STAAR Surgical Company (NASDAQ:STAA) shares are down on Thursday as the company is undergoing significant board changes.
Broadwood Partners Joins STAAR Surgical Board
Neal Bradsher and Richard LeBuhn of Broadwood Partners, along with Christopher Wang of Yunqi Capital, have joined STAAR's Board of Directors following a cooperation agreement.
This change also sees the departure of Chair Elizabeth Yeu and CEO Stephen Farrell, who will remain in his role until January 31, 2026.
The board's restructuring aims to enhance profitability and long-term value creation, as stated by STAAR director Louis Silverman.
Broadwood, which owns 31% of STAAR's common stock, expressed commitment to helping the company realize its full potential, emphasizing the importance of its leading technology and strong financial position.
In January, STAAR Surgical said that it did not receive the necessary stockholder votes to approve the merger agreement with Alcon Inc. (NYSE:ALC) at the Special Meeting of Stockholders. The companies terminated the deal.
Broadwood Partners on Tuesday said, "It is now time to focus on the road ahead. With its leading technology, strong financial position, privileged position in large markets, and clear path to growth and profit margin expansion in both the near term and the long term."
Broadwood Partners had opposed the proposed sale.
STAA Trades Below Key Moving Averages
Currently, STAAR is trading 10% below its 20-day simple moving average (SMA) and 19% below its 100-day SMA, reflecting a bearish trend. Shares have decreased 3.50% over the past 12 months and are positioned closer to their 52-week lows than highs.
The RSI is at 39.17, which is considered neutral territory, suggesting that the stock is neither overbought nor oversold. Meanwhile, MACD is below its signal line, indicating bearish pressure on the stock.
The combination of neutral RSI and bearish MACD suggests mixed momentum.
- Key Resistance: $24.50
- Key Support: $20.00
STAA Analyst Ratings
STAAR Surgical has a consensus Hold rating among analysts with an average price target of $31.42, as investors monitor the stock ahead of the earnings release.
STAAR Surgical's Benzinga Edge Scorecard
Below is the Benzinga Edge scorecard for STAAR Surgical, highlighting its strengths and weaknesses compared to the broader market:
- Momentum: Bullish (Score: 63.67/100) — Stock is outperforming the broader market.
The Verdict: STAAR Surgical's Benzinga Edge signal reveals a moderate momentum score, indicating that while the stock is currently under pressure, it has potential for recovery. Investors should watch for any developments from the new board members that could influence future performance.
STAA Price Action: STAAR Surgical shares were down 4.61% at $20.82 at the time of publication on Thursday, according to Benzinga Pro data.
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