- Staar Surgical Company reported a significant revenue decline but still exceeded Wall Street expectations.
- The company’s EPS of -$0.07 outperformed the consensus estimate, showcasing an EPS surprise of 87.5%.
- Despite a 55% year-over-year decrease in net sales, excluding China, net sales increased by 10%.
Staar Surgical Company, listed on the NASDAQ as STAA, specializes in phakic intraocular lenses (IOLs) with its EVO family of Implantable Collamer® Lenses for vision correction. Recently, Thomas Stephan from Stifel Nicolaus set a price target of $28 for STAA, while the stock was priced at $26.90. This suggests a potential upside of about 4.09%. However, Stifel downgraded the stock from Buy to Hold, as reported by TheFly.
In the second quarter of 2025, Staar Surgical reported revenue of $44.32 million, a significant 55.2% decline from the previous year. Despite this drop, the revenue exceeded Wall Street’s expectations, surpassing the Zacks Consensus Estimate of $41.56 million by 6.63%. This indicates that while the company faced challenges, it managed to outperform analyst expectations in revenue.
The company’s earnings per share (EPS) for the same period was -$0.07, which, although a loss, was a substantial improvement over the consensus estimate of -$0.56. This resulted in an EPS surprise of 87.5%. Over the past four quarters, Staar Surgical has exceeded consensus EPS estimates three times, showcasing its ability to perform better than expected despite market challenges.
Staar Surgical’s net sales for the quarter were impacted by a planned reduction of channel inventory in China, leading to a 55% year-over-year decrease. However, excluding China, net sales increased by 10% year-over-year, reaching $39 million. The gross margin for the quarter was 74%, compared to 79.2% in the same period last year, reflecting the company’s efforts to maintain profitability.
Currently, STAA is priced at $26.90, with a slight decrease of 0.44% today. The stock has seen a low of $26.83 and a high of $27.12 during the day’s trading. Over the past year, STAA has reached a high of $41 and a low of $13.50. The company’s market capitalization stands at approximately $1.33 billion, with a trading volume of 5,185,783 shares.
