<p>Degenerative ocular diseases such as age-related macular degeneration (AMD), glaucoma, cataracts, retinitis pigmentosa (RP), dry eye disease (DED), and limbal stem cell deficiency (LSCD) are major contributors to global visual impairment and blindness. These conditions not only affect vision but also significantly reduce patients’ quality of life. Conventional therapies largely aim to manage symptoms or slow disease progression, with limited ability to regenerate or restore damaged ocular tissues. In contrast, stem cell-based therapies have emerged as a promising strategy, offering the potential to repair, replace, or regenerate dysfunctional cells within the eye. Stem cells exhibit remarkable regenerative, anti-inflammatory, and neuroprotective properties, mediated both by direct differentiation and through paracrine mechanisms such as the secretion of growth factors and exosomes. A wide range of stem cell types—mesenchymal stem cells (MSCs), retinal progenitor cells (RPCs), induced pluripotent stem cells (iPSCs), and embryonic stem cells (ESCs)—are currently under investigation for the treatment of diverse ophthalmic conditions. These therapies target various ocular structures, from the cornea to the retina, aiming to restore tissue integrity and function. This review highlights the current progress, mechanisms, and therapeutic potential of stem cell applications in ocular regeneration, and underscores their growing relevance as a regenerative solution for previously untreatable or refractory eye diseases and the clinical trials that are currently ongoing.</p>