STAAR Surgical (NASDAQ:STAA) Shares Down 5.3% - Here's What Happened

Key Points

• Shares were down 5.3% on Tuesday, trading around $25.43 after falling as low as $25.35, with volume (~721,316 shares) about 53% below the average session level.
• STAAR reported an earnings and revenue miss (EPS -$0.37 vs. $0.14 expected; revenue $57.8M vs. $75.54M), has negative margins/ROE, and analysts’ consensus is a Hold with an average target of $19.93 amid several recent price-target cuts and mixed ratings.
• Insiders have been buying stock—Broadwood Partners purchased 316,017 shares at $18.61 (~$5.88M), bringing recent insider purchases to 670,213 shares in 90 days, while institutional ownership sits near 96.7%.

STAAR Surgical Company (NASDAQ:STAA - Get Free Report)'s share price fell 5.3% on Tuesday . The company traded as low as $25.35 and last traded at $25.4250. 721,316 shares traded hands during mid-day trading, a decline of 53% from the average session volume of 1,526,394 shares. The stock had previously closed at $26.84.

Analyst Ratings Changes

A number of brokerages have recently weighed in on STAA. Morgan Stanley began coverage on shares of STAAR Surgical in a research note on Friday, January 16th. They issued an "underweight" rating and a $13.00 price objective for the company. Weiss Ratings restated a "sell (d)" rating on shares of STAAR Surgical in a research note on Thursday, January 22nd. Wells Fargo & Company reduced their price objective on shares of STAAR Surgical from $30.75 to $16.00 and set an "equal weight" rating for the company in a research note on Thursday, March 5th. BTIG Research restated a "neutral" rating on shares of STAAR Surgical in a research note on Tuesday, January 6th. Finally, Wedbush boosted their price objective on shares of STAAR Surgical from $21.00 to $26.00 and gave the stock a "neutral" rating in a research note on Thursday, April 9th. Two equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $19.93.

STAAR Surgical Stock Performance

The stock has a market capitalization of $1.25 billion, a price-to-earnings ratio of -15.44 and a beta of 1.04. The company's 50 day moving average is $18.89 and its 200 day moving average is $22.57.

STAAR Surgical (NASDAQ:STAA - Get Free Report) last released its earnings results on Tuesday, March 3rd. The medical instruments supplier reported ($0.37) EPS for the quarter, missing the consensus estimate of $0.14 by ($0.51). The company had revenue of $57.80 million for the quarter, compared to analyst estimates of $75.54 million. STAAR Surgical had a negative net margin of 33.60% and a negative return on equity of 10.03%. The company's quarterly revenue was up 18.0% on a year-over-year basis. On average, equities research analysts anticipate that STAAR Surgical Company will post -1.14 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, Director Broadwood Partners, L.P. bought 316,017 shares of the business's stock in a transaction that occurred on Friday, March 13th. The stock was purchased at an average cost of $18.61 per share, for a total transaction of $5,881,076.37. Following the purchase, the director directly owned 16,123,842 shares in the company, valued at $300,064,699.62. This trade represents a 2.00% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. In the last ninety days, insiders have acquired 670,213 shares of company stock worth $12,266,249. 0.59% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On STAAR Surgical

Institutional investors and hedge funds have recently bought and sold shares of the business. Caitong International Asset Management Co. Ltd increased its holdings in STAAR Surgical by 2,605.1% in the 3rd quarter. Caitong International Asset Management Co. Ltd now owns 1,055 shares of the medical instruments supplier's stock valued at $28,000 after buying an additional 1,016 shares during the period. GAMMA Investing LLC increased its holdings in STAAR Surgical by 61.4% in the 3rd quarter. GAMMA Investing LLC now owns 1,856 shares of the medical instruments supplier's stock valued at $50,000 after buying an additional 706 shares during the period. Tower Research Capital LLC TRC increased its holdings in STAAR Surgical by 375.0% in the 2nd quarter. Tower Research Capital LLC TRC now owns 5,919 shares of the medical instruments supplier's stock valued at $99,000 after buying an additional 4,673 shares during the period. Russell Investments Group Ltd. increased its holdings in STAAR Surgical by 9,928.9% in the 3rd quarter. Russell Investments Group Ltd. now owns 4,513 shares of the medical instruments supplier's stock valued at $121,000 after buying an additional 4,468 shares during the period. Finally, Wolverine Asset Management LLC bought a new stake in STAAR Surgical in the 3rd quarter valued at $199,000. Institutional investors own 96.70% of the company's stock.

STAAR Surgical Company Profile

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.

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