Staar Surgical (STAA) AI Stock Analysis

• Market Cap: $1.25B
• Dividend Yield: N/A
• Average Volume (3M): 1.07M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.92
• Revenue Growth: -32.42%
• EPS Growth: -540.37%
• Country: US
• Employees: 1,157
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Instruments & Supplies
• EPS (TTM): 0.34
• Shares Outstanding: 49,354,122
• 10 Day Avg. Volume: 966,954
• 30 Day Avg. Volume: 1,071,388
• PEG Ratio: 0.30
• Price to Book (P/B): 2.99
• Price to Sales (P/S): 3.79
• P/FCF Ratio: -155.08
• Enterprise Value/Market Cap: 0.00
• Enterprise Value/Revenue: 0.00
• Enterprise Value/Gross Profit: 0.00
• Enterprise Value/Ebitda: 0.00
• 1Y Price Target: $28.00
• Price Target Upside: 10.89% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 50 Neutral
• Price Target: $27.00 ▲(6.93% Upside)

Staar Surgical's overall stock score is primarily impacted by its financial performance and valuation concerns. The company's declining revenue and profitability, coupled with a negative P/E ratio, highlight significant operational and valuation challenges. Technical analysis provides a neutral outlook, with no strong momentum indicators. The absence of earnings call data and corporate events leaves some uncertainty about future strategic directions.

Positive Factors

Partnership with Alcon

The merger with Alcon could strengthen Staar Surgical's market position by leveraging Alcon's extensive distribution network and resources, potentially enhancing product reach and innovation capabilities.

Low Leverage

A low debt-to-equity ratio indicates conservative financial management, providing flexibility for future investments and reducing risk associated with interest obligations.

Free Cash Flow Growth

Improved free cash flow growth suggests better cash management and operational efficiency, which can support reinvestment in business growth and innovation.

Negative Factors

Declining Revenue Growth

A significant decline in revenue growth indicates challenges in market demand or competitive positioning, which could impact long-term profitability and market share.

Negative Profitability Metrics

Negative profitability metrics highlight operational inefficiencies and potential pricing pressures, which may require strategic adjustments to restore financial health.

Negative Operating Cash Flow

Negative operating cash flow suggests difficulties in generating sufficient cash from core operations, potentially limiting the ability to fund growth initiatives without external financing.

Staar Surgical Business Overview & Revenue Model

Company Description

Staar Surgical Company is a leading medical device company that specializes in the development, manufacture, and marketing of implantable lens products for the eye. Founded in 1982, Staar operates primarily in the ophthalmic sector, focusing on vision correction solutions for conditions such as cataracts and myopia. The company's flagship products include the Visian ICL (Implantable Collamer Lens) and the EVO Visian ICL, which are designed to provide a safe and effective alternative to traditional laser vision correction procedures.

How the Company Makes Money

Staar Surgical generates revenue primarily through the sale of its implantable lens products, which are sold to ophthalmic surgeons and healthcare providers. The company also earns income from related services, including training and support for medical professionals. Key revenue streams include direct sales of lenses and surgical instruments, as well as royalties from licensing agreements with other manufacturers. Staar Surgical has established significant partnerships with hospitals, clinics, and eye care professionals, which contribute to its market penetration and revenue growth. Additionally, the increasing prevalence of vision disorders and the growing demand for innovative vision correction solutions are critical factors driving Staar's earnings.

Staar Surgical Financial Statement Overview

Summary

Staar Surgical faces financial challenges with declining revenue growth and negative profitability metrics. Despite a stable balance sheet with low leverage, the income statement and cash flow statements highlight operational difficulties. The company must address these issues to improve financial health.

Income Statement

Staar Surgical's income statement reveals significant challenges, particularly in the TTM period. The company experienced a notable decline in revenue growth, with a negative growth rate of -19.59%. Profitability metrics such as the net profit margin and EBIT margin have turned negative, indicating operational difficulties. Historically, the company showed positive growth and margins, but recent performance suggests a downturn.

Balance Sheet

The balance sheet remains relatively stable, with a low debt-to-equity ratio of 0.12 in the TTM period, indicating conservative leverage. However, the return on equity has turned negative, reflecting the company's recent financial struggles. The equity ratio remains healthy, suggesting a solid capital structure despite recent profitability issues.

Cash Flow

Cash flow analysis shows mixed results. The TTM period indicates a significant improvement in free cash flow growth, yet operating cash flow remains negative, highlighting cash management challenges. The free cash flow to net income ratio is strong, suggesting efficient cash conversion, but the negative operating cash flow coverage ratio is a concern.

Breakdown	TTM	Dec 2024	Dec 2021	Dec 2018	Dec 2017	Dec 2016
Income Statement
Total Revenue	270.23M	313.90M	230.47M	123.95M	90.61M	82.43M
Gross Profit	207.17M	239.58M	178.64M	91.51M	64.28M	58.37M
EBITDA	-26.91M	-5.72M	36.98M	9.06M	-277.00K	-9.66M
Net Income	-16.87B	-20.21M	27.51M	4.97M	-2.14M	-12.13M
Balance Sheet
Total Assets	456.36M	509.52M	345.78M	167.34M	67.93M	65.44M
Cash, Cash Equivalents and Short-Term Investments	192.66M	230.49M	199.71M	103.88M	18.52M	14.00M
Total Debt	39.12M	38.74M	32.06M	5.34M	6.25M	6.82M
Total Liabilities	102.58M	112.19M	87.22M	34.91M	25.00M	27.54M
Stockholders Equity	353.78M	397.33M	258.56M	132.43M	42.94M	37.91M
Cash Flow
Free Cash Flow	-58.48M	-7.67M	30.32M	10.52M	1.81M	-2.16M
Operating Cash Flow	-65.19M	15.72M	43.96M	12.77M	2.85M	1.05M
Investing Cash Flow	30.51M	-59.22M	-13.64M	-2.25M	-1.05M	-3.21M
Financing Cash Flow	-2.89M	5.72M	17.79M	74.64M	2.44M	2.95M

Staar Surgical Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 25.25
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For STAA, the sentiment is Positive. The current price of 25.25 is below the 20-day moving average (MA) of 26.13, below the 50-day MA of 26.78, and above the 200-day MA of 21.18, indicating a neutral trend. The MACD of -0.18 indicates Positive momentum. The RSI at 52.29 is Neutral, neither overbought nor oversold. The STOCH value of 34.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for STAA.

Staar Surgical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COO	72 Outperform	$13.69B	33.97	5.01%	―	6.35%	12.94%
HOLX	69 Neutral	$16.52B	29.86	11.12%	―	1.74%	-25.29%
STVN	64 Neutral	$6.82B	46.69	9.55%	0.25%	5.95%	7.73%
MASI	56 Neutral	$7.63B	―	-17.93%	―	-16.03%	-813.48%
BLCO	56 Neutral	$5.57B	―	-4.69%	―	6.23%	17.53%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
STAA	50 Neutral	$1.25B	―	-24.65%	―	-32.42%	-540.37%

Staar Surgical Corporate Events

Staar Surgical Postpones Stockholders Meeting Amid Merger Talks

On October 27, 2025, STAAR Surgical announced the postponement of its special meeting of stockholders, originally scheduled for November 6, 2025, to December 3, 2025, due to ongoing discussions with Alcon regarding a merger agreement. The new record date for voting eligibility is October 24, 2025. This delay reflects the company’s strategic considerations in finalizing the merger, which could significantly impact its market positioning and stakeholder interests.

The most recent analyst rating on (STAA) stock is a Hold with a $27.00 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.

STAAR Surgical Adjourns Stockholders Meeting for Merger

On October 23, 2025, STAAR Surgical announced the adjournment of its special stockholders meeting, originally scheduled for the same day, to November 6, 2025. This meeting is intended to vote on the merger agreement with Alcon, a global leader in eye care. The adjournment allows more time for stockholders to consider the merger proposal, which could significantly impact STAAR’s operations and market positioning.

The most recent analyst rating on (STAA) stock is a Hold with a $24.50 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.

STAAR Surgical Faces Legal Challenges in Alcon Merger

On August 4, 2025, STAAR Surgical Company entered into a merger agreement with Alcon, where STAAR will become a wholly owned subsidiary of Alcon. However, the merger has faced legal challenges as two lawsuits were filed by STAAR stockholders alleging misrepresentation in the proxy statement. Despite these challenges, STAAR plans to supplement the proxy statement to provide additional information to stockholders. The outcome of these legal matters remains uncertain, but STAAR believes the claims are without merit and aims to proceed with the merger to enhance shareholder value.

The most recent analyst rating on (STAA) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.

Staar Surgical Announces Proposed Merger with Alcon

On September 26, 2025, STAAR Surgical Company announced an investor presentation and press release regarding a proposed merger with Alcon, highlighting the merger’s potential to maximize value for stockholders. The Board of Directors believes the all-cash offer of $28.00 per share provides a significant premium and is the best strategic path forward, considering the company’s standalone challenges and lack of competing acquisition proposals over the past decade.

The most recent analyst rating on (STAA) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.

STAAR Surgical Announces Merger with Alcon

On August 4, 2025, STAAR Surgical Company entered into a merger agreement with Alcon Research, LLC, and Rascasse Merger Sub, Inc., a subsidiary of Alcon. According to the agreement, STAAR will merge with Rascasse Merger Sub, becoming a wholly owned subsidiary of Alcon. STAAR stockholders will receive $28.00 in cash per share, representing a 59% premium to the 90-day volume weighted average price of STAAR stock as of August 4, 2025. The merger, which has been unanimously approved by STAAR’s Board of Directors, is contingent upon stockholder approval at a special meeting scheduled for October 23, 2025. If completed, STAAR will cease to be publicly traded, impacting its stockholders and market presence.

The most recent analyst rating on (STAA) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.

Staar Surgical’s Merger Faces Hurdles: Stockholder Approval and Regulatory Challenges Loom

The completion of the merger involving Staar Surgical Company is contingent upon fulfilling several conditions, including stockholder approval and regulatory clearances, which may not be achieved in a timely manner or at all. The concentrated ownership of Staar’s common stock, with the largest investor holding approximately 27%, poses a significant risk if they do not support the merger. Additionally, regulatory approvals from jurisdictions such as China and Japan, along with compliance with the Hart-Scott-Rodino Antitrust Improvements Act, add layers of complexity. Failure to consummate the merger could lead to financial penalties, negative publicity, and potential declines in stock value, impacting the company’s financial health and stakeholder relationships.

STAAR Surgical Reports Q2 2025 Earnings Amidst Challenges

STAAR Surgical Company, a leader in the field of ophthalmic surgery, specializes in implantable phakic intraocular lenses (ICLs) designed for vision correction, offering a minimally invasive alternative to glasses or contact lenses. Headquartered in Lake Forest, California, the company has a global presence with operations in over 75 countries.

Staar Surgical Merges with Alcon in $1.5B Deal

On August 4, 2025, STAAR Surgical Company entered into a merger agreement with Alcon, where STAAR will become a wholly owned subsidiary of Alcon. The merger, valued at approximately $1.5 billion, involves Alcon purchasing all outstanding shares of STAAR for $28 per share, representing a significant premium over STAAR’s recent stock prices. The acquisition is expected to complement Alcon’s laser vision correction business and be accretive in the second year. The transaction is anticipated to close within six to twelve months, subject to customary conditions and regulatory approvals.

The most recent analyst rating on (STAA) stock is a Hold with a $28.00 price target. To see the full list of analyst forecasts on Staar Surgical stock, see the STAA Stock Forecast page.