Is STAAR Surgical a Company To Keep a Close Eye On?

Photo of author
Written By Joel Gbolade

During 2023, STAAR Surgical garnered attention due to its steady growth and market share in the eye care industry. As the manufacturer of the EVO ICL Lens, a clear vision solution for nearsightedness, STAAR has been on an upward trajectory.

However, recent declines in sales growth and margins earlier in the year brought challenges. Despite this, a significant rally in shares during the spring indicates renewed investor interest.

EVO ICL Lens: A Clear Vision Solution

Credits: DepositPhotos

STAAR Surgical’s EVO ICL Lens offers a clear vision solution for patients with nearsightedness, eliminating the need for contact lenses or glasses. This implantable Collamer Lens provides sharp and clear sight while avoiding drawbacks such as dry eyes associated with traditional corrective methods.

The lens can benefit many people through a short surgical procedure, presenting an alternative in a market dominated by lenses and glasses.

Founded in the 1980s, STAAR’s growth surged from the 2010s onwards. A $5 stock in 2015 peaked at $150 in 2021, driven by significant advancements in the business. The company’s valuation exceeded $7 billion at its peak, fueled by rapid revenue growth and improved operating margins.

However, as shares returned to reality, trading at $60 early in 2023, the company faced volatility in its revenue guidance, leading to pressure on the shares.

Margin Issues and Market Performance

In the first quarter, STAAR Surgical posted a 16% increase in sales, prompting an upward revision in its revenue guidance. Despite this, GAAP operating profits evaporated to just $3 million.

The second quarter saw a 14% rise in revenues, but the full-year guidance was revised downwards, causing further pressure on the shares. The third quarter saw a modest 6% sales increase, but negative revisions impacted margins, contributing to declining share prices.

By December, shares had fallen to $31, valuing the business at a mere $1.5 billion. The volatility in revenue guidance and margin pressure was concerning, even though the company’s sales multiples were reasonable. The company’s ambitious three-year plans projected 15-20% revenue growth per annum, potentially generating over half a billion in sales by 2026.

However, this optimistic projection required significant earnings growth, making it a compelling long-term investment opportunity.

A Cautious Approach is Needed

Despite the challenges, STAAR Surgical has made strides, with shares falling to the twenties early in the year. The company’s solid track record and potential M&A interest make it a promising investment, even though shares rose to the low fifties in April before settling at $40 per share.

The company’s preliminary fourth-quarter sales and full-year sales guidance indicated modest growth, with shares trading around the lows in February.

The company’s first quarter of 2024 showed a 5% sales increase, but the operating loss of $2.3 million raised concerns. While maintaining its sales guidance, the company increased its EBITDA guidance to $39 million. Despite this, the share price reaction seemed like an overreaction to the reported results.

Future Outlook

Credits: DepositPhotos

Between December and today, shares have seen a 30% increase, rising from $31 to $40 per share, with momentum carrying shares to the fifties in April. The company’s conservative guidance and modest revenue growth projections for the year reflect a cautious approach.

However, with a $2.5 billion equity valuation and a quarter of a billion net cash position, the enterprise valuation of $2.2 billion appears reasonable.

The company’s promise lies in its technology’s potential to disrupt a large market. However, this potential must translate into tangible sales and earnings growth. While the opportunity is significant, the company’s current performance and conservative guidance suggest a need for cautious optimism.


STAAR Surgical has made significant strides with its EVO ICL Lens, offering a promising alternative for nearsightedness. Despite challenges in sales growth and margins, the company’s long-term potential remains intact.

The promise of STAAR’s technology must be realized in tangible sales and earnings growth, making it a watchful investment opportunity. The recent rally in shares reflects renewed investor interest, highlighting the company’s potential for future growth.



You should read and understand this disclaimer in its entirety before joining or viewing the website or email/blog list of (the “Publisher”). The information (collectively the “Advertisement”) disseminated by email, text or other method by the Publisher including this publication is a paid commercial advertisement and should not be relied upon for making an investment decision or any other purpose. The Publisher is engaged in the business of marketing and advertising the securities of publicly traded companies in exchange for compensation. The track record, gains, upside, and/or losses mentioned in the Advertisement, if any, should not be considered as true or accurate or be the basis for an investment. The Publisher does not verify the accuracy or completeness of any information included in the Advertisement. While the Publisher does not charge for the SMS service, standard carrier message and data rates may apply. To unsubscribe from receiving promotional text messages to your phone sent via an autodialer, using your phone reply to the sender’s phone number with the word STOP or HELP for help.

The Advertisement is not a solicitation or recommendation to buy securities of the advertised company. An offer to buy or sell securities can be made only by a disclosure document that complies with applicable securities laws and only in the states or other jurisdictions in which the security is eligible for sale. The Advertisement is not a disclosure document. The Advertisement is only a favorable snapshot of unverified information about the advertised company. An investor considering purchasing the securities, should always do so only with the assistance of his legal, tax and investment advisors. Investors should review with his or her investment advisor, tax advisor or attorney, if and to the extent available, any information concerning a potential investment at the web sites of the U.S. Securities and Exchange Commission (the "SEC") at; the Financial Industry Regulatory Authority (the "FINRA") at, and relevant State Securities Administrator website and the OTC Markets website at The Publisher cautions investors to read the SEC advisory to investors concerning Internet Stock Fraud at, as well as related information published by the FINRA on how to invest carefully. Investors are responsible for verifying all information in the Advertisement. As an advertiser, we do not verify any information we publish. The Advertisement should not be considered true or complete.

The Publisher does not offer investment advice or analysis, and the Publisher further urges you to consult your own independent tax, business, financial and investment advisors concerning any investment you make in securities particularly those quoted on the OTC Markets. Investing in securities is highly speculative and carries an extremely high degree of risk. You could lose your entire investment if you invest in any company mentioned in the Advertisement. You acknowledge that we are not an investment advisory service, a broker-dealer or an investment adviser and we are not qualified to act as such. You acknowledge that you will consult with your own independent, tax, financial and/or legal advisers regarding any decisions as to any company mentioned here. We have not determined if the Advertisement is accurate, correct or truthful. The Advertisement is compiled from publicly available information, which include, but are not limited to, no cost online research, magazines, newspapers, reports filed with the SEC or information furnished by way of press releases. Because all information relied upon by us in preparing an advertisement about an issuer comes from a public source, it is not reliable, and you should not assume it is accurate or complete.

By your subscription to our profiles, the viewing of this profile and/or use of our website, you have agreed and acknowledged the terms of our full disclaimer and privacy policy which can be viewed at the following link: and

By accepting the Advertisement, you agree and acknowledge that any hyperlinks to the website of (1) a client company, (2) the party issuing or preparing the information for the company, or (3) other information contained in the Advertisement is provided only for your reference and convenience. The advertiser is not responsible for the accuracy or reliability of these external sites, nor is it responsible for the content, opinions, products or other materials on external sites or information sources. If you use, act upon or make decisions in reliance on information contained in any disseminated report/release or any hyperlink, you do so at your own risk and agree to hold us, our officers, directors, shareholders, affiliates and agents harmless. You acknowledge that you are not relying on the Publisher, and we are not liable for, any actions taken by you based on any information contained in any disseminated email or hyperlink.