Wedbush Delivers Neutral Recommendation on STAAR Surgical as Analysts Weigh Growth Against Risks

In early February 2026, Wedbush released its analysis of STAAR Surgical with a cautiously balanced stance—neither bullish nor bearish. This measured approach reflects broader market uncertainty around the company’s prospects, even as financial projections suggest meaningful upside potential for investors willing to take on the associated risks.

Analyst Price Targets Signal 43% Appreciation Potential

As of mid-January 2026, Wall Street’s consensus on STAAR Surgical valued the company at $25.82 per share on average, implying a 43.12% gain from the then-current price of $18.04. Analyst forecasts ranged from $16.16 to $32.29, reflecting the wide divergence in how different investment professionals viewed the company’s trajectory. Beyond share price, projections pointed to accelerating fundamentals: annual revenues were forecast at $584 million, representing a 153% increase, while projected non-GAAP earnings per share stood at $3.77. These numbers suggest the market is pricing in substantial business expansion.

Institutional Holdings Paint a Complex Picture

The fund community’s positioning in STAAR Surgical reveals a nuanced landscape. As of the latest reporting period, 367 funds and institutions maintained positions in the stock—a decrease of 17 owners from the prior quarter. Despite fewer participants, average portfolio weight among institutional investors actually ticked up 76.34%, suggesting that existing holders were doubling down on their conviction even if some players were exiting.

The put/call ratio of 1.57 pointed to a modestly bearish mood among options traders, indicating concerns about near-term downside despite the long-term analyst recommendation for cautious monitoring.

Key Shareholders Adjusting Positions

Broadwood Capital remained the dominant shareholder with 27.18% ownership (13.5 million shares) and made no changes to its substantial stake. Among passive vehicles, the iShares Core S&P Small-Cap ETF trimmed its position by 3.14% to 2.95 million shares, reflecting a broader portfolio rebalancing. Conversely, Yunqi Capital increased its allocation by 36.09%, raising holdings from 2.41 million to 2.5 million shares—suggesting selective conviction in the surgical device maker.

Balyasny Asset Management entered as a new material holder with 1.81 million shares, while the iShares Russell 2000 ETF pared back its position by 8.94% during the same quarter.

What the Neutral Recommendation Really Means

Wedbush’s neutral recommendation should be understood in context: analysts acknowledge legitimate growth catalysts and financial momentum, yet they remain unconvinced about near-term catalysts or valuation support. The recommendation reflects a “show me” posture—the company must demonstrate execution against its ambitious financial projections before analysts become more enthusiastic. This measured stance aligns with mixed institutional behavior, where capital flows remain cautious despite bullish long-term fundamentals.