STAAR Surgical Co. (STAA) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

LivaNova Plc

AtriCure, Inc.

STAAR Surgical Co.

ICU Medical, Inc.

iRhythm Technologies, Inc.

Integer Holdings Corp.

CONMED Corp.

Pacific Biosciences of California, Inc.

Axonics, Inc.

Integra LifeSciences Holdings Corp.

InMode Ltd.

Why is STAAR Surgical Co. ?

Poor Management Efficiency with a low ROE of 5.89%

The company has been able to generate a Return on Equity (avg) of 5.89% signifying low profitability per unit of shareholders funds

With a growth in Net Sales of 119.59%, the company declared Very Positive results in Mar 26

NET SALES(Q) At USD 93.52 MM has Grown at 119.59%
PRE-TAX PROFIT(Q) At USD 17.64 MM has Grown at 132.38%
NET PROFIT(Q) At USD 11.18 MM has Grown at 120.62%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -10.17%, its profits have fallen by -152.4%

Rising Promoter Confidence

Promoters have increased their stake in the company by 30.34% over the previous quarter and currently hold 30.44% of the company
Promoters increasing their stake is a sign of high confidence in the future of the business

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -10.17% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to STAAR Surgical Co. should be less than 10%
Overall Portfolio exposure to Pharmaceuticals & Biotechnology should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Pharmaceuticals & Biotechnology)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is STAAR Surgical Co. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

STAAR Surgical Co.

-10.17%

-0.66

55.30%

S&P 500

22.36%

1.70

13.18%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

7.93%

EBIT Growth (5y)

-244.24%

EBIT to Interest (avg)

8.83

Debt to EBITDA (avg)

Net Debt to Equity (avg)

-0.63

Sales to Capital Employed (avg)

0.76

Tax Ratio

15.90%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

22.61%

ROE (avg)

5.89%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

2.57

EV to EBIT

-14.51

EV to EBITDA

-17.56

EV to Capital Employed

4.33

EV to Sales

2.94

PEG Ratio

Dividend Yield

ROCE (Latest)

-29.85%

ROE (Latest)

-14.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bullish

Bullish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

24What is working for the Company

NET SALES(Q)

At USD 93.52 MM has Grown at 119.59%

PRE-TAX PROFIT(Q)

At USD 17.64 MM has Grown at 132.38%

NET PROFIT(Q)

At USD 11.18 MM has Grown at 120.62%

RAW MATERIAL COST(Y)

Fallen by -15.98% (YoY

-4What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD -50.19 MM

DEBT-EQUITY RATIO (HY)

Highest at -35.93 %

Here's what is working for STAAR Surgical Co.

Net Sales

At USD 93.52 MM has Grown at 119.59%

Year on Year (YoY)

MOJO Watch

Near term sales trend is extremely positive

Net Sales (USD MM)

Pre-Tax Profit

At USD 17.64 MM has Grown at 132.38%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 11.18 MM has Grown at 120.62%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Raw Material Cost

Fallen by -15.98% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for STAAR Surgical Co.

Operating Cash Flow

Lowest at USD -50.19 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Highest at -35.93 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio