lululemon athletica (NASDAQ:LULU) Releases Earnings Results, Beats Expectations By $0.02 EPS

lululemon athletica (NASDAQ:LULU) announced its earnings results on Thursday. The apparel retailer reported $1.69 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.67 by $0.02, FiscalAI reports. The business had revenue of $2.47 billion for the quarter, compared to analyst estimates of $2.43 billion. lululemon athletica had a return on equity of 34.82% and a net margin of 14.22%. lululemon athletica updated its FY 2026 guidance to 10.950-11.150 EPS and its Q2 2026 guidance to 1.760-1.810 EPS.

lululemon athletica Stock Down 0.9%

Shares of NASDAQ:LULU traded down $1.11 during trading on Thursday, hitting $124.92. 7,485,621 shares of the company traded hands, compared to its average volume of 2,887,576. The stock has a market capitalization of $15.08 billion, a price-to-earnings ratio of 9.39, a PEG ratio of 3.90 and a beta of 0.87. The business’s fifty day moving average is $142.80 and its 200-day moving average is $170.67. lululemon athletica has a one year low of $116.63 and a one year high of $338.49.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on the company. Weiss Ratings lowered lululemon athletica from a “hold (c-)” rating to a “sell (d+)” rating in a report on Tuesday, March 31st. Evercore lowered their price objective on lululemon athletica from $175.00 to $130.00 in a report on Wednesday. JPMorgan Chase & Co. lowered their price objective on lululemon athletica from $196.00 to $173.00 in a report on Wednesday, May 6th. Barclays lowered their price objective on lululemon athletica from $203.00 to $161.00 and set an “equal weight” rating for the company in a report on Wednesday, March 18th. Finally, Truist Financial lowered their price objective on lululemon athletica from $200.00 to $170.00 and set a “hold” rating for the company in a report on Wednesday, March 18th. One investment analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, twenty-eight have assigned a Hold rating and two have issued a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $197.09.

Trending Headlines about lululemon athletica

Here are the key news stories impacting lululemon athletica this week:

• Positive Sentiment: lululemon beat first-quarter expectations, reporting EPS of $1.69 versus $1.67 expected and revenue of $2.47 billion versus $2.43 billion expected, suggesting the quarter itself was slightly better than analysts anticipated.
• Positive Sentiment: Management said North America showed some improvement, including a sequential improvement in full-price sales, which may indicate early progress in fixing merchandising and markdown issues. lululemon athletica inc. Announces First Quarter Fiscal 2026 Results
• Neutral Sentiment: Analysts recently adjusted price targets, with Sanford C. Bernstein lowering its target to $170 and Evercore cutting to $130, reflecting a more cautious stance but still implying some upside from current levels.
• Negative Sentiment: lululemon cut its FY2026 EPS guidance to $10.95-$11.15, well below the consensus estimate of $12.35, signaling slower earnings growth than investors were expecting.
• Negative Sentiment: The company also issued weak Q2 guidance, with EPS guidance of $1.76-$1.81 versus a $2.69 consensus and revenue guidance of about $2.5 billion versus $2.6 billion expected, raising concerns that near-term demand or margins are under pressure.
• Negative Sentiment: CNBC reported that lululemon cut its annual outlook and cited undisclosed “headwinds,” which added to investor concern that the slowdown may be more persistent than previously thought. Lululemon cuts annual outlook and issues weak Q2 guidance, citing undisclosed ‘headwinds’

Insider Activity

In related news, Director Charles V. Bergh bought 6,090 shares of the stock in a transaction dated Friday, March 20th. The stock was bought at an average cost of $164.20 per share, with a total value of $999,978.00. Following the completion of the acquisition, the director owned 6,090 shares of the company’s stock, valued at $999,978. This trade represents a ∞ increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Nicole Neuburger sold 622 shares of the company’s stock in a transaction that occurred on Wednesday, April 8th. The shares were sold at an average price of $161.00, for a total value of $100,142.00. Following the transaction, the insider directly owned 19,156 shares of the company’s stock, valued at $3,084,116. This trade represents a 3.14% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 0.54% of the company’s stock.

Hedge Funds Weigh In On lululemon athletica

A number of institutional investors and hedge funds have recently added to or reduced their stakes in LULU. Brighton Jones LLC bought a new position in lululemon athletica in the 4th quarter worth approximately $429,000. NewEdge Advisors LLC grew its holdings in lululemon athletica by 5.1% in the 1st quarter. NewEdge Advisors LLC now owns 3,848 shares of the apparel retailer’s stock worth $1,089,000 after buying an additional 186 shares in the last quarter. Glenview Trust co grew its holdings in lululemon athletica by 39.9% in the 2nd quarter. Glenview Trust co now owns 996 shares of the apparel retailer’s stock worth $237,000 after buying an additional 284 shares in the last quarter. Diversify Advisory Services LLC bought a new position in lululemon athletica in the 2nd quarter worth approximately $508,000. Finally, Raymond James Financial Inc. grew its holdings in lululemon athletica by 10.7% in the 2nd quarter. Raymond James Financial Inc. now owns 112,632 shares of the apparel retailer’s stock worth $26,759,000 after buying an additional 10,891 shares in the last quarter. 85.20% of the stock is owned by institutional investors.

lululemon athletica Company Profile

lululemon athletica inc. is a design-focused athletic apparel company known for performance-oriented apparel, footwear and accessories. The company’s product portfolio centers on technical apparel for yoga, running, training and everyday active lifestyle use and includes tops, bottoms, outerwear, underwear, bags and a growing footwear assortment. lululemon emphasizes fabric science and product innovation, marketing garments that blend performance features with lifestyle styling.

Products are developed in-house and produced through a network of third-party manufacturers.