lululemon athletica (NASDAQ:LULU) Hits New 52-Week Low – What’s Next?

lululemon athletica inc. (NASDAQ:LULU)’s stock price hit a new 52-week low during mid-day trading on Thursday. The company traded as low as $90.56 and last traded at $91.88, with a volume of 4,466,667 shares trading hands. The stock had previously closed at $93.61.

lululemon athletica News Roundup

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

• Positive Sentiment: lululemon named Maggie Gauger, the former CEO of Gap’s Athleta brand and a longtime Nike executive, as president and chief product officer. Her experience is viewed as potentially helpful in improving product innovation, customer engagement and brand relevance. Lululemon hires Athleta CEO Maggie Gauger as president, CPO
• Positive Sentiment: Analysts at Jefferies described the leadership changes as a step in the right direction. The appointments could support a turnaround by strengthening product development and operations, although execution will be critical. Lululemon leadership overhaul a step in right direction
• Positive Sentiment: One bullish analysis estimates substantial upside even if the Americas business continues to decline through 2030, citing LULU’s sharply reduced earnings multiple and potential for international growth and operational improvement. Lululemon has 43% upside
• Neutral Sentiment: Analyst opinion remains mixed. Some see the low valuation as an attractive entry point, while others want evidence of stabilizing trends and stronger full-price selling before becoming more constructive. Analysts’ opinions are mixed
• Negative Sentiment: Commentary highlights a damaged brand “mojo,” weaker customer demand, declining Americas performance and increased reliance on discounts. Analysts expect a lengthy recovery, limiting the immediate benefit of the executive changes. Lululemon executive hires receive qualified support
• Negative Sentiment: Several law firms announced investigations into potential securities-law violations related to LULU’s growth issues and recent stock decline. These announcements add legal and reputational risk, although they do not establish wrongdoing. LULU securities investigation

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on LULU shares. JPMorgan Chase & Co. reduced their target price on shares of lululemon athletica from $154.00 to $95.00 and set a “neutral” rating for the company in a report on Friday, September 4th. The Goldman Sachs Group decreased their price objective on shares of lululemon athletica from $111.00 to $95.00 and set a “neutral” rating for the company in a report on Friday, September 4th. Sanford C. Bernstein decreased their price objective on lululemon athletica from $145.00 to $115.00 and set a “market perform” rating for the company in a report on Friday, September 4th. BMO Capital Markets began coverage on shares of lululemon athletica in a research note on Wednesday, September 9th. They set an “underperform” rating and a $70.00 price objective for the company. Finally, Guggenheim reissued a “neutral” rating on shares of lululemon athletica in a report on Friday, September 4th. One investment analyst has rated the stock with a Strong Buy rating, twenty-one have issued a Hold rating and seven have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Reduce” and a consensus price target of $106.86.

lululemon athletica Stock Up 2.0%

The stock has a fifty day moving average of $109.07 and a 200-day moving average of $123.35. The stock has a market cap of $10.95 billion, a PE ratio of 7.74, a price-to-earnings-growth ratio of 2.21 and a beta of 0.92.

lululemon athletica (NASDAQ:LULU) last posted its quarterly earnings results on Thursday, September 3rd. The apparel retailer reported $2.92 earnings per share for the quarter, topping analysts’ consensus estimates of $1.79 by $1.13. lululemon athletica had a net margin of 12.78% and a return on equity of 27.69%. The business had revenue of $2.42 billion for the quarter, compared to analysts’ expectations of $2.46 billion. During the same period in the prior year, the company posted $3.10 EPS. The business’s revenue for the quarter was down 4.3% on a year-over-year basis. lululemon athletica has set its FY 2026 guidance at 9.480-9.730 EPS and its Q3 2026 guidance at 0.930-0.980 EPS. Equities research analysts forecast that lululemon athletica inc. will post 9.55 earnings per share for the current fiscal year.

Hedge Funds Weigh In On lululemon athletica

A number of hedge funds have recently bought and sold shares of the company. Baird Financial Group Inc. raised its position in shares of lululemon athletica by 7.4% in the second quarter. Baird Financial Group Inc. now owns 413,412 shares of the apparel retailer’s stock valued at $47,203,000 after purchasing an additional 28,643 shares during the period. Envestnet Asset Management Inc. raised its position in lululemon athletica by 37.1% in the second quarter. Envestnet Asset Management Inc. now owns 66,957 shares of the apparel retailer’s stock worth $7,645,000 after purchasing an additional 18,123 shares in the last quarter. Flossbach Von Storch SE bought a new position in shares of lululemon athletica during the 2nd quarter worth approximately $207,392,000. OP Asset Management Ltd acquired a new stake in shares of lululemon athletica during the first quarter worth approximately $1,664,000. Finally, Cibc World Market Inc. acquired a new stake in shares of lululemon athletica during the second quarter worth approximately $40,646,000. 85.20% of the stock is currently owned by institutional investors and hedge funds.

lululemon athletica Company Profile

lululemon athletica inc. is a Canada-based athletic apparel, footwear and accessories company known for products designed for yoga, running, training, tennis and other active pursuits. Its offerings include leggings, shorts, tops, jackets, sports bras, footwear, bags and related accessories for women and men.

Founded in Vancouver, British Columbia, in 1998, lululemon began as a yoga-focused apparel retailer and has expanded into a broader global athletic and lifestyle brand. The company sells products through its own retail stores, e-commerce platforms and selected wholesale channels.

lululemon serves customers across North America, Asia-Pacific, Europe and other international markets.