Lake Street Capital Markets has initiated coverage on LENSAR Inc. stock with a Buy rating and a price target of $8.00. The firm emphasizes LENSAR's strong market position and potential for growth, highlighting the company's unique value and its impact on cataract center cash flow. LENSAR's ALLY system, known for its ability to complete cataract surgeries more rapidly and with improved outcomes, is seen as a key factor in the company's ability to capture market share. Lake Street expects LENSAR's growth to exceed 20% as it continues to gain traction in the market. The coverage initiation reflects a positive outlook on LENSAR's business model and market strategy.
In other news, Stifel, a financial services firm, has lowered the price target for Cutera's shares to $6.00 from $10.00, while maintaining a Buy rating on the stock. Cutera's fourth-quarter 2023 revenue report exceeded Stifel's estimate at $49.5 million. The company closed the year with $144 million in cash reserves and expects a significant reduction in cash burn for fiscal year 2024. However, the company's non-GAAP Gross Margin for the fourth quarter was impacted by an inventory obsolescence charge exceeding $8 million. Stifel emphasizes the importance of Cutera's performance in the latter half of 2024, including the relaunch of its acne treatment device and improvement in its base business. The firm believes these improvements are necessary for Cutera to reach a cash-flow breakeven point, projected to occur in late 2025 or 2026.
Meanwhile, STAAR Surgical Company has announced preliminary net sales of over $77 million for the first quarter of 2024, with a record $5 million in US ICL sales. The increase in US ICL sales represents a 20% sequential growth. The company also reported an 11% year-over-year increase in EMEA ICL sales and a 9% rise in the APAC region. The CEO anticipates that the full financial results may place the company's fiscal 2024 net sales at the higher end of the previously announced range. STAAR Surgical's complete financial results for the first quarter will be presented during the quarterly earnings call in May. [f225636d]