NasdaqGM:STAA

Stock Analysis Report

Executive Summary

STAAR Surgical Company, together with its subsidiaries, designs, develops, manufactures, markets, and sells implantable lenses for the eye, and delivery systems to deliver the lenses into the eye.

Snowflake

Fundamentals

Flawless balance sheet with high growth potential.


Similar Companies

Share Price & News

How has STAAR Surgical's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.8%

STAA

-1.6%

US Medical Equipment

0.07%

US Market


1 Year Return

-34.1%

STAA

13.8%

US Medical Equipment

8.9%

US Market

Return vs Industry: STAA underperformed the US Medical Equipment industry which returned 13.8% over the past year.

Return vs Market: STAA underperformed the US Market which returned 8.9% over the past year.


Shareholder returns

STAAIndustryMarket
7 Day2.8%-1.6%0.07%
30 Day-8.4%-4.3%-0.3%
90 Day-16.1%-4.3%-1.6%
1 Year-34.1%-34.1%14.7%13.8%11.3%8.9%
3 Year199.5%199.5%70.7%65.6%46.3%36.8%
5 Year148.9%148.9%117.3%93.5%62.1%44.3%

Price Volatility Vs. Market

How volatile is STAAR Surgical's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is STAAR Surgical undervalued compared to its fair value and its price relative to the market?

39.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: STAA ($27.4) is trading below our estimate of fair value ($45.54)

Significantly Below Fair Value: STAA is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: STAA is poor value based on its PE Ratio (153.8x) compared to the Medical Equipment industry average (41.8x).

PE vs Market: STAA is poor value based on its PE Ratio (153.8x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: STAA is poor value based on its PEG Ratio (2.4x)


Price to Book Ratio

PB vs Industry: STAA is overvalued based on its PB Ratio (8.5x) compared to the US Medical Equipment industry average (3.7x).


Next Steps

Future Growth

How is STAAR Surgical forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

65.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: STAA's forecast earnings growth (65.1% per year) is above the savings rate (2.7%).

Earnings vs Market: STAA's earnings (65.1% per year) are forecast to grow faster than the US market (14.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: STAA's revenue (21.4% per year) is forecast to grow faster than the US market (7.2% per year).

High Growth Revenue: STAA's revenue (21.4% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: STAA's Return on Equity is forecast to be low in 3 years time (19.8%).


Next Steps

Past Performance

How has STAAR Surgical performed over the past 5 years?

46.7%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: STAA has become profitable over the past 5 years, growing earnings by 46.7% per year.

Accelerating Growth: STAA's earnings growth over the past year (129.3%) exceeds its 5-year average (46.7% per year).

Earnings vs Industry: STAA earnings growth over the past year (129.3%) exceeded the Medical Equipment industry 28.2%.


Return on Equity

High ROE: STAA's Return on Equity (5.4%) is considered low.


Return on Assets

ROA vs Industry: STAA's Return on Assets is below or equal to the Medical Equipment industry average last year.


Return on Capital Employed

ROCE Improving: STAA's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is STAAR Surgical's financial position?


Financial Position Analysis

Short Term Liabilities: STAA's short term assets ($158.9M) exceeds its short term liabilities ($28.7M)

Long Term Liabilities: STAA's short term assets (158.9M) exceeds its long term liabilities (12.9M)


Debt to Equity History and Analysis

Debt Level: STAA's debt to equity ratio (2%) is considered satisfactory

Reducing Debt: STAA's debt to equity ratio has reduced from 11.7% to 2% over the past 5 years.

Debt Coverage: STAA's debt is well covered by operating cash flow (514%).

Interest Coverage: STAA earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: STAA has a high level of physical assets or inventory.

Debt Coverage by Assets: STAA's debt is covered by short term assets (assets are 55.679040x debt).


Next Steps

Dividend

What is STAAR Surgical's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.2%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate STAA's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate STAA's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if STAA's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if STAA's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of STAA's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of STAAR Surgical's salary, the management and board of directors tenure and is there insider trading?

2.6yrs

Average management tenure


CEO

Caren Mason (65yo)

4.6yrs

Tenure

US$2,627,201

Compensation

Ms. Caren L. Mason has been the Chief Executive Officer and President of STAAR Surgical Company since March 1, 2015. Ms. Mason served as the Chief Executive Officer of Verinata Health, Inc. from April 2011 ...


CEO Compensation Analysis

Compensation vs. Market: Caren's total compensation ($USD2.63M) is below average for companies of similar size in the US market ($USD4.07M).

Compensation vs Earnings: Caren's compensation has increased by more than 20% in the past year.


Management Age and Tenure

2.6yrs

Average Tenure

60yo

Average Age

Experienced Management: STAA's management team is considered experienced (2.6 years average tenure).


Board Age and Tenure

4.7yrs

Average Tenure

60yo

Average Age

Experienced Board: STAA's board of directors are considered experienced (4.7 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$2,223,00003 May 19
Broadwood Capital, Inc.
EntityCompany
Shares100,000
Max PriceUS$22.23

Ownership Breakdown


Management Team

  • Caren Mason (65yo)

    CEO, President & Director

    • Tenure: 4.6yrs
    • Compensation: US$2.63m
  • Bill Goodmen (64yo)

    Vice President of Global Human Resources

    • Tenure: 9.2yrs
  • Graydon Hansen (60yo)

    Senior Vice President of Global Operations

    • Tenure: 1.9yrs
  • Deborah Andrews (62yo)

    Chief Financial Officer

    • Tenure: 2.1yrs
    • Compensation: US$823.48k
  • Hans-Martin Blickensdoerfer (54yo)

    Senior VP of Commercial Operations

    • Tenure: 2.9yrs
    • Compensation: US$1.10m
  • Keith Holliday (56yo)

    Chief Technology Officer

    • Tenure: 2.6yrs
    • Compensation: US$1.09m
  • Sam Gesten (57yo)

    Chief Legal Officer & Corporate Secretary

    • Tenure: 2.5yrs
    • Compensation: US$989.43k
  • James Francese (55yo)

    Senior Vice President of Commercial Operations - North America & APAC

    • Tenure: 1.9yrs
    • Compensation: US$577.79k
  • Denise McEachern (60yo)

    Global Head of Regulatory Affairs & Quality Assurance

    • Tenure: 4.8yrs
  • Brian Moore

    Sr. Director of Investor

    • Tenure: 0yrs

Board Members

  • Steve Farrell (54yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$187.31k
  • Lou Silverman (60yo)

    Independent Chairman

    • Tenure: 3.3yrs
    • Compensation: US$212.18k
  • Caren Mason (65yo)

    CEO, President & Director

    • Tenure: 4.6yrs
    • Compensation: US$2.63m
  • William Wall (57yo)

    Independent Director

    • Tenure: 4.1yrs
    • Compensation: US$199.82k
  • John Moore (75yo)

    Independent Director

    • Tenure: 11.8yrs
    • Compensation: US$177.31k
  • Brian Williams

    Member of Optometric Advisory Council

    • Tenure: 10.9yrs

Company Information

STAAR Surgical Company's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: STAAR Surgical Company
  • Ticker: STAA
  • Exchange: NasdaqGM
  • Founded: 1982
  • Industry: Health Care Supplies
  • Sector: Healthcare
  • Market Cap: US$1.220b
  • Shares outstanding: 44.54m
  • Website: https://www.staar.com

Number of Employees


Location

  • STAAR Surgical Company
  • 1911 Walker Avenue
  • Monrovia
  • California
  • 91016
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
STAANasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJul 1983
SR3DB (Deutsche Boerse AG)YesCommon StockDEEURJul 1983

Biography

STAAR Surgical Company, together with its subsidiaries, designs, develops, manufactures, markets, and sells implantable lenses for the eye, and delivery systems to deliver the lenses into the eye. The comp ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/22 23:42
End of Day Share Price2019/10/22 00:00
Earnings2019/06/28
Annual Earnings2018/12/28


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.