Financial Performance - Net revenue from continuing operations for Q2 2024 was $451.7 million, a 4.6% increase compared to Q2 2023[1] - The company reported a net loss from continuing operations of $(1.0) million, with a Diluted EPS of $(0.01) for Q2 2024[1] - Total net revenue for the three months ended June 29, 2024, was $451.733 million, an increase of 4.3% compared to $431.786 million for the same period in 2023[32] - Net product sales reached $361.967 million for the three months ended June 29, 2024, compared to $352.180 million for the same period in 2023, reflecting a growth of 2.0%[32] - The company reported a net loss of $3.125 million for the three months ended June 29, 2024, compared to a net income of $5.614 million for the same period in 2023[32] - Basic earnings per share from continuing operations was $(0.01) for the three months ended June 29, 2024, compared to $0.05 for the same period in 2023[32] - Net income for the six months ended June 29, 2024, was $8,560,000, a decrease from $23,884,000 for the same period last year, representing a decline of approximately 64.1%[34] - Adjusted Operating Income from continuing operations for the six months ended June 29, 2024, was $47,967,000, compared to $44,934,000 for the same period last year, reflecting an increase of about 6.8%[36] - EBITDA from continuing operations for the six months ended June 29, 2024, was $69,946,000, down from $77,406,000 for the same period last year, indicating a decrease of approximately 10.0%[37] Store Operations - Comparable store sales growth was 2.2%, with Adjusted Comparable Store Sales Growth at 2.4%, driven by increased customer transactions and higher average ticket[5] - The company opened 17 new stores, ending the quarter with a total of 1,216 stores, reflecting a 5.6% growth in store count from July 1, 2023 to June 29, 2024[5] - Total comparable store sales growth from continuing operations was 2.2% for the three months ended June 29, 2024, compared to (0.2)% for the same period in 2023[44] - Adjusted Comparable Store Sales Growth from continuing operations was 2.4% for the three months ended June 29, 2024, compared to 1.1% for the same period in 2023[44] - The company's 2024 outlook for total comparable store sales growth is projected to be between 1.0% and 2.0%[44] Financial Guidance - For fiscal 2024, the updated outlook for net revenue is projected to be between $1.820 billion and $1.840 billion[14] - Adjusted Diluted EPS guidance for fiscal 2024 is revised to a range of $0.45 to $0.50[14] Cash and Debt Management - The company’s cash balance as of June 29, 2024, was $179.5 million, with total debt at $456.8 million[9] - Cash and cash equivalents increased to $179.515 million as of June 29, 2024, up from $149.896 million as of December 30, 2023, marking a growth of 19.8%[27] - Total current assets decreased to $364.402 million as of June 29, 2024, down from $396.670 million as of December 30, 2023, representing a decline of 8.1%[27] - Total liabilities increased to $1.302 billion as of June 29, 2024, compared to $1.343 billion as of December 30, 2023, indicating a reduction of 3.1%[29] - Cash, cash equivalents, and restricted cash at the end of the period were $180,992,000, down from $255,984,000 at the end of the previous year, a decrease of approximately 29.2%[34] Operational Efficiency - Adjusted Operating Income increased by 13.8% to $14.1 million, with an Adjusted Operating Margin of 3.1%[5] - Selling, general and administrative expenses rose to $231.353 million for the three months ended June 29, 2024, compared to $222.924 million for the same period in 2023, an increase of 3.0%[32] - SG&A from continuing operations for the three months ended June 29, 2024, was $231.4 million, representing 51.2% of net revenue, compared to $222.9 million or 51.6% for the same period in 2023[42] - Adjusted SG&A from continuing operations was $221.8 million for the three months ended June 29, 2024, compared to $217.4 million for the same period in 2023[42] Strategic Initiatives - The company is taking new actions to drive profitable growth, including leadership changes and initiatives to expand exam capacity[11] - National Vision's growth strategy includes expanding its retail presence and enhancing its e-commerce capabilities to meet consumer demand[17] - The company emphasizes the importance of recruiting and retaining vision care professionals to support its in-store and remote care offerings[17] - National Vision's strategic direction includes leveraging technological advancements and addressing ESG issues to enhance its operational resilience[17] Risks and Challenges - National Vision is facing risks related to market volatility, inflation, and consumer spending, which could materially impact its sales and profitability[17] - The company reported a net cash provided by operating activities of $75,448,000 for the six months ended June 29, 2024, compared to $112,216,000 for the same period last year, a decline of about 32.8%[34] - National Vision's financial performance may be adversely affected by its reliance on third-party coverage and reimbursement for a significant portion of its revenues[19] - The company is committed to maintaining relationships with managed vision care companies and vision insurance providers to support its business model[19] Tax and Accounting Practices - The company is implementing a discrete effective tax rate method for its income tax provision, moving away from the annualized effective tax rate method due to reliability concerns[25] - The company utilizes non-GAAP financial measures such as Adjusted EBITDA and Adjusted Operating Income to provide a clearer picture of its operational performance[20] - Adjusted EBITDA Margin from continuing operations for the three months ended June 29, 2024, was 8.1%, compared to 7.9% for the same period last year, showing an improvement of 0.2 percentage points[37] Stock Performance - The diluted EPS from continuing operations for the six months ended June 29, 2024, was $0.44, compared to $0.41 for the same period last year, reflecting an increase of about 7.3%[38] - Adjusted Diluted EPS from discontinued operations was $0.00 for the three months ended June 29, 2024, compared to $0.04 for the same period in 2023[39] - The company reported an adjusted diluted EPS of $0.03 for the six months ended June 29, 2024, compared to $0.10 for the same period in 2023[39] - Stock-based compensation expense for the three months ended June 29, 2024, was $4.8 million, compared to $5.2 million for the same period in 2023[42] - The company incurred stock-based compensation expense of $7,164,000 for the six months ended June 29, 2024, compared to $9,221,000 for the same period last year, a reduction of approximately 22.3%[36] - The weighted average diluted shares outstanding increased to 78,575,000 for the three months ended June 29, 2024, from 78,343,000 for the same period last year[38]

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks. In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value ...

Value investors are also interested in a number of tried-and-true valuation metrics that help show when a company is undervalued at its current share price levels. Our Value category highlights undervalued companies by looking at a variety of key metrics, including the popular P/E ratio, as well as the P/S ratio, earnings yield, cash flow per share, and a variety of other fundamentals that have been used by value investors for years. EYE currently has a forward P/E ratio of 26.63, while PODD has a forward P ...

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks. Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use fundamental analysis and ...

The stock scored a strong price increase on investors' optimism surrounding National Vision's appointment of Mark Banner as the company's new Chief Stores Officer, effective July 8, 2024. The company expects Mark's presence to strongly contribute to National Vision's store performance going forward. For National Vision, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estima ...

Right now, both National Vision and Stryker are sporting a Zacks Rank of # 2 (Buy). This system places an emphasis on companies that have seen positive earnings estimate revisions, so investors should feel comfortable knowing that these stocks have improving earnings outlooks. However, value investors will care about much more than just this. EYE currently has a forward P/E ratio of 23.52, while SYK has a forward P/E of 28.08. We also note that EYE has a PEG ratio of 1.67. This metric is used similarly to t ...

National Vision's four sub-segments within Owned and Host are consistently gaining market share, banking on several growth drivers. These include diminishing eyesight with increasing age, which is leading new customers to buy corrective eyewear, and a steady and consistent replacement cycle, with customers replacing or purchasing new eyewear for a variety of reasons, including changes in prescriptions, fashion trends and necessity. America's Best and Eyeglass World are particularly driving revenues. Nationa ...

With multiple factors in play, a major shakeout is due in the e-commerce space. The rise of AI advances in logistics tech and the post-pandemic norm will play a huge role in driving e-commerce moving forward. In this race, though, you'd expect several companies to be left in the dust, making it an opportune time to consider retail stocks at risk. The intensification of the e-commerce shakeout spells trouble for traditional retail stocks, with the most efficient and tech-savvy companies likely to survive. Wi ...

National Vision Holdings, Inc. (EYE) delivered an adjusted EPS (earnings per share) of 30 cents in the first quarter of 2024 compared with 31 cents in the year-ago quarter. However, the figure topped the Zacks Consensus Estimate by 7.1%.GAAP earnings from continuing operations in the quarter was 16 cents per share compared with 20 cents in the prior year’s quarter.Revenues in DetailOn Feb 23, 2024, National Vision completed the termination of the Walmart Management and Services Agreement and discontinued th ...

National Vision (EYE) came out with quarterly earnings of $0.30 per share, beating the Zacks Consensus Estimate of $0.28 per share. This compares to earnings of $0.31 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 7.14%. A quarter ago, it was expected that this discount optical retailer and eye care provider would post a loss of $0.09 per share when it actually produced a loss of $0.02, delivering a surprise of 77.78%.Over th ...