WRBY Stock Analysis: Buy, Sell, or Hold?

WRBY - Warby Parker Inc.

OPHTHALMIC GOODS
$28.73
-0.17 (-0.59%) ▼
5d: -2.77%
30d: +24.0%
90d: +27.92%
HOLD
MODERATE Confidence
Protect Your WRBY Gains
Analysis Updated: May 15, 2026 12:00 AM ET
Earnings: May 07, 2026 0d
Smart Money Distribution

WRBY is up 28.0% this week, but smart money is buying puts. Top strike: $20 2026-06-18 with 11,491 OI. Put ratio: 64% View Scanner →

Strength: 10.0/10

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Interactive Price Chart (1 Month)

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💡
Bottom Line:
📊 HOLD - EXTENDED: WRBY is 7.5% above its trading range ($26.73). Fundamentals are solid but entry is stretched. Hold existing positions; wait for pullback to add new shares.
See Forward Earnings Fair Value & Price Prediction →

Long-Term Wealth Forecast (2031)

Based on Analyst Consensus Growth & Historical Valuation

0% (Stagnation) 50% (Hyper Growth)
EST. PRICE IN 2031
$32.82
Based on 14.5% avg growth
INTRINSIC VALUE TODAY
$20.38
Trading above historical range

How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 25.0x Exit PE.

In-depth Analysis How we analyze

Valuation Analysis: WRBY is currently trading at $28.73, which is considered extended relative to its 30-day fair value range of $21.21 to $26.73. The stock's valuation (Forward PE: 42.6) is in line with its historical norms (43.1). Remarkably, the market is currently pricing in an annual earnings decline of 0.3% over the next few years. This aligns with recent fundamental challenges.

Technical Outlook: Technically, WRBY is in a downtrend. Immediate support is located at $21.48, while resistance sits at $29.95.

Market Sentiment: WRBY has a strong technical setup (75/100), with favorable trendlines, momentum, and price action for short-term traders. The stock is fairly positioned - fine to hold existing positions or accumulate slowly on dips, but not an urgent buy.

Quick Decision Summary

Current Position EXTENDED
Historical Trading Range $21.21 - $26.73
Company Quality Score 62/100 (BUY)
Volume Confirmation HIGH
Confidence Score 52.4%

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All Signals

  • BEARISH: Price extended above range (+7.5% above its trading range)
  • BULLISH: Strong technical setup (75/100)
  • BULLISH: High volume confirmation
  • NEUTRAL: Near Wall St target ($29.92)

Trading Range Analysis

30-Day Trading Range $21.21 - $26.73
Current vs Trading Range EXTENDED

Support & Resistance Levels

Support Level $21.48
Resistance Level $29.95
Current Trend Downtrend
Technical data as of May 15, 2026

Fundamental Context

Forward P/E (Next Year Est.) 42.62
Wall Street Target $29.92 (+4.1%)
Revenue Growth (YoY) 8.3%
Earnings Growth (YoY) -9.6%
Profit Margin 0.1%
Valuation Discount vs History -0.3% cheaper
PE vs Historical 42.6 vs 43.1 FAIR
Market-Implied Price Targets If current PE multiple persists
Implied Growth (YoY): -0.3% (market-implied from PE analysis)
1-Year Target $28.64 (0%)
2-Year Target $28.56 (-1%)
3-Year Target $28.47 (-1%)
3-Yr Target (if PE normalizes) (PE: 43→43) $28.79 (+0%)
3-Year Scenarios Using analyst projected EPS growth
Bull: (PE: 42.6, Growth: 40.7%) $80.03 (+179%)
Base: (SPY PE: 22.1, Growth: 40.7%) $41.44 (+44%)
Bear: (PE: 18.8, Growth: 40.7%) $35.22 (+23%)
📈 Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (62x PE), but valuation improves significantly next year (43x PE) as earnings recover.
Forward PE: 61.73 | Forward EPS (Implied): $0.47
Bull Case $34.69 (+21%)
Analyst growth 15.0%, PE expands to 64.8
Base Case $28.73 (0%)
Market implied 0.0%, PE stable at 61.7
Bear Case $21.98 (-24%)
Severe decline -15.0%, PE contracts to 55.6
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
💡 Upside Surprise Potential
If earnings stabilize (0% growth), PE could expand from 42.6 to 43.1
Stabilization Target: $29.05 (+1.1%)
PE Expansion Potential: +1.1%
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Last updated: May 16, 2026 10:00 AM ET
Data refreshes hourly during market hours. Next update: 11:00 AM
🔥 Top Stocks Breaking Out Now
Ticker Score Recommendation Change %
Insider Activity (6 Months)
0
Buys
10
Sells
Net
INSIDERS SELLING
Recent Transactions
Neil Harris Blumenthal SELL 22442 shares 2026-04-20
Neil Harris Blumenthal SELL 75213 shares 2026-04-17
Neil Harris Blumenthal SELL 2345 shares 2026-04-16

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Advanced WRBY Option Strategies

Professional options setups generated by AI based on today's WRBY price and gamma walls.

Iron Condor Bull Call Bear Put Collar

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