Warby Parker (NYSE:WRBY) Trading Down 5.2% – What’s Next?

Warby Parker Inc. (NYSE:WRBY) was down 5.2% on Friday . The company traded as low as $24.84 and last traded at $24.9490. Approximately 300,119 shares changed hands during trading, a decline of 88% from the average daily volume of 2,469,652 shares. The stock had previously closed at $26.33.

Analyst Upgrades and Downgrades

A number of analysts have commented on WRBY shares. Wall Street Zen cut shares of Warby Parker from a “buy” rating to a “hold” rating in a research report on Saturday, November 1st. Citigroup upgraded Warby Parker from a “hold” rating to an “outperform” rating in a research report on Wednesday, December 10th. Zacks Research upgraded Warby Parker from a “strong sell” rating to a “hold” rating in a report on Thursday, September 4th. The Goldman Sachs Group increased their price target on Warby Parker from $27.00 to $31.00 and gave the stock a “buy” rating in a report on Monday, October 6th. Finally, Piper Sandler raised their price objective on shares of Warby Parker from $22.00 to $32.00 and gave the stock an “overweight” rating in a research report on Tuesday, December 16th. Eleven research analysts have rated the stock with a Buy rating and eight have issued a Hold rating to the stock. According to data from MarketBeat.com, Warby Parker currently has a consensus rating of “Moderate Buy” and a consensus price target of $26.75.

Warby Parker Price Performance

The firm has a fifty day simple moving average of $21.18 and a 200-day simple moving average of $23.36. The firm has a market cap of $2.63 billion, a P/E ratio of 2,484.10 and a beta of 2.06.

Warby Parker (NYSE:WRBY) last released its quarterly earnings data on Thursday, November 6th. The company reported $0.06 EPS for the quarter, missing the consensus estimate of $0.09 by ($0.03). Warby Parker had a net margin of 0.08% and a return on equity of 1.96%. The firm had revenue of $221.68 million for the quarter, compared to the consensus estimate of $224.49 million. During the same quarter in the prior year, the firm earned ($0.03) EPS. The company’s revenue was up 15.2% compared to the same quarter last year. On average, equities analysts predict that Warby Parker Inc. will post -0.12 earnings per share for the current year.

Insiders Place Their Bets

In related news, Director Joel E. Cutler sold 19,932 shares of the company’s stock in a transaction dated Tuesday, December 16th. The shares were sold at an average price of $26.01, for a total value of $518,431.32. Following the sale, the director owned 20,000 shares in the company, valued at $520,200. This represents a 49.91% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Youngme E. Moon sold 38,832 shares of the firm’s stock in a transaction dated Thursday, December 11th. The shares were sold at an average price of $29.07, for a total transaction of $1,128,846.24. Following the completion of the transaction, the director directly owned 27,057 shares in the company, valued at approximately $786,546.99. The trade was a 58.94% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 158,764 shares of company stock worth $4,676,278. Insiders own 18.24% of the company’s stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Man Group plc boosted its stake in shares of Warby Parker by 1.6% in the 2nd quarter. Man Group plc now owns 25,095 shares of the company’s stock worth $550,000 after buying an additional 400 shares during the last quarter. Choreo LLC boosted its position in Warby Parker by 4.6% in the third quarter. Choreo LLC now owns 16,605 shares of the company’s stock worth $458,000 after purchasing an additional 728 shares during the last quarter. Ameritas Investment Partners Inc. boosted its position in Warby Parker by 8.3% in the second quarter. Ameritas Investment Partners Inc. now owns 10,034 shares of the company’s stock worth $220,000 after purchasing an additional 769 shares during the last quarter. New York State Teachers Retirement System grew its stake in Warby Parker by 10.1% in the 3rd quarter. New York State Teachers Retirement System now owns 8,905 shares of the company’s stock valued at $246,000 after purchasing an additional 816 shares during the period. Finally, Rafferty Asset Management LLC increased its position in shares of Warby Parker by 5.4% during the 2nd quarter. Rafferty Asset Management LLC now owns 15,899 shares of the company’s stock valued at $349,000 after purchasing an additional 819 shares during the last quarter. 93.24% of the stock is currently owned by hedge funds and other institutional investors.

About Warby Parker

Warby Parker, Inc (NYSE: WRBY) is a U.S.-based eyewear company that designs, manufactures and sells prescription glasses, sunglasses and contact lenses through a direct-to-consumer model. Since its founding, the company has combined online and brick-and-mortar channels to streamline the customer experience, offering features such as virtual try-on technology and a home try-on program that allows consumers to sample frames before purchase.

Established in 2010 by Wharton graduates Neil Blumenthal, Dave Gilboa, Andrew Hunt and Jeffrey Raider, Warby Parker set out to disrupt the traditional optical market by controlling the entire supply chain—from frame design and lens production to warehousing and distribution.