Warby Parker (WRBY) Stock Forecast & Price Target

Warby Parker Inc. is strategically expanding its production capacity and retail presence, aiming to reach 10 million units annually by the end of 2026 and growing its store network to potentially 900 locations, significantly up from 313 as of the end of Q3 2025. The company has demonstrated strong sales growth, with a re-acceleration towards its 20% growth algorithm supported by increased demand and higher average selling prices, especially in progressive lenses. Additionally, despite external challenges such as tariffs, Warby Parker is on track for improved adjusted EBITDA margins, indicating robust operational efficiency and a positive long-term financial outlook.

The analysis of Warby Parker Inc. suggests a negative financial outlook due to several fundamental challenges. Despite experiencing 15%+ total revenue growth, sales performance fell short of management expectations, particularly influenced by a decline in spending among younger consumers and a shift towards lower-priced eyewear options. Additionally, broader macroeconomic risks and intensified competition from larger players pose significant threats that may lead to continued margin compression and increased cash usage.