Staar Surgical (STAA) AI Stock Analysis

• Market Cap: $1.29B
• Dividend Yield: N/A
• Average Volume (3M): 1.09M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.86
• 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: 49,741,955
• 10 Day Avg. Volume: 785,573
• 30 Day Avg. Volume: 1,091,265
• 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: 0.93
• Enterprise Value/Revenue: 5.21
• Enterprise Value/Gross Profit: 7.05
• Enterprise Value/Ebitda: -22.15
• 1Y Price Target: $28.00
• Price Target Upside: 10.89% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 3
• EPS Forecast (FY): -0.5
• Revenue Forecast (FY): $254.83M

• Rating: 49 Neutral
• Price Target: $26.00 ▲(2.97% Upside)

Staar Surgical's overall stock score is primarily impacted by its financial performance and valuation. The company faces significant financial challenges with negative profitability and liquidity concerns. Technical analysis provides mixed signals, indicating no strong directional trend. The negative P/E ratio and lack of dividend yield further weigh down the stock's attractiveness. Investors should be cautious and monitor for any strategic improvements or market changes.

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 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	230.59M	313.90M	322.42M	284.39M	230.47M	163.46M
Gross Profit	170.33M	239.58M	252.65M	223.38M	178.64M	118.36M
EBITDA	-54.23M	-5.72M	33.22M	48.31M	36.98M	9.86M
Net Income	-96.37M	-20.21M	21.35M	39.66M	27.51M	5.91M
Balance Sheet
Total Assets	456.36M	509.52M	488.69M	418.82M	345.78M	257.42M
Cash, Cash Equivalents and Short-Term Investments	192.66M	230.49M	220.73M	211.64M	199.71M	152.45M
Total Debt	39.12M	38.74M	35.83M	31.04M	32.06M	10.80M
Total Liabilities	102.58M	112.19M	102.74M	82.71M	87.22M	60.19M
Stockholders Equity	353.78M	397.33M	385.95M	336.11M	258.56M	197.22M
Cash Flow
Free Cash Flow	-39.54M	-7.67M	-3.59M	17.61M	30.32M	12.55M
Operating Cash Flow	-29.67M	15.72M	14.59M	35.72M	43.96M	20.95M
Investing Cash Flow	46.26M	-59.22M	74.35M	-156.38M	-13.64M	-8.40M
Financing Cash Flow	-4.62M	5.72M	7.42M	8.30M	17.79M	19.57M

Staar Surgical Technical Analysis

• Technical Analysis Sentiment: Negative
• 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 Negative. The current price of 25.25 is below the 20-day moving average (MA) of 26.36, below the 50-day MA of 26.49, and above the 200-day MA of 21.39, indicating a neutral trend. The MACD of 0.05 indicates Positive momentum. The RSI at 47.33 is Neutral, neither overbought nor oversold. The STOCH value of 27.08 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for STAA.

Staar Surgical Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
COO	75 Outperform	$15.50B	38.37	5.01%	―	6.35%	12.94%
HOLX	69 Neutral	$16.67B	30.12	11.12%	―	1.74%	-25.29%
STVN	67 Neutral	$6.25B	40.25	9.81%	0.27%	9.19%	23.06%
MASI	56 Neutral	$8.12B	―	-17.93%	―	-16.03%	-813.48%
BLCO	56 Neutral	$5.74B	―	-4.69%	―	6.23%	17.53%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
STAA	49 Neutral	$1.29B	―	-24.65%	―	-32.42%	-540.37%

Staar Surgical Corporate Events

STAAR Surgical Reports Q3 2025 Financial Results

STAAR Surgical Company, a leader in the ophthalmic surgery industry, specializes in implantable phakic intraocular lenses for vision correction, offering a unique alternative to glasses or contact lenses. The company recently reported its financial results for the third quarter of 2025, highlighting a 6.9% increase in net sales to $94.7 million compared to the same period last year. This growth was driven by a significant shipment to China and a 7.7% increase in sales outside of China.

Staar Surgical Amends Merger Agreement with Alcon

On November 7, 2025, STAAR Surgical Company announced an amendment to its merger agreement with Alcon Inc., introducing a 30-day go-shop period allowing STAAR to solicit third-party acquisition proposals. This amendment, which includes no termination fee for accepting a superior proposal and Alcon waiving matching rights, aims to maximize shareholder value by encouraging competitive offers. The special meeting of STAAR stockholders to vote on the merger proposal has been postponed to December 19, 2025, to accommodate this process.

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 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.