists no links and no signals.

• What are the company's specific products, customers, and revenue drivers, given that the source describes the business only at the sector and industry level?
• What are the current consensus rating and price targets, since the analyst data section is empty?
• What are the specific SEC Form 4 insider transactions and 13F institutional holdings behind the Whale and Insider pillar scores?
• What is the reported EPS, P/E, and EBITDA-based valuation, given these fields are not available in the source data?
• What is the reason for the decline in cash from $43.8M to $19.6M alongside rising debt, and what is the company's stated plan for funding operating losses?