Analyst Oliver Chen from TD Cowen reiterated a Buy rating on Warby Parker and increased the price target to $30.00 from $26.00.
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Oliver Chen has given his Buy rating due to a combination of factors tied to Warby Parker’s growth trajectory and strategic initiatives. He highlights the company’s strong unit expansion runway from its current store base toward a long-term 900-location goal, as well as attractive opportunities in higher-margin products such as progressives, sport and athletic eyewear, and forthcoming A.I.-enabled glasses developed through a partnership with Google.
Chen also points to solid top-line performance and share gains versus the broader eyewear market, with sales growing several times faster than the industry while the company achieved its first full year of net income profitability. Although recent gross margin and EBITDA fell short of consensus, he views these pressures as manageable against a backdrop of double-digit revenue growth guidance, expanding EBITDA, and a valuation he justifies by raising his price target to $30 based on projected FY27 EV/EBITDA multiples.
According to TipRanks, Chen is a 4-star analyst with an average return of 4.9% and a 52.61% success rate. Chen covers the Consumer Cyclical sector, focusing on stocks such as LuxExperience, Sally Beauty, and Tapestry.
In another report released today, TipRanks – Google also reiterated a Buy rating on the stock with a $28.00 price target.