# Warby Parker (WRBY.US)

Canonical: https://gigainvestors.com/s/WRBY

Analysis as of: 2026-10-16T07:33:11.386Z. Financial observations: FY2019–FY2026.

Listing currency: USD. Reporting currency: USD.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: fail; earnings resilience is evidence only). Published buy qualification: no.

Share price: $24.59 per share; close as of 2026-10-15.

## Checklist

### understandable: fail

- 0 revenue declines in the last 10 years (informational)

- more than 2 net loss years

- negative average operating margin

- operating margin variation exceeds 0.35

- Financial history: 8 years

- Years with declining revenue: 0

- Years with a net loss: 6

- Operating margin variation: 0.99×

Chart: Operating margin; fiscal year observations.

- FY2019: -0.00×

- FY2020: -0.14×

- FY2021: -0.27×

- FY2022: -0.19×

- FY2023: -0.11×

- FY2024: -0.04×

- FY2025: -0.01×

- LTM to Jun 2026: 0.00×

### moat: fail

- ROIC median below threshold

- ROIC worst years below threshold (more than 1 bad year allowed)

- ROIC, median of available years: -21.9%

- ROIC, second-lowest year: -125.5%

- Typical minus recent gross margin: 3.1 pp

- Typical gross margin (annual median): 57.0%

- Recent gross margin (lower of latest and 3-year median): 54.0%

- Years with nonpositive capital: 0

- Capital spending / revenue: 8.3%

- ROIC including acquisitions, ten-year median: -46.7%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2019: -3.1%

- FY2020: -153.7%

- FY2021: -125.5%

- FY2022: -34.9%

- FY2023: -21.9%

- FY2024: -7.6%

- FY2025: -1.1%

### economics: fail

- owner earnings cash conversion below threshold

- incremental invested capital return below threshold

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: -$349M

- Net income, five-year total: -$337M

- Return on incremental invested capital: -1.8%

- Working capital / revenue, annual change: 0.8 pp

Chart: Owner earnings · five years; fiscal year observations.

- FY2021: -$144M

- FY2022: -$123M

- FY2023: -$63M

- FY2024: -$20M

- FY2025: $1.6M

### management: fail

- potential debt-funded buybacks (informational)

- buybacks unrelated to price (informational)

- ROIC first 3 years vs last 3 years: -125.5% vs -7.6%

- Per-share earnings: -1.10 to -0.17 (three-year endpoint medians)

- per-share value declined or ends nonpositive

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 5-year annual growth: 18.7%

- Diluted shares, 5-year annual growth: 18.7%

- Per-share value change: $0.93

- Per-share value, starting three-year median: -$1.10

- Per-share value, ending three-year median: -$0.17

- Average buyback yield: 0.2%

- Buyback history: 1 years

- Debt-funded buybacks: Yes

- ROIC, first three-year median: -125.5%

- ROIC, last three-year median: -7.6%

Chart: Earnings per share; fiscal year observations.

- FY2019: -$1.10

- FY2020: -$1.05

- FY2021: -$2.02

- FY2022: -$0.96

- FY2023: -$0.54

- FY2024: -$0.17

- FY2025: $0.01

### accounting: fail

- latest-year receivables to sales index (DSRI) exceeds 1.465

- stock compensation exceeds 15% of operating cash flow

- Sloan accruals: -15.1%

- Receivables to sales index (DSRI): 1.49×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 31.2%

- Earnings backed by cash: Yes

- Operating cash / earnings: 67.51×

- Accounting red flags: 2

- Goodwill and intangibles / equity: 0.00×

Chart: Sloan accruals; fiscal year observations.

- FY2019: -44.9%

- FY2020: -19.9%

- FY2021: -25.5%

- FY2022: -21.2%

- FY2023: -21.4%

- FY2024: -17.6%

- FY2025: -15.1%

## Holders

- [Henry Ellenbogen](https://gigainvestors.com/DCP): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Matthew McLennan](https://gigainvestors.com/FE): tracked 13F investor; follow the investor page for holding quarter and amounts.

- [Thomas Russo](https://gigainvestors.com/GR): tracked 13F investor; follow the investor page for holding quarter and amounts.

## Price story

Down 54% since Oct 2021 · "WRBY Q3 Deep Dive: Revenue Miss and Guidance Reduction Amid Changing Consumer Trends" (finance.yahoo.com, Nov 2025) · sales +4.6%

Story as of 2026-10-16T09:59:52.901Z; price observation 2026-10-15.

- 2025-05-20: Warby Parker Stock Pops on Partnership With Google to Develop AI Glasses ([finance.yahoo.com](https://finance.yahoo.com/m/4512b359-8fb2-39ca-b2c8-29cbc36eaf64/warby-parker-stock-pops-on.html))

- 2025-08-07: Warby Parker Inc. (NYSE:WRBY) Q2 2025 Earnings: Revenue Growth Meets Expectations, Adjusted EBITDA Improves ([chartmill.com](https://www.chartmill.com/news/WRBY/Chartmill-32658-Warby-Parker-Inc-NYSEWRBY-Q2-2025-Earnings-Revenue-Growth-Meets-Expectations-Adjusted-EBITDA-Improves))

- 2025-11-08: Warby Parker (WRBY): Examining Valuation After Return to Profitability and Upgraded Revenue Outlook ([finance.yahoo.com](https://finance.yahoo.com/news/warby-parker-wrby-examining-valuation-071404988.html))

- 2026-01-14: Warby Parker (WRBY) Soars 9.4% on Strong AI Glasses Demand ([finance.yahoo.com](https://finance.yahoo.com/news/warby-parker-wrby-soars-9-120943721.html))

- 2026-05-08: Warby Parker (WRBY) Beats Revenue Guidance, Rockets 23% ([finance.yahoo.com](https://finance.yahoo.com/markets/stocks/articles/warby-parker-wrby-beats-revenue-025815503.html))

### Sales · FY2025–2026

sales +4.6%; source https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm; observed 2026-02-26.

- FY2019: $370M 

- FY2020: $394M 

- FY2021: $541M 

- FY2022: $598M 

- FY2023: $670M 

- FY2024: $771M 

- FY2025: $872M 

- FY2026: $912M 

### Gross margin · FY2025

gross margin 54%; source https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm; observed 2026-02-26.

- FY2019: 60.2% 

- FY2020: 58.9% 

- FY2021: 58.8% 

- FY2022: 57.0% 

- FY2023: 54.5% 

- FY2024: 55.3% 

- FY2025: 54.0% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in medical instruments & supplies; annual sales are USD 871.9 million.

- Source: https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm (filed 2026-02-26); FY2025: revenue 871905000; grossProfit 470579000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); WRBY.US: Warby Parker Inc. sells eyewear products through its retail and e-commerce platform in the United States and Canada. The company offers eyeglasses and sunglasses; and single-vision, progressive, light-responsive, polarized, blue-light-filtering, tinted, non-prescription, and contact lenses. It also provides accessories, such as cases, pouches, lenses kit with anti-fog spray, travel cases, lenses cloth, anti-fog lens spray, and sun clip-ons through its stores, website, and mobile apps. In addition, the company offers eye exams and vision tests, as well as optical services. Warby Parker Inc. was incorporated in 2009 and is headquartered in New York, New York.

### Why customers stay

Margins ranged from 54% to 55.3% during 2023–25; it lost 21.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); FY2023: grossProfit / revenue = 54.5%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); FY2024: grossProfit / revenue = 55.3%.

- Source: https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm (filed 2026-02-26); FY2025: grossProfit / revenue = 54%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); 7-year return on capital observations [[2019,-0.031490706752898674],[2020,-1.5367955801104973],[2021,-1.2551391254340758],[2022,-0.3493903889213686],[2023,-0.21930534027376133],[2024,-0.07642467720638552],[2025,-0.011027597609055069]]; median -0.21930534027376133. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Paid dividends in 2 of 7 years.

- Source: https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm (filed 2026-02-26); FY2025: growth capex 16768000; upkeep 50280000; owner earnings 1641000. Growth capex / owner earnings = 10.218159658744668.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); Dividend observations: [[2019,887000],[2020,0],[2021,51647000],[2022,0],[2023,0],[2024,0],[2025,0]]. Zero only counted when supported by a complete cash-flow statement.

### What the price says

The price is 3.5 times annual sales.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-02-26); Closing price 24.59 USD; reporting-to-trading FX 1; FY2025 annual sales per share 6.969664268585132; price multiple 3.5281469884907186. FY2025 cash earnings/share 0.013117505995203838. Closing-price date 2026-10-15.

## Monthly share-price history (USD per share)

- 2021-09: $53.05 per share

- 2021-10: $54.00 per share

- 2021-11: $50.75 per share

- 2021-12: $46.56 per share

- 2022-01: $37.17 per share

- 2022-02: $29.93 per share

- 2022-03: $33.81 per share

- 2022-04: $23.29 per share

- 2022-05: $16.98 per share

- 2022-06: $11.26 per share

- 2022-07: $12.39 per share

- 2022-08: $12.57 per share

- 2022-09: $13.34 per share

- 2022-10: $16.05 per share

- 2022-11: $17.03 per share

- 2022-12: $13.49 per share

- 2023-01: $16.15 per share

- 2023-02: $13.01 per share

- 2023-03: $10.59 per share

- 2023-04: $10.53 per share

- 2023-05: $11.01 per share

- 2023-06: $11.69 per share

- 2023-07: $14.94 per share

- 2023-08: $12.01 per share

- 2023-09: $13.16 per share

- 2023-10: $12.98 per share

- 2023-11: $10.41 per share

- 2023-12: $14.10 per share

- 2024-01: $12.75 per share

- 2024-02: $12.71 per share

- 2024-03: $13.61 per share

- 2024-04: $11.74 per share

- 2024-05: $17.71 per share

- 2024-06: $16.06 per share

- 2024-07: $16.47 per share

- 2024-08: $14.92 per share

- 2024-09: $16.33 per share

- 2024-10: $16.93 per share

- 2024-11: $22.54 per share

- 2024-12: $24.21 per share

- 2025-01: $27.71 per share

- 2025-02: $24.73 per share

- 2025-03: $18.23 per share

- 2025-04: $16.51 per share

- 2025-05: $21.17 per share

- 2025-06: $21.93 per share

- 2025-07: $23.95 per share

- 2025-08: $26.20 per share

- 2025-09: $27.58 per share

- 2025-10: $19.59 per share

- 2025-11: $19.81 per share

- 2025-12: $21.79 per share

- 2026-01: $25.51 per share

- 2026-02: $25.01 per share

- 2026-03: $21.07 per share

- 2026-04: $22.12 per share

- 2026-05: $24.52 per share

- 2026-06: $30.34 per share

- 2026-07: $26.69 per share

- 2026-08: $24.60 per share

- 2026-09: $27.78 per share

- 2026-10: $24.59 per share

## Annual estimated value (USD per share)

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

## Sources

[Original 10-K filing](https://www.sec.gov/Archives/edgar/data/1504776/000150477626000006/wrby-20251231.htm); period 2025-12-31, filed 2026-02-26.

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.