Staar Surgical (NASDAQ:STAA) stock has recently witnessed significant insider buying despite a considerable dip in the company’s stock price. This points to the insider’s confidence about the company’s long-term growth prospects. It is worth highlighting that Broadwood Partners L.P., one of Staar’s more than 10% owners, is using this opportunity to accumulate the stock.
Staar manufactures and markets implantable lenses and delivery systems used in ophthalmic surgery.
STAA stock has plummeted 62% from its 52-week high of $81.81 and has shed 38.8% year-to-date. This sharp pullback comes from mounting concerns over the company’s slowing top-line growth.
Closer Look at the Insider’s Trades
Broadwood Partners, a private investment firm, disclosed the purchase of 434,991 shares of Staar in multiple transactions from November 28 to November 30, at an average price of $31.50 per share. The total transaction value stands at $13.7 million.
Investors should note that Broadwood Partners bought shares of the company to the tune of $35.3 million in November. Before that, the firm bought stock worth $7.76 million in October and $19.6 million in September.
The total value of STAA stock in Broadwood Partners’ portfolio currently stands at $674.6 million. Interestingly, the investment firm’s overall performance track record shows a 61% success rate over the past year, with an impressive average return of 24.7% per transaction.
Bullish Insider Trading Signal
Overall, TipRanks’ Insider Trading Activity Tool shows that insider confidence in the company is currently Positive. Corporate insiders have bought Staar Surgical stock worth $62.7 million over the last three months.
TipRanks offers daily insider transactions as well as a list of top corporate insiders. It also provides a list of hot stocks that boast either a Very Positive or Positive insider confidence signal.
What is STAA Stock Price Prediction?
On TipRanks, STAA stock has a Moderate Buy consensus rating based on three Buys and five Holds. Additionally, the average price target of $47.60 implies an impressive 51.79% upside potential. At the same time, the stock has a TipRanks’ Smart Score of nine, indicating its potential to outperform market averages.
