Morgan Stanley Cuts lululemon athletica (NASDAQ:LULU) Price Target to $83.00

lululemon athletica (NASDAQ:LULU) had its price objective decreased by Morgan Stanley from $93.00 to $83.00 in a research report report published on Friday, Marketbeat Ratings reports. Morgan Stanley currently has an underweight rating on the apparel retailer’s stock.

A number of other equities analysts also recently weighed in on the company. Stifel Nicolaus dropped their target price on lululemon athletica from $176.00 to $134.00 and set a “hold” rating on the stock in a report on Friday, June 5th. Needham & Company LLC restated a “hold” rating on shares of lululemon athletica in a report on Friday. Freedom Capital raised shares of lululemon athletica from a “strong sell” rating to a “hold” rating in a research report on Friday, June 5th. Truist Financial lowered shares of lululemon athletica from a “hold” rating to a “sell” rating and dropped their price objective for the company from $115.00 to $94.00 in a research note on Thursday, July 16th. Finally, Rothschild & Co Redburn cut their target price on shares of lululemon athletica from $160.00 to $110.00 and set a “sell” rating for the company in a research report on Tuesday, June 16th. One research analyst has rated the stock with a Strong Buy rating, twenty-two have given a Hold rating and five have assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Reduce” and an average target price of $116.46.

lululemon athletica Stock Performance

Shares of LULU stock opened at $100.61 on Friday. The company has a market capitalization of $11.94 billion, a price-to-earnings ratio of 8.24, a P/E/G ratio of 2.05 and a beta of 0.87. lululemon athletica has a 1-year low of $97.99 and a 1-year high of $225.98. The stock’s fifty day simple moving average is $118.42 and its 200-day simple moving average is $136.08.

lululemon athletica (NASDAQ:LULU) last announced its quarterly earnings data on Thursday, September 3rd. The apparel retailer reported $2.92 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.79 by $1.13. lululemon athletica had a return on equity of 27.69% and a net margin of 12.78%.The firm had revenue of $2.42 billion during the quarter, compared to the consensus estimate of $2.46 billion. During the same period in the prior year, the business earned $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. On average, sell-side analysts predict that lululemon athletica will post 11.14 EPS for the current year.

Insider Buying and Selling at lululemon athletica

In other news, Director Charles Bergh purchased 4,275 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was acquired at an average price of $117.05 per share, with a total value of $500,388.75. Following the purchase, the director owned 10,365 shares in the company, valued at $1,213,223.25. This represents a 70.20% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.54% of the stock is owned by company insiders.

Institutional Trading of lululemon athletica

Institutional investors have recently added to or reduced their stakes in the business. Swiss Life Asset Management Ltd raised its holdings in shares of lululemon athletica by 53.1% during the 4th quarter. Swiss Life Asset Management Ltd now owns 68,093 shares of the apparel retailer’s stock valued at $14,150,000 after purchasing an additional 23,623 shares in the last quarter. Rayburn West Financial Services LLC bought a new stake in lululemon athletica in the fourth quarter worth $3,536,000. Gateway Investment Advisers LLC boosted its holdings in lululemon athletica by 60.0% in the fourth quarter. Gateway Investment Advisers LLC now owns 45,062 shares of the apparel retailer’s stock worth $9,364,000 after purchasing an additional 16,901 shares in the last quarter. MUFG Securities EMEA plc increased its position in lululemon athletica by 9,695.1% during the fourth quarter. MUFG Securities EMEA plc now owns 204,424 shares of the apparel retailer’s stock worth $42,481,000 after buying an additional 202,337 shares during the last quarter. Finally, United Super Pty Ltd in its capacity as Trustee for the Construction & Building Unions Superannuation Fund acquired a new position in lululemon athletica during the fourth quarter worth $13,989,000. 85.20% of the stock is currently owned by institutional investors and hedge funds.

lululemon athletica News Roundup

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

• Positive Sentiment: Fiscal Q2 adjusted EPS of $2.92 exceeded the $1.79 consensus estimate. However, approximately $0.86 per share of the result came from tariff refunds, making the beat less indicative of underlying operating strength. lululemon Q2 Earnings Beat on Tariff Refunds Despite Revenue Miss
• Positive Sentiment: Michael Burry reportedly remains bullish and indicated he may buy more shares below $100, offering a contrarian vote of confidence despite the disappointing results. Lululemon Sinks 20% After Second Guidance Cut
• Neutral Sentiment: Incoming CEO Heidi O’Neill takes over next week, putting renewed focus on whether a product refresh, stronger marketing and improved traffic can restore growth. Lululemon forecast cut hits shares, underscores challenge for next CEO
• Neutral Sentiment: Analyst opinion became more cautious: Goldman Sachs, Barclays, JPMorgan, Morgan Stanley, Piper Sandler and others lowered price targets, though several retained neutral or market-perform ratings and some targets remain above the stock’s recent level.
• Negative Sentiment: Q2 revenue fell 4% year over year to $2.42 billion, below the $2.46 billion consensus, while comparable sales dropped 9%. Americas revenue declined 8% and comparable sales fell 12%, signaling weakness in the company’s core market. Lululemon shares tumble on weak China, North America sales
• Negative Sentiment: Management reduced fiscal 2026 revenue guidance to $10.35 billion-$10.50 billion and EPS guidance to $9.48-$9.73. Q3 revenue is expected to decline 10%-11%, reinforcing concerns that the slowdown will persist.
• Negative Sentiment: The CEO transition, uneven product acceptance, softer store traffic, intense competition and a stronger-than-expected jobs report that increased rate concerns compounded the pressure on the apparel retailer’s valuation.

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.