Should National Vision Stock Be in Your Portfolio Right Now?

Core Insights - National Vision Holdings, Inc. (EYE) is gaining market share across four sub-segments of Owned and Host, supported by growth drivers such as the America's Best brand and new promotional initiatives [1][3] - The company is facing challenges from rising expenses and high dependence on a limited number of vendors, which may negatively impact sales [1][10][11] Company Performance - Over the past year, National Vision's stock has declined by 48.2%, contrasting with a 6.2% growth in the industry and a 24.4% rise in the S&P 500 [2] - The company has a market capitalization of $1.58 billion and has surpassed earnings estimates in three of the last four quarters, achieving an average earnings surprise of 93.7$4 million [5] - New store openings are being moderated to 30-35 America's Best stores in fiscal 2025, allowing for more investment in existing operations [6] Industry Trends - A 2023 report indicates that 82% of respondents use some form of vision correction, highlighting a strong market for optical retail [7] - The World Health Organization reported that nearly 2.2 billion individuals globally have vision impairment, with 1 billion cases unaddressed, indicating a significant market opportunity [9] Financial Estimates - The Zacks Consensus Estimate for National Vision's 2024 earnings per share (EPS) is 49 cents, with revenues projected at $1.84 billion, reflecting a 13.3% decline from the previous year [12]