Warby Parker Valuation

Is WRBY undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of WRBY when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: WRBY ($17.12) is trading above our estimate of fair value ($12.81)

Significantly Below Fair Value: WRBY is trading above our estimate of fair value.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for WRBY?

Other financial metrics that can be useful for relative valuation.

WRBY key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.8x
Enterprise Value/EBITDA-220.5x
PEG Ration/a

Price to Sales Ratio vs Peers

How does WRBY's PS Ratio compare to its peers?

The above table shows the PS ratio for WRBY vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average4.6x
WINA Winmark
16.6x4.2%US$1.3b
WOOF Petco Health and Wellness Company
0.2x1.4%US$1.3b
SBH Sally Beauty Holdings
0.4x1.5%US$1.4b
FIVE Five Below
1.4x8.5%US$5.0b
WRBY Warby Parker
2.8x11.5%US$2.0b

Price-To-Sales vs Peers: WRBY is good value based on its Price-To-Sales Ratio (2.8x) compared to the peer average (4.6x).


Price to Earnings Ratio vs Industry

How does WRBY's PE Ratio compare vs other companies in the US Specialty Retail Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a9.5%
n/an/an/a
No. of CompaniesPS048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a9.5%
n/an/an/a
No more companies

Price-To-Sales vs Industry: WRBY is expensive based on its Price-To-Sales Ratio (2.8x) compared to the US Specialty Retail industry average (0.4x).


Price to Sales Ratio vs Fair Ratio

What is WRBY's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

WRBY PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio2.8x
Fair PS Ratio1.2x

Price-To-Sales vs Fair Ratio: WRBY is expensive based on its Price-To-Sales Ratio (2.8x) compared to the estimated Fair Price-To-Sales Ratio (1.2x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst WRBY forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$17.12
US$17.15
+0.2%
10.7%US$20.00US$14.00n/a13
Oct ’25US$15.58
US$16.93
+8.7%
10.8%US$20.00US$14.00n/a14
Sep ’25US$14.92
US$16.93
+13.5%
10.8%US$20.00US$14.00n/a14
Aug ’25US$15.86
US$16.58
+4.6%
11.1%US$19.00US$14.00n/a12
Jul ’25US$15.87
US$16.50
+4.0%
11.5%US$19.00US$14.00n/a12
Jun ’25US$17.71
US$16.50
-6.8%
11.5%US$19.00US$14.00n/a12
May ’25US$11.98
US$15.17
+26.6%
15.9%US$19.00US$12.00n/a12
Apr ’25US$14.00
US$15.17
+8.3%
15.9%US$19.00US$12.00n/a12
Mar ’25US$12.90
US$15.69
+21.6%
18.8%US$22.00US$12.00n/a13
Feb ’25US$13.05
US$15.69
+20.2%
20.4%US$22.00US$12.00n/a13
Jan ’25US$14.10
US$15.38
+9.1%
22.6%US$22.00US$11.00n/a13
Dec ’24US$11.05
US$15.38
+39.2%
22.6%US$22.00US$11.00n/a13
Nov ’24US$12.41
US$15.85
+27.7%
19.6%US$22.00US$12.00n/a13
Oct ’24US$13.16
US$15.75
+19.7%
20.4%US$22.00US$12.00US$15.5812
Sep ’24US$12.14
US$16.00
+31.8%
20.3%US$22.00US$12.00US$14.9211
Aug ’24US$14.51
US$15.73
+8.4%
21.9%US$22.00US$12.00US$15.8611
Jul ’24US$11.69
US$15.73
+34.5%
21.9%US$22.00US$12.00US$15.8711
Jun ’24US$11.29
US$15.73
+39.3%
21.9%US$22.00US$12.00US$17.7111
May ’24US$11.13
US$15.91
+42.9%
23.1%US$22.00US$11.00US$11.9811
Apr ’24US$10.59
US$16.18
+52.8%
21.1%US$22.00US$12.00US$14.0011
Mar ’24US$12.26
US$17.60
+43.6%
24.9%US$26.00US$12.00US$12.9010
Feb ’24US$16.67
US$19.64
+17.8%
23.4%US$26.00US$11.00US$13.0511
Jan ’24US$13.49
US$19.73
+46.2%
23.3%US$26.00US$11.00US$14.1011
Dec ’23US$17.16
US$19.70
+14.8%
24.5%US$26.00US$11.00US$11.0510
Nov ’23US$15.96
US$19.80
+24.1%
25.8%US$29.00US$14.00US$12.4110
Oct ’23US$13.34
US$19.70
+47.7%
26.6%US$29.00US$13.00US$13.1610

Analyst Forecast: Target price is less than 20% higher than the current share price.


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