Warby Parker Inc. (WRBY) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-155.1%

-$13.62

vs $24.73 price

Levered DCF

-$2.05

After debt service

Piotroski score

6 / 9

Average

Altman Z-score

5.3

Safe zone

Rating

C-

Overall 1 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
P/E	1,626.12×	-142.41×	-26.11×	-14.05×	-33.5×	-108.98×	-104.79×
P/B	7.27×	8.57×	5.48×	5.41×	18.5×	19.68×	82.7×
P/S	3.07×	3.78×	2.47×	2.59×	9.78×	15.42×	16.38×
EV / EBITDA	49.13×	109.51×	-66.61×	-19.42×	-41.21×	-154.49×	467.93×
Gross margin	54.0%	55.3%	54.5%	57.0%	58.8%	58.9%	60.2%
Operating margin	-0.6%	-3.9%	-10.7%	-18.6%	-26.6%	-14.1%	-0.4%
Net margin	0.2%	-2.6%	-9.4%	-18.5%	-26.7%	-14.2%	0.0%
Current ratio	2.35×	2.5×	2.35×	2.27×	2.78×	3.42×	1.21×
Debt / equity	0.63×	0.66×	0.58×	0.6×	0×	0×	0×
Interest coverage	0×	0×	0×	0×	-414.01×	-573.53×	0×
Dividend yield	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019
Return on equity	0.4%	-6.0%	-20.9%	-38.5%	-50.4%	-18.1%	0.0%
Return on invested capital	-0.5%	-5.3%	-15.1%	-24.1%	-44.5%	-16.4%	0.0%
Return on assets	0.2%	-3.0%	-10.9%	-19.4%	-32.7%	-12.6%	0.0%
Free cash flow yield	1.6%	1.2%	0.4%	-3.2%	-1.5%	0.2%	-0.2%
Earnings yield	0.1%	-0.7%	-3.8%	-7.1%	-2.7%	-0.9%	0.0%
Enterprise value	$2.6B	$2.9B	$1.6B	$1.5B	$5B	$5.8B	$6B
Net debt / EBITDA	-1×	-1.09×	1.75×	0.45×	2.1×	8.43×	-4.31×
Cash conversion cycle (days)	13	31	49	69	44	-5	-21