Why STAAR Surgical Company Shares Jumped

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of medical company STAAR Surgical  (NASDAQ: STAA  ) jumped 18% today after reporting earnings.

So what: Revenue was up 14% in the quarter to $18.2 million, and earnings swung from a loss to $0.05 per share. Analysts only expected revenue to be $17.4 million and earnings of $0.02 per share, so the company easily beat expectations.  

Now what: The company is gaining momentum with its implantable vision lens Visian ICL, which was recently approved in Argentina and Korea. Management thinks that product will continue to drive earnings going forward, and based on second-quarter numbers, there's a good chance it will. This is still a pretty speculative stock at 40 time forward earnings estimates, but with growth and now a profit on STAAR's side, I think it can outperform the market in the long term.

The health care industry is changing rapidly, and investors need to be prepared to adjust as it does. The Motley Fool's new free report, "Everything You Need to Know About Obamacare," lets you know how your health insurance, your taxes, and your portfolio could be affected. Click here to read more. 


Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2574130, ~/Articles/ArticleHandler.aspx, 9/17/2014 5:56:17 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement