Warby Parker Announces Buyback Amid Profitable Growth Milestone
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The latest announcement is out from Warby Parker ( (WRBY) ).
On February 26, 2026, Warby Parker reported fourth quarter and full-year 2025 results showing net revenue up 13.0% to $871.9 million for the year and 11.2% in the quarter, supported by 7.0% active customer growth and a 5.7% rise in average revenue per customer to $324. The company achieved its first full year of positive net income at $1.6 million, expanded Adjusted EBITDA by 30.2% to $95.2 million with a 10.9% margin, and delivered its third consecutive year of positive operating and free cash flow, while ending 2025 with $286.4 million in cash and opening 47 net new stores to reach 323 locations.
Management highlighted that gross margin fell to 54.0% for 2025, pressured by tariffs, higher doctor headcount, contact lens mix, and shipping costs, though partially offset by selective price increases and greater penetration of progressives and lens enhancements. SG&A as a percentage of revenue declined materially due to cost leverage, operational efficiencies, and lower stock-based compensation, supporting margin improvement and signaling increased operating discipline as Warby Parker seeks to capture additional market share in a competitive, dynamic environment.
The board also authorized a share repurchase program of up to $100 million in Class A common stock in February 2026, providing a new capital return lever alongside ongoing investments in growth, including a planned pipeline of new stores. This move, enabled by a strong balance sheet and cash generation, underscores management’s confidence in the company’s long-term prospects and offers potential support for the stock, while preserving flexibility as the program has no fixed expiration and can be adjusted at the board’s discretion.
Co-founders Dave Gilboa and Neil Blumenthal framed 2025 as a pivotal year, noting that Warby Parker sustained double-digit revenue growth each quarter while transitioning to profitability and enhancing Adjusted EBITDA. They signaled a strategic push into a “next act” centered on innovation and AI to reshape the eyewear and vision-care experience, positioning the brand for accelerated growth as it continues to marry style, quality, and value with technology-driven customer experiences.
The most recent analyst rating on (WRBY) stock is a Buy with a $32.00 price target. To see the full list of analyst forecasts on Warby Parker stock, see the WRBY Stock Forecast page.
Spark’s Take on WRBY Stock
According to Spark, TipRanks’ AI Analyst, WRBY is a Neutral.
Warby Parker’s overall stock score is driven by strong technical momentum and strategic partnerships, particularly in AI innovation. However, the high P/E ratio and challenges in achieving profitability weigh heavily on the score. The absence of a dividend yield and concerns over macroeconomic impacts further contribute to a cautious outlook.
To see Spark’s full report on WRBY stock, click here.
More about Warby Parker
Warby Parker Inc. is a New York City–based direct-to-consumer lifestyle brand in the eyewear and vision-care industry, offering designer-quality prescription glasses starting at $95, contact lenses, and eye exams and vision tests online and in 323 retail stores across the U.S. and Canada. Founded in 2010 and listed on the NYSE, the co-founder-led company targets accessible, fashion-forward vision solutions and runs a Buy a Pair, Give a Pair program that has distributed over 20 million glasses through nonprofit partners.
The company positions itself as a business that can scale while delivering both financial performance and social impact, emphasizing style, quality, and value without premium pricing. Its omnichannel model and focus on innovation and technology are central to its strategy of expanding market share in eyewear and broader vision care.
Average Trading Volume: 4,134,757
Technical Sentiment Signal: Hold
Current Market Cap: $2.72B
For detailed information about WRBY stock, go to TipRanks’ Stock Analysis page.
