WARBY PARKER INC-CLASS A (WRBY) Stock Fundamental Analysis
NYSE:WRBY - New York Stock Exchange, Inc. - US93403J1060 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to WRBY. WRBY was compared to 121 industry peers in the Specialty Retail industry. WRBY has a great financial health rating, but its profitability evaluates not so good. WRBY is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
WRBY had positive earnings in the past year.
WRBY had a positive operating cash flow in the past year.
In the past 5 years WRBY always reported negative net income.
WRBY had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
The Return On Assets of WRBY (-3.01%) is worse than 67.77% of its industry peers.
The Return On Equity of WRBY (-6.00%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.01% | ||
| ROE | -6% | ||
| ROIC | N/A |
ROA(3y)-11.11%
ROA(5y)-16.32%
ROE(3y)-21.82%
ROE(5y)-27.72%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
WRBY has a better Gross Margin (55.34%) than 83.47% of its industry peers.
In the last couple of years the Gross Margin of WRBY has declined.
WRBY does not have Profit Margin and Operating Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 55.34% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.97%
GM growth 5Y-1.68%
2. Health
2.1 Basic Checks
WRBY does not have a ROIC to compare to the WACC, probably because it is not profitable.
WRBY has more shares outstanding than it did 1 year ago.
The number of shares outstanding for WRBY has been increased compared to 5 years ago.
There is no outstanding debt for WRBY. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 3.48 indicates that WRBY is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.48, WRBY belongs to the top of the industry, outperforming 80.17% of the companies in the same industry.
There is no outstanding debt for WRBY. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 3.48 |
ROIC/WACCN/A
WACC9.12%
2.3 Liquidity
WRBY has a Current Ratio of 2.50. This indicates that WRBY is financially healthy and has no problem in meeting its short term obligations.
WRBY's Current ratio of 2.50 is amongst the best of the industry. WRBY outperforms 88.43% of its industry peers.
A Quick Ratio of 2.10 indicates that WRBY has no problem at all paying its short term obligations.
Looking at the Quick ratio, with a value of 2.10, WRBY belongs to the top of the industry, outperforming 91.74% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 160.00% over the past year.
WRBY shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 15.16%.
The Revenue has been growing by 15.79% on average over the past years. This is quite good.
EPS 1Y (TTM)160%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%300%
Revenue 1Y (TTM)15.16%
Revenue growth 3Y12.56%
Revenue growth 5Y15.79%
Sales Q2Q%17.79%
3.2 Future
WRBY is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 39.37% yearly.
Based on estimates for the next years, WRBY will show a quite strong growth in Revenue. The Revenue will grow by 13.81% on average per year.
EPS Next Y31.99%
EPS Next 2Y35.16%
EPS Next 3Y39.37%
EPS Next 5YN/A
Revenue Next Year15.05%
Revenue Next 2Y14.37%
Revenue Next 3Y14.49%
Revenue Next 5Y13.81%
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
WRBY is valuated quite expensively with a Price/Earnings ratio of 63.15.
WRBY's Price/Earnings is on the same level as the industry average.
WRBY is valuated expensively when we compare the Price/Earnings ratio to 28.88, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 47.85, which means the current valuation is very expensive for WRBY.
Compared to the rest of the industry, the Price/Forward Earnings ratio of WRBY is on the same level as its industry peers.
WRBY's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 21.20.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.15 | ||
| Fwd PE | 47.85 |
4.2 Price Multiples
WRBY's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. WRBY is more expensive than 68.59% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as WRBY.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 57.17 | ||
| EV/EBITDA | 108.62 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
WRBY's earnings are expected to grow with 39.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.97
PEG (5Y)N/A
EPS Next 2Y35.16%
EPS Next 3Y39.37%
5. Dividend
5.1 Amount
No dividends for WRBY!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NYSE:WRBY (5/1/2025, 12:54:08 PM)
16.42
-0.09 (-0.55%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners98%
Inst Owner Change-7.41%
Ins Owners7.08%
Ins Owner Change1.95%
Market Cap1.98B
Analysts74.55
Price Target24.7 (50.43%)
Short Float %9.05%
Short Ratio3.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-16.78%
Min EPS beat(2)-27.05%
Max EPS beat(2)-6.5%
EPS beat(4)2
Avg EPS beat(4)19.28%
Min EPS beat(4)-27.05%
Max EPS beat(4)58.59%
EPS beat(8)5
Avg EPS beat(8)-6.08%
EPS beat(12)7
Avg EPS beat(12)20.44%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-0.57%
Min Revenue beat(2)-0.76%
Max Revenue beat(2)-0.39%
Revenue beat(4)0
Avg Revenue beat(4)-0.66%
Min Revenue beat(4)-1.34%
Max Revenue beat(4)-0.13%
Revenue beat(8)3
Avg Revenue beat(8)-0.18%
Revenue beat(12)5
Avg Revenue beat(12)-0.35%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-10.32%
PT rev (3m)7.07%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.61%
EPS NY rev (1m)0%
EPS NY rev (3m)5.76%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.27%
Revenue NY rev (1m)-0.24%
Revenue NY rev (3m)1.79%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 63.15 | ||
| Fwd PE | 47.85 | ||
| P/S | 2.57 | ||
| P/FCF | 57.17 | ||
| P/OCF | 20.1 | ||
| P/B | 5.84 | ||
| P/tB | 5.84 | ||
| EV/EBITDA | 108.62 |
EPS(TTM)0.26
EY1.58%
EPS(NY)0.34
Fwd EY2.09%
FCF(TTM)0.29
FCFY1.75%
OCF(TTM)0.82
OCFY4.98%
SpS6.38
BVpS2.81
TBVpS2.81
PEG (NY)1.97
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -3.01% | ||
| ROE | -6% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 55.34% | ||
| FCFM | 4.5% |
ROA(3y)-11.11%
ROA(5y)-16.32%
ROE(3y)-21.82%
ROE(5y)-27.72%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.97%
GM growth 5Y-1.68%
F-Score6
Asset Turnover1.14
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 139.61% | ||
| Cap/Sales | 8.3% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 615.94% | ||
| Profit Quality | N/A | ||
| Current Ratio | 2.5 | ||
| Quick Ratio | 2.1 | ||
| Altman-Z | 3.48 |
F-Score6
WACC9.12%
ROIC/WACCN/A
Cap/Depr(3y)155.9%
Cap/Depr(5y)159.74%
Cap/Sales(3y)8.79%
Cap/Sales(5y)8.09%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)160%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%300%
EPS Next Y31.99%
EPS Next 2Y35.16%
EPS Next 3Y39.37%
EPS Next 5YN/A
Revenue 1Y (TTM)15.16%
Revenue growth 3Y12.56%
Revenue growth 5Y15.79%
Sales Q2Q%17.79%
Revenue Next Year15.05%
Revenue Next 2Y14.37%
Revenue Next 3Y14.49%
Revenue Next 5Y13.81%
EBIT growth 1Y58.55%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year770.16%
EBIT Next 3Y136.05%
EBIT Next 5Y79.97%
FCF growth 1Y374.18%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y61.9%
OCF growth 3YN/A
OCF growth 5Y35.79%