📊 EYE Key Takeaways
Is National Vision Holdings, Inc. (EYE) a Good Investment?
National Vision demonstrates solid operational fundamentals with 9% revenue growth and exceptional 202.8% EPS growth, supported by positive free cash flow of $44.1M. However, severe liquidity constraints (current ratio 0.62x, quick ratio 0.37x) and weak return metrics (ROE 3.5%, ROA 1.5%) present material risks that offset the operational positives.
National Vision shows improving fundamentals, with 9.0% revenue growth, sharply higher earnings, and positive free cash flow generation. However, the quality of that improvement is tempered by very thin margins, weak liquidity, and limited interest coverage, which leave little room for operational setbacks. The business appears to be stabilizing rather than demonstrating consistently strong financial strength.
National Vision Holdings, Inc. Key Strengths (EYE)
- Revenue growth of 9% YoY shows market demand and operational scale expansion in optical retail sector
- Operating cash flow of $61.7M exceeds capex, generating $44.1M in free cash flow with 8.1% FCF margin demonstrating cash generation ability
- EPS growth of 202.8% YoY indicates significant profitability improvement, though context on share count and one-time items needed
- Conservative leverage with debt/equity of 0.26x provides balance sheet flexibility
- Revenue growth remains solid at 9.0% year over year, indicating continued demand and store-level momentum.
- Net income and diluted EPS rebounded sharply year over year, showing meaningful earnings recovery.
- Operating cash flow and free cash flow are positive, supporting reinvestment capacity without excessive leverage.
EYE Stock Risks: National Vision Holdings, Inc. Investment Risks
- Critical liquidity concern: current ratio of 0.62x and quick ratio of 0.37x indicate current liabilities exceed liquid assets by 38%, creating potential working capital and covenant risk
- Weak return metrics with ROE of 3.5% and ROA of 1.5% suggest inefficient capital deployment and suboptimal asset utilization
- Tight interest coverage of 1.8x leaves minimal buffer for debt service deterioration if operational performance declines
- Low cash position of $67.9M relative to $2.0B asset base and $233.3M long-term debt creates refinancing and operational flexibility constraints
- Profitability remains structurally thin, with only 3.0% operating margin and 1.5% net margin.
- Liquidity is weak, with a 0.55x current ratio and 0.33x quick ratio, increasing near-term balance sheet pressure.
- Interest coverage of 2.3x suggests limited cushion if borrowing costs rise or earnings soften.
Key Metrics to Watch
- Working capital trends and current/quick ratio improvement to resolve near-term liquidity concerns
- Return on equity sustainability and trajectory given current 3.5% level
- Operating cash flow consistency and ability to fund debt service while maintaining capex
- Same-store sales growth and gross margin expansion to support profitability improvements
- Operating margin and net margin for evidence that earnings improvement is sustainable
- Current ratio, quick ratio, and interest coverage to monitor liquidity and financial flexibility
National Vision Holdings, Inc. (EYE) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The current ratio below 1.0x warrants monitoring of short-term liquidity.
EYE Profit Margin, ROE & Profitability Analysis
EYE vs Market Sector: How National Vision Holdings, Inc. Compares
How National Vision Holdings, Inc. compares to Market sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is National Vision Holdings, Inc. Stock Overvalued? EYE Valuation Analysis 2026
Based on fundamental analysis, National Vision Holdings, Inc. has mixed fundamental signals relative to the Market sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
National Vision Holdings, Inc. Balance Sheet: EYE Debt, Cash & Liquidity
EYE Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: National Vision Holdings, Inc.'s revenue has remained relatively flat over the 5-year period, with a 4% decline. The most recent EPS of $-0.84 indicates the company is currently unprofitable.
EYE Revenue Growth, EPS Growth & YoY Performance
EYE Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $510.3M | $14.2M | $0.18 |
| Q3 2025 | $451.5M | $92.0K | $0.00 |
| Q2 2025 | $451.7M | -$3.1M | $-0.04 |
| Q1 2025 | $482.8M | $11.7M | $0.15 |
| Q3 2024 | $438.8M | $92.0K | $0.00 |
| Q2 2024 | $431.8M | -$3.1M | $-0.04 |
| Q1 2024 | $520.8M | $11.7M | $0.15 |
| Q3 2023 | $499.2M | $5.6M | $0.15 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
National Vision Holdings, Inc. Dividends, Buybacks & Capital Allocation
EYE SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for National Vision Holdings, Inc. (CIK: 0001710155)
📋 Recent SEC Filings
❓ Frequently Asked Questions about EYE
What is the AI rating for EYE?
National Vision Holdings, Inc. (EYE) has a Combined AI Grade of B from Claude (B) and ChatGPT (B) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are EYE's key strengths?
Claude: Revenue growth of 9% YoY shows market demand and operational scale expansion in optical retail sector. Operating cash flow of $61.7M exceeds capex, generating $44.1M in free cash flow with 8.1% FCF margin demonstrating cash generation ability. ChatGPT: Revenue growth remains solid at 9.0% year over year, indicating continued demand and store-level momentum.. Net income and diluted EPS rebounded sharply year over year, showing meaningful earnings recovery..
What are the risks of investing in EYE?
Claude: Critical liquidity concern: current ratio of 0.62x and quick ratio of 0.37x indicate current liabilities exceed liquid assets by 38%, creating potential working capital and covenant risk. Weak return metrics with ROE of 3.5% and ROA of 1.5% suggest inefficient capital deployment and suboptimal asset utilization. ChatGPT: Profitability remains structurally thin, with only 3.0% operating margin and 1.5% net margin.. Liquidity is weak, with a 0.55x current ratio and 0.33x quick ratio, increasing near-term balance sheet pressure..
What is EYE's revenue and growth?
National Vision Holdings, Inc. reported revenue of $543.9M.
Does EYE pay dividends?
National Vision Holdings, Inc. does not currently pay dividends.
Where can I find EYE SEC filings?
Official SEC filings for National Vision Holdings, Inc. (CIK: 0001710155) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is EYE's EPS?
National Vision Holdings, Inc. has a diluted EPS of $0.38.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is EYE's fundamental grade?
Based on our AI fundamental analysis in June 2026, National Vision Holdings, Inc. has a B grade with 74% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is EYE stock overvalued or undervalued?
Valuation metrics for EYE: ROE of 3.5% (sector avg: 15%), net margin of 5.7% (sector avg: 12%). Compare these metrics with sector averages to assess valuation.
What is EYE's AI grade for 2026?
Our dual AI analysis gives National Vision Holdings, Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is EYE's free cash flow?
National Vision Holdings, Inc.'s operating cash flow is $61.7M, with capital expenditures of $17.6M. FCF margin is 8.1%.
How does EYE compare to other Market stocks?
Vs Default sector averages: Net margin 5.7% (avg: 12%), ROE 3.5% (avg: 15%), current ratio 0.62 (avg: 1.8).