Broadwood Partners increases stake in Staar Surgical with $1.98 million purchase

Published 28/03/2025, 23:48
Broadwood Partners increases stake in Staar Surgical with $1.98 million purchase

Broadwood Partners, L.P. has bolstered its position in Staar Surgical Co. (NASDAQ:STAA) with a series of stock acquisitions totaling approximately $1.98 million. The purchases, executed over three consecutive days from March 26 to March 28, 2025, involved the acquisition of 113,384 shares of common stock. The transaction prices ranged from $17.40 to $17.50 per share, reflecting a strategic move by the investment firm to increase its holdings in the ophthalmic goods company. According to InvestingPro data, these purchases come after STAA’s stock has declined over 52% in the past six months, with the company currently trading near its 52-week low of $13.50.

The transactions were conducted by Broadwood Partners, with Neal C. Bradsher, President of Broadwood Capital, Inc., signing off on the acquisitions. The purchases increased Broadwood’s total ownership in Staar Surgical to 12,433,075 shares. The firm, known for its significant investments, has not disclosed the specific reasons behind the increased stake, but such moves often indicate confidence in the company’s future performance. InvestingPro analysis shows the company maintains strong financial health with a current ratio of 5.23 and more cash than debt on its balance sheet, though eight analysts have recently revised their earnings expectations downward.

Staar Surgical, based in Monrovia, California, specializes in the development, manufacture, and marketing of implantable lenses for the eye. The company’s stock performance and market strategies continue to be closely monitored by investors and analysts alike. Despite current challenges, the company maintains a robust gross profit margin of 76%. For deeper insights into STAA’s valuation and growth prospects, investors can access comprehensive analysis and additional ProTips through InvestingPro’s detailed research reports.

In other recent news, STAAR Surgical ’s fourth-quarter 2024 results fell short of expectations, leading to a series of analyst adjustments. Canaccord Genuity reduced its price target for STAAR Surgical to $17, maintaining a Hold rating, while Jefferies downgraded the stock and slashed its target to $18 from $60, reflecting concerns over the company’s near-term revenue prospects. Stifel also cut its price target to $20 from $38 but retained a Buy rating, citing challenges in the Chinese market affecting STAAR Surgical’s performance.

The company announced several leadership changes, with Deborah Andrews stepping in as Interim CFO and Warren Foust promoted to President and COO. Piper Sandler and BTIG both maintained a Neutral rating on the stock amid these executive reshuffles. Piper Sandler highlighted the departure of CFO Patrick Williams, noting the need for clearer insights into the company’s recovery process.

BTIG reported that STAAR Surgical’s management is focusing on cost-saving measures without compromising revenue growth, although fiscal year 2025 guidance was not reaffirmed. These developments have introduced uncertainty about the company’s future performance, particularly in light of the challenges in the Chinese market. Analysts are watching closely for signs of stabilization and improvement in global demand for refractive surgery.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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