STAAR Surgical (STAA) opened 2026 with Q1 revenue of US$93.5 million and basic EPS of US$0.10, against a trailing twelve month picture that still shows a loss of US$21.0 million on revenue of US$290.4 million and basic EPS of US$0.42 in the red. Over recent quarters the company has seen revenue move between US$42.6 million and US$94.7 million, with basic EPS ranging from a loss of US$1.10 to a profit of US$0.18. This latest print arrives against a mixed profitability backdrop that investors will be watching closely as forecasts call for a path back to the black. Margins remain under pressure overall, which keeps the focus squarely on how quickly the business can convert top line scale into consistent earnings.

See our full analysis for STAAR Surgical.

With the raw numbers on the table, the next step is to see how this earnings snapshot lines up with the main bullish and bearish narratives that have built around STAAR Surgical in recent months.

Profit swings and a US$21.0 million loss backdrop

• Q1 2026 delivered net income of US$5.2 million and basic EPS of US$0.10, but the trailing twelve months still show a net loss of US$21.0 million and basic EPS in the red at US$0.42, so the business is oscillating between profitable and loss making periods in the recent data.
• Bulls point to forecasts for earnings to grow about 52.18% per year and a move to profitability within three years, yet the latest twelve month loss of US$21.0 million and a history of losses widening at roughly 58.7% per year over five years mean:
  • Optimistic expectations for higher profits sit against a track record where losses have grown faster than the roughly 10% forecast revenue growth rate.
  • The mixed pattern of quarterly net income, swinging between losses like US$18.3 million in Q4 2025 and profits like US$8.9 million in Q3 2025, gives bulls some support but also shows that consistent profitability has not been achieved yet.

Bulls argue this kind of quarterly profit swing is the early sign of a longer earnings recovery, while others see it as proof the story is still very much in progress. It can help to read the full bullish case with these numbers in mind before deciding where you stand on STAAR Surgical's profit path. 🐂 STAAR Surgical Bull Case

Revenue scale versus uneven profitability

• Over the last six reported quarters, revenue has ranged from US$42.6 million to US$94.7 million, and the latest trailing twelve month revenue sits at US$290.4 million compared with US$313.9 million at the end of 2024, while the company still reported a trailing twelve month net loss of US$21.0 million.
• Bears argue that an eight to roughly 15% annual revenue growth framework and a focus on markets like China may not be enough to offset cost pressures and product concentration risk, and the recent numbers highlight that concern:
  • Even with quarters close to US$95 million in revenue, such as Q3 2025 and Q1 2026, the last twelve months as a whole still produced a loss, which fits the cautious view that scale alone has not yet translated into durable earnings.
  • The forecast revenue growth of about 10% per year sits just below the 11.6% US market reference, so the bearish worry that STAAR is not growing meaningfully faster than the wider market is consistent with the current growth assumptions.

Skeptics often focus on that combination of solid revenue size and ongoing losses, so if you are weighing the cautious view it is worth lining up these figures against the detailed bear case before assuming revenue growth will quickly fix profitability. 🐻 STAAR Surgical Bear Case

Rich valuation against DCF and growth

• At a share price of US$32.01, the stock trades on a P/S of 5.5x compared with a 2.7x average for the US Medical Equipment industry and 1.4x for peers, and it also sits above the cited DCF fair value of US$27.58 and the allowed analyst price target reference of US$27.11.
• Consensus narrative notes that analysts expect earnings to turn positive over the next few years, but the current valuation embeds higher expectations than the comparison points imply:
  • The gap between the US$32.01 share price and the DCF fair value of US$27.58 suggests the market is already paying a premium over that model, even while the trailing twelve month data still show a loss of US$21.0 million.
  • The same tension appears when setting the current price against the US$27.11 analyst target reference and the 5.5x P/S multiple, which together indicate investors are paying more per dollar of current sales than both the industry average and the pricing implied by those reference values.

Next Steps

To see how these results tie into long-term growth, risks, and valuation, check out the full range of community narratives for STAAR Surgical on Simply Wall St. Add the company to your watchlist or portfolio so you'll be alerted when the story evolves.

If this mix of optimism and caution leaves you on the fence, use the numbers and narratives to act quickly and decide on your own stance. To see what has investors hopeful, take a closer look at the 1 key reward.

See What Else Is Out There

STAAR Surgical combines sizeable revenue with recent losses, profit volatility and a relatively rich P/S multiple, which together raise questions about risk and valuation support.

If that mix of premium pricing and uneven profitability makes you cautious, compare it with companies screened for stronger value support and clearer upside using the 47 high quality undervalued stocks.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.