STAAR Surgical (NASDAQ:STAA) Releases Quarterly Earnings Results, Misses Estimates By $0.51 EPS

STAAR Surgical (NASDAQ:STAA) posted its quarterly earnings results on Tuesday. The medical instruments supplier reported ($0.37) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.14 by ($0.51), FiscalAI reports. The business had revenue of $57.80 million for the quarter, compared to analysts’ expectations of $75.54 million. STAAR Surgical had a negative return on equity of 16.06% and a negative net margin of 41.79%.STAAR Surgical’s revenue was up 18.0% on a year-over-year basis.

Here are the key takeaways from STAAR Surgical’s conference call:

• Q4 financial improvement: Total net sales were $57.8M (vs. $49M YA), gross margin rose to 75.7%, adjusted EBITDA loss narrowed to $0.2M, and the company finished the quarter with ~$187.5M in cash and no debt while targeting profitability in FY2026.
• China inventory rebalanced and EVO+ launch: Management says distributor inventories in China were reduced to contractual levels (which depressed 2025 sales) and that the launch of EVO+ in China has shown encouraging early demand, setting up expectations for a China rebound in 2026.
• Near-term margin headwinds from Swiss production and inventory reserves: Scaling Swiss manufacturing to mitigate tariff exposure and supply EVO+ will raise inventory costs and reserves, and management expects gross margin to be slightly lower in 2026 despite higher sales.
• Cost discipline and operational investments: STAAR reduced operating expenses (sustaining a run-rate near the prior $225M target), is finalizing an Oracle ERP deployment, rolling out the Stella ordering platform, and expanding the Lioli injector — initiatives intended to improve sales efficiency and operating leverage.

STAAR Surgical Stock Down 0.7%

NASDAQ:STAA opened at $18.92 on Wednesday. STAAR Surgical has a 52 week low of $14.69 and a 52 week high of $30.81. The stock’s 50-day moving average price is $19.97 and its 200-day moving average price is $24.19. The stock has a market capitalization of $941.08 million, a PE ratio of -9.70 and a beta of 1.05.

Key Headlines Impacting STAAR Surgical

Here are the key news stories impacting STAAR Surgical this week:

• Positive Sentiment: Gross-margin improvement, healthy cash and insider buying — Q4 showed stronger gross profit and expanded margins, cash and equivalents rose to about $153.2M, and recent insider purchases by Broadwood signal insider conviction. STAAR Surgical Company (STAA) Stock Falls on Q4 2025 Earnings
• Positive Sentiment: Revenue growth year-over-year — Net sales rose ~18% vs. year-ago quarter, showing demand growth for the EVO ICL franchise even as near-term timing issues impacted quarter-to-quarter comparisons. Staar Surgical Reports Q4 2025 Results and Outlook
• Positive Sentiment: Analyst supporters and mid-range price targets — Some firms (e.g., Jefferies) remain constructive with buy ratings/targets, and median analyst targets sit above the 52-week low, providing a potential floor if execution improves. STAAR Surgical Company (STAA) Stock Falls on Q4 2025 Earnings
• Neutral Sentiment: Shareholder letter & leadership transition — Company issued a shareholder letter after the close noting a recent leadership transition; implications depend on clarity of near-term strategy and guidance. STAAR Surgical Issues Shareholder Letter
• Neutral Sentiment: Earnings call transcript available — Management commentary on the call will be key for guidance timing and cadence of the expected 2026 recovery. STAAR Surgical Company (STAA) Q4 2025 Earnings Call Transcript
• Negative Sentiment: Big miss vs. consensus — Q4 revenue of $57.8M and EPS of -$0.37 fell well short of analyst expectations (~$75–77M revenue and positive EPS estimates), driving immediate downward pressure. Staar Surgical (STAA) Lags Q4 Earnings and Revenue Estimates
• Negative Sentiment: Analyst caution on near-term cadence — Needham maintained a Hold citing short-term revenue headwinds and is looking for a 2026 recovery, signaling limited near-term upside until revenue stabilizes. Staar Surgical: Short-Term Revenue Headwinds and 2026 Recovery Hopes Support Neutral Hold Rating
• Negative Sentiment: Shares reacted downward — The market sold off STAA after the release and misses, reflecting disappointed near-term results despite structural positives. STAAR Surgical Company (STAA) Stock Falls on Q4 2025 Earnings

Analyst Ratings Changes

A number of research analysts recently issued reports on STAA shares. Morgan Stanley assumed coverage on shares of STAAR Surgical in a research report on Friday, January 16th. They set an “underweight” rating and a $13.00 target price for the company. Stifel Nicolaus reduced their price objective on STAAR Surgical from $28.00 to $19.00 and set a “hold” rating for the company in a research note on Monday, February 9th. Wedbush assumed coverage on STAAR Surgical in a research note on Tuesday, February 3rd. They issued a “neutral” rating and a $26.00 target price on the stock. Weiss Ratings reaffirmed a “sell (d)” rating on shares of STAAR Surgical in a report on Thursday, January 22nd. Finally, Needham & Company LLC reiterated a “hold” rating on shares of STAAR Surgical in a research report on Tuesday, January 6th. One research analyst has rated the stock with a Buy rating, nine have given a Hold rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat, STAAR Surgical presently has an average rating of “Reduce” and a consensus price target of $20.91.

Insiders Place Their Bets

In other STAAR Surgical news, major shareholder Broadwood Partners, L.P. purchased 336,946 shares of the stock in a transaction on Tuesday, January 6th. The shares were bought at an average price of $21.62 per share, for a total transaction of $7,284,772.52. Following the completion of the transaction, the insider owned 15,356,437 shares of the company’s stock, valued at $332,006,167.94. This trade represents a 2.24% increase in their position. The transaction was disclosed in a document filed with the SEC, which is available through this link. Over the last ninety days, insiders bought 434,138 shares of company stock valued at $9,424,176. Corporate insiders own 0.59% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently made changes to their positions in STAA. Jane Street Group LLC acquired a new position in STAAR Surgical during the second quarter worth $1,797,000. Bank of America Corp DE grew its position in shares of STAAR Surgical by 17.1% in the second quarter. Bank of America Corp DE now owns 1,153,895 shares of the medical instruments supplier’s stock valued at $19,362,000 after purchasing an additional 168,285 shares during the period. BNP Paribas Financial Markets raised its position in shares of STAAR Surgical by 322.4% during the 2nd quarter. BNP Paribas Financial Markets now owns 243,470 shares of the medical instruments supplier’s stock worth $4,085,000 after purchasing an additional 185,836 shares during the last quarter. Soleus Capital Management L.P. raised its position in shares of STAAR Surgical by 16.5% during the 2nd quarter. Soleus Capital Management L.P. now owns 2,984,733 shares of the medical instruments supplier’s stock worth $50,084,000 after purchasing an additional 421,840 shares during the last quarter. Finally, Boothbay Fund Management LLC purchased a new position in STAAR Surgical in the 3rd quarter valued at about $690,000. Hedge funds and other institutional investors own 96.70% of the company’s stock.

About STAAR Surgical

STAAR Surgical Company, together with its subsidiaries, designs, develops, manufactures, markets, and sells implantable lenses for the eye, and companion delivery systems to deliver the lenses into the eye. The company provides implantable Collamer lens product family (ICLs) to treat visual disorders, such as myopia, hyperopia, astigmatism, and presbyopia. It markets its products to health care providers, including ophthalmic surgeons, vision and surgical centers, hospitals, government facilities, and distributors, as well as products are primarily used by ophthalmologists.