lululemon athletica (NASDAQ:LULU) Earns Underperform Rating from Analysts at BMO Capital Markets

BMO Capital Markets initiated coverage on shares of lululemon athletica (NASDAQ:LULU) in a research report report published on Wednesday, MarketBeat Ratings reports. The firm issued an underperform rating and a $70.00 price objective on the apparel retailer’s stock.

Other analysts have also issued research reports about the company. Rothschild & Co Redburn dropped their target price on lululemon athletica from $160.00 to $110.00 and set a “sell” rating on the stock in a report on Tuesday, June 16th. Deutsche Bank Aktiengesellschaft decreased their price target on lululemon athletica from $171.00 to $127.00 and set a “hold” rating for the company in a research note on Monday, June 8th. Truist Financial reaffirmed a “sell” rating and set a $82.00 price target (down from $94.00) on shares of lululemon athletica in a research report on Friday, September 4th. Daiwa Securities Group decreased their target price on shares of lululemon athletica from $173.00 to $120.00 and set a “neutral” rating for the company in a research note on Tuesday, June 9th. Finally, Bank of America lowered their target price on shares of lululemon athletica from $140.00 to $122.00 and set a “neutral” rating on the stock in a report on Friday, September 4th. One analyst has rated the stock with a Strong Buy rating, twenty-one have given a Hold rating and six have given a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Reduce” and a consensus price target of $111.54.

lululemon athletica Trading Up 2.2%

Shares of LULU stock opened at $98.97 on Wednesday. lululemon athletica has a 1 year low of $95.67 and a 1 year high of $225.98. The firm’s fifty day moving average price is $116.77 and its two-hundred day moving average price is $133.51. The firm has a market capitalization of $11.74 billion, a P/E ratio of 8.11, a PEG ratio of 2.47 and a beta of 0.87.

lululemon athletica (NASDAQ:LULU) last issued its quarterly earnings results on Thursday, September 3rd. The apparel retailer reported $2.92 EPS for the quarter, topping the consensus estimate of $1.79 by $1.13. lululemon athletica had a net margin of 12.78% and a return on equity of 27.69%. The firm had revenue of $2.42 billion for the quarter, compared to analysts’ expectations of $2.46 billion. During the same period in the previous year, the firm posted $3.10 EPS. The company’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. As a group, equities research analysts forecast that lululemon athletica will post 8.91 EPS for the current fiscal year.

Insider Activity

In other lululemon athletica news, Director Charles Bergh bought 4,275 shares of lululemon athletica stock in a transaction dated Monday, June 15th. The stock was bought at an average cost of $117.05 per share, for a total transaction of $500,388.75. Following the purchase, the director owned 10,365 shares of the company’s stock, valued at $1,213,223.25. The trade was a 70.20% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 0.54% of the stock is currently owned by insiders.

Institutional Investors Weigh In On lululemon athletica

A number of large investors have recently added to or reduced their stakes in the business. Uniplan Investment Counsel Inc. acquired a new stake in lululemon athletica during the 4th quarter valued at $26,000. Elyxium Wealth LLC bought a new position in shares of lululemon athletica in the fourth quarter valued at about $31,000. Rexford Capital Inc. acquired a new stake in shares of lululemon athletica during the 1st quarter worth about $31,000. DV Equities LLC acquired a new stake in lululemon athletica during the fourth quarter worth approximately $31,000. Finally, Gould Capital LLC acquired a new stake in lululemon athletica during the 1st quarter worth approximately $32,000. Institutional investors own 85.20% of the company’s stock.

Key Headlines Impacting lululemon athletica

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

• Positive Sentiment: Investor Michael Burry described lululemon as a potential “generational buying opportunity” below $100, arguing that the market may be overreacting to the company’s recent weakness. Cramer and Burry on Lululemon
• Positive Sentiment: The stock’s low valuation and decline toward its 52-week low may be attracting contrarian investors, despite concerns about slowing sales.
• Neutral Sentiment: Multiple law firms announced investigations into potential securities-law violations related to lululemon’s growth outlook and business condition. The announcements are investor solicitations and do not establish wrongdoing. LULU investor investigation
• Negative Sentiment: Analyst sentiment deteriorated: BMO initiated coverage with an Underperform rating and a $70 target, while Citigroup lowered its expectations. Analysts cited weakening demand in North America and China, margin pressure, and uncertainty around fiscal 2027. Analyst downgrades
• Negative Sentiment: The key fundamental issue remains the reduced FY2026 revenue outlook of $10.35 billion to $10.50 billion, down approximately $650 million at the midpoint, with third-quarter revenue expected to decline 10% to 11%. Revenue also fell 4% year over year in the latest quarter. LULU outlook reduction

About lululemon athletica

lululemon athletica inc. is a designer, distributor and retailer of athletic apparel, footwear and accessories. The company’s products are developed for activities including yoga, running, training, tennis and other forms of exercise, as well as everyday use. Its offerings include leggings, tops, shorts, outerwear, footwear, bags and fitness accessories for women and men.

Founded in 1998 in Vancouver, British Columbia, lululemon began as a yoga-focused apparel company and has expanded into a broader performance and lifestyle brand.