WRBY Valuation

Warby Parker Inc

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28.560

+0.08(0.281%)1D

Overview
Forecast
Valuation
Earnings

WRBY Relative Valuation

WRBY's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, WRBY is overvalued; if below, it's undervalued.

Historical Valuation

Warby Parker Inc (WRBY) is now in the Fair zone, suggesting that its current forward PS ratio of 3.63 is considered Fairly compared with the five-year average of 113.99. The fair price of Warby Parker Inc (WRBY) is between 11.62 to 36.26 according to relative valuation methord.

Relative Value

Fair Zone

11.62-36.26

Current Price：28.56

Fair

66.19

Trailing

Forward

30.10

EV/EBITDA

Warby Parker Inc. (WRBY) has a current EV/EBITDA of 30.10. The 5-year average EV/EBITDA is 43.72. The thresholds are as follows: Strongly Undervalued below -38.21, Undervalued between -38.21 and 2.75, Fairly Valued between 84.69 and 2.75, Overvalued between 84.69 and 125.65, and Strongly Overvalued above 125.65. The current Forward EV/EBITDA of 30.10 falls within the Historic Trend Line -Fairly Valued range.

56.04

EV/EBIT

Warby Parker Inc. (WRBY) has a current EV/EBIT of 56.04. The 5-year average EV/EBIT is 88.43. The thresholds are as follows: Strongly Undervalued below -440.40, Undervalued between -440.40 and -175.98, Fairly Valued between 352.85 and -175.98, Overvalued between 352.85 and 617.26, and Strongly Overvalued above 617.26. The current Forward EV/EBIT of 56.04 falls within the Historic Trend Line -Fairly Valued range.

3.63

Warby Parker Inc. (WRBY) has a current PS of 3.63. The 5-year average PS is 3.20. The thresholds are as follows: Strongly Undervalued below -0.72, Undervalued between -0.72 and 1.24, Fairly Valued between 5.16 and 1.24, Overvalued between 5.16 and 7.12, and Strongly Overvalued above 7.12. The current Forward PS of 3.63 falls within the Historic Trend Line -Fairly Valued range.

28.29

P/OCF

Warby Parker Inc. (WRBY) has a current P/OCF of 28.29. The 5-year average P/OCF is 61.18. The thresholds are as follows: Strongly Undervalued below -171.15, Undervalued between -171.15 and -54.99, Fairly Valued between 177.34 and -54.99, Overvalued between 177.34 and 293.50, and Strongly Overvalued above 293.50. The current Forward P/OCF of 28.29 falls within the Historic Trend Line -Fairly Valued range.

-34.30

P/FCF

Warby Parker Inc. (WRBY) has a current P/FCF of -34.30. The 5-year average P/FCF is 117.29. The thresholds are as follows: Strongly Undervalued below -628.58, Undervalued between -628.58 and -255.64, Fairly Valued between 490.23 and -255.64, Overvalued between 490.23 and 863.16, and Strongly Overvalued above 863.16. The current Forward P/FCF of -34.30 falls within the Historic Trend Line -Fairly Valued range.

Warby Parker Inc (WRBY) has a current Price-to-Book (P/B) ratio of 9.61. Compared to its 3-year average P/B ratio of 6.03 , the current P/B ratio is approximately 59.30% higher. Relative to its 5-year average P/B ratio of 7.44, the current P/B ratio is about 29.11% higher. Warby Parker Inc (WRBY) has a Forward Free Cash Flow (FCF) yield of approximately 1.51%. Compared to its 3-year average FCF yield of -0.20%, the current FCF yield is approximately -845.56% lower. Relative to its 5-year average FCF yield of -0.99% , the current FCF yield is about -252.14% lower.

9.61

P/B

Median3y

6.03

Median5y

7.44

1.51

FCF Yield

Median3y

-0.20

Median5y

-0.99

Competitors Valuation Multiple

The average P/S ratio for WRBY's competitors is 2.10, providing a benchmark for relative valuation. Warby Parker Inc Corp (WRBY) exhibits a P/S ratio of 3.63, which is 72.71% above the industry average. Given its robust revenue growth of 13.95%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Advance Auto Parts Inc

Academy Sports and Outdoors Inc

Performance Decomposition

Market capitalization of WRBY increased by 74.40% over the past 1 year. The primary factor behind the change was an decrease in P/E Change from -152.53 to -362.44.

The secondary factor is the Revenue Growth, contributed 13.95%to the performance.

Overall, the performance of WRBY in the past 1 year is driven by P/E Change. Which is more unsustainable.

13.95%

188.22M → 214.48M

Revenue Growth

-77.16%

-3.59 → -0.82

Margin Expansion

137.61%

-152.53 → -362.44

P/E Change

74.40%