Warby Parker (NYSE:WRBY) Shares Down 5.1% Following Insider Selling

Key Points

• Warby Parker shares fell 5.1% to approximately $25.66 after CEO Neil Blumenthal sold 100,000 shares for $2.77 million under a pre-arranged Rule 10b5-1 trading plan, reducing his direct holdings by 73.5%.
• Analyst sentiment remains generally positive, with seven Buy, three Hold, and one Sell rating; the stock has an average rating of “Moderate Buy” and a consensus price target of $30.08.
• The company’s latest quarter showed 9.6% year-over-year revenue growth to $235.5 million, but earnings of $0.04 per share missed the $0.10 analyst consensus, while institutional investors own 93.24% of outstanding shares.

Shares of Warby Parker Inc. (NYSE:WRBY - Get Free Report) dropped 5.1% during mid-day trading on Monday after an insider sold shares in the company. The company traded as low as $25.58 and last traded at $25.66. Approximately 509,002 shares traded hands during mid-day trading, a decline of 84% from the average session volume of 3,087,230 shares. The stock had previously closed at $27.03.

Specifically, CEO Neil Blumenthal sold 100,000 shares of Warby Parker stock in a transaction dated Thursday, October 1st. The shares were sold at an average price of $27.69, for a total transaction of $2,769,000.00. Following the completion of the transaction, the chief executive officer directly owned 36,020 shares of the company's stock, valued at $997,393.80. This trade represents a 73.52% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Wall Street Analyst Weigh In

Several brokerages have weighed in on WRBY. Citizens Jmp decreased their price objective on shares of Warby Parker from $30.00 to $29.00 and set a "market outperform" rating on the stock in a research note on Friday, August 7th. BTIG Research reissued a "buy" rating on shares of Warby Parker in a report on Friday, August 14th. Weiss Ratings lowered Warby Parker from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Friday, September 25th. Roth Capital reaffirmed a "neutral" rating and set a $28.00 price target on shares of Warby Parker in a report on Wednesday, August 5th. Finally, Deutsche Bank Aktiengesellschaft set a $29.00 price objective on Warby Parker in a research report on Thursday, September 17th. Seven analysts have rated the stock with a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, Warby Parker presently has an average rating of "Moderate Buy" and an average price target of $30.08.

Warby Parker Trading Down 5.1%

The stock has a market capitalization of $2.78 billion, a P/E ratio of 366.51, a PEG ratio of 7.32 and a beta of 1.89. The company has a fifty day simple moving average of $25.66 and a two-hundred day simple moving average of $25.24.

Warby Parker (NYSE:WRBY - Get Free Report) last issued its quarterly earnings results on Thursday, August 6th. The company reported $0.04 EPS for the quarter, missing the consensus estimate of $0.10 by ($0.06). Warby Parker had a return on equity of 3.36% and a net margin of 0.85%.The business had revenue of $235.51 million for the quarter, compared to analyst estimates of $237.98 million. During the same quarter in the prior year, the firm earned ($0.01) EPS. The firm's quarterly revenue was up 9.6% compared to the same quarter last year. As a group, analysts forecast that Warby Parker Inc. will post 0.14 earnings per share for the current fiscal year.

Institutional Trading of Warby Parker

A number of institutional investors have recently bought and sold shares of the business. EverSource Wealth Advisors LLC raised its holdings in Warby Parker by 105.7% in the first quarter. EverSource Wealth Advisors LLC now owns 1,310 shares of the company's stock worth $28,000 after purchasing an additional 673 shares during the period. Essential Partners LLC boosted its holdings in Warby Parker by 44.2% during the first quarter. Essential Partners LLC now owns 2,570 shares of the company's stock worth $54,000 after purchasing an additional 788 shares during the last quarter. Parallel Advisors LLC grew its position in Warby Parker by 110.7% in the first quarter. Parallel Advisors LLC now owns 1,837 shares of the company's stock valued at $39,000 after purchasing an additional 965 shares in the last quarter. IFP Advisors Inc increased its stake in Warby Parker by 7.5% in the 2nd quarter. IFP Advisors Inc now owns 19,453 shares of the company's stock valued at $590,000 after buying an additional 1,355 shares during the last quarter. Finally, Corient Private Wealth LP lifted its position in Warby Parker by 1.8% during the 2nd quarter. Corient Private Wealth LP now owns 118,845 shares of the company's stock worth $3,606,000 after buying an additional 2,127 shares in the last quarter. Institutional investors and hedge funds own 93.24% of the company's stock.

Warby Parker Company Profile

Warby Parker Inc is an omnichannel eyewear company that designs, produces, and sells prescription eyeglasses, sunglasses, contact lenses, and related vision-care products. The company serves customers through its e-commerce platform, retail stores, and other direct-to-consumer channels, offering products under its Warby Parker brand.

Founded in 2010 by Neil Blumenthal, Dave Gilboa, Andrew Hunt, and Jeffrey Raider, Warby Parker began as an online eyewear retailer and later expanded its physical retail presence.

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