Last Updated: 18 Sep 2024
Executive Summary
Warby Parker Inc. (WRBY) is a leading eyewear retailer that has experienced strong growth in recent years. The company's latest quarterly results showed continued growth in revenue and earnings, and analysts are optimistic about the company's long-term prospects. The stock is currently trading at $14.88, and analysts have a price target of $16.93.
Company Overview
Warby Parker was founded in 2010 and is headquartered in New York City. The company sells prescription glasses, sunglasses, and contact lenses through its website and retail stores. Warby Parker has a unique business model that includes a "buy a pair, give a pair" program, which donates a pair of glasses to someone in need for every pair sold.
Fundamental Analysis
Warby Parker's financial performance has been strong in recent years. The company's revenue has grown from $180 million in 2015 to $719.9 million in 2023. The company's net income has also grown significantly, from $10.5 million in 2015 to $22.1 million in 2023.
Warby Parker's gross profit margin is 47.4%, which is higher than the industry average. The company's operating margin is 3.6%, which is also higher than the industry average. Warby Parker's return on assets is 5.4%, and its return on equity is 14.5%.
Technical Analysis
Warby Parker's stock price has been trending higher in recent months. The stock is currently trading above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 60, which indicates that the stock is overbought.
Short Term Outlook
Analysts are optimistic about Warby Parker's short-term prospects. The company is expected to continue to grow its revenue and earnings in the coming quarters. The stock is currently trading at a discount to its analyst price target, and analysts believe that the stock has the potential to appreciate in the short term.
Long Term Outlook
Analysts are also optimistic about Warby Parker's long-term prospects. The company is well-positioned to benefit from the growing demand for eyewear. The company's unique business model and strong brand recognition give it a competitive advantage in the market. Analysts believe that Warby Parker has the potential to become a leading global eyewear retailer.
Analyst Recommendations
Analysts have a consensus rating of "Buy" on Warby Parker stock. The average analyst price target is $16.93, which represents a potential upside of 13.9% from the current price.
