National Vision Holdings, Inc. (EYE) Hits Fresh High: Is There Still Room to Run?

Core Viewpoint - National Vision (EYE) has shown strong stock performance, with a 14.8% increase over the past month and a 135.5% gain since the beginning of the year, significantly outperforming the Zacks Consumer Staples sector and the Zacks Consumer Products - Staples industry [1] Financial Performance - National Vision has consistently exceeded earnings expectations, reporting an EPS of $0.34 against a consensus estimate of $0.29 in its last earnings report [2] - For the current fiscal year, the company is projected to achieve earnings of $0.62 per share on revenues of $1.94 billion, reflecting a 19.23% increase in EPS and a 2.88% increase in revenues [3] - The next fiscal year forecasts earnings of $0.79 per share on $2 billion in revenues, indicating a year-over-year change of 27.82% in EPS and 3.13% in revenues [3] Valuation Metrics - National Vision's stock trades at a premium valuation of 39.6X current fiscal year EPS estimates compared to the peer industry average of 19.2X [7] - On a trailing cash flow basis, the stock trades at 15X versus the peer group's average of 13.6X, with a PEG ratio of 2.05, suggesting it is not among the top value stocks [7] Zacks Rank and Style Scores - The stock holds a Zacks Rank of 2 (Buy), supported by favorable earnings estimate revisions from analysts [8] - National Vision has a Value Score of C, a Growth Score of B, and a Momentum Score of D, resulting in a combined VGM Score of B [6][9]