
lululemon athletica inc. (LULU)
Lululemon is a premium athletic apparel brand that designs high-end yoga-inspired clothing and accessories for active lifestyles.
Is lululemon athletica inc. a good stock for a UK beginner?
The honest version: There's no rating here and nothing for sale. In its favour: High profit margins on products. Worth weighing: Significant recent decline in earnings. Below, we lay out what it does, what its numbers mean, and the honest risks, so you can decide for yourself.
Over about 2 years to 2026-07-31. This is the share price only; any dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
How much has lululemon athletica inc. actually fallen?
Over the last 2 years of daily prices, lululemon athletica inc. fell as much as −75% from a high to a later low. Drops of this size are a normal part of owning a share - worth knowing in advance, so a dip doesn't come as a shock.
Worst peak-to-trough fall in the daily closing price over the period we hold. Past falls are not a forecast - it can fall further, or recover.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
Return to double-digit earnings growth
Long-term shift in fashion trends away from athleisure
What does lululemon athletica inc. do?
Lululemon makes its money by selling high-quality leggings, tops, and sports gear directly to customers through its own shops and website. They have built a strong reputation for premium fabrics, which helps them maintain healthy profit margins compared to many other clothing retailers. Whether they can reignite growth is the big question, since recent figures show a significant slowdown in earnings compared to previous years.
On our factor screen it looks strongest on value and quality, and weakest on momentum.
- !Pays no dividend - the whole return rides on the share price
- ✓Growing - revenue up about 4% over the year
- ·Low P/E of 10 vs last year's earnings
- ✓Strong return on shareholder money (ROE 32%)
- Value screens high (81/100)
- High profit margins on products
- Strong brand recognition and customer loyalty
- Efficient use of shareholder capital
- Growth screens low (16/100)
- Momentum screens low (14/100)
- Income screens low (16/100)
- Intense competition in the sportswear market
- Potential for changing fashion trends
What do lululemon athletica inc.'s numbers mean?
How much money does lululemon athletica inc. make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does lululemon athletica inc. pay a dividend?
No - lululemon athletica inc. doesn't currently pay a dividend, so the whole return would rest on the share price. Plenty of growing companies reinvest their profits instead of paying them out - neither approach is better or worse, they're just different.
When does lululemon athletica inc. report earnings, and how did recent quarters go?
lululemon athletica inc. is next scheduled to report on about 2026-09-03 - dates can move, and we don't predict results; this just tells you when to look.
Each quarter a company reports its results against what analysts expected. ‘Beating’ or ‘missing’ is about that expectation, not whether the business is doing well in absolute terms.
| Reported | Expected EPS: The earnings per share analysts expected for the quarter - the average of their forecasts. 'Beating' or 'missing' is measured against this number. | Actual EPS | vs expected |
|---|---|---|---|
| 2026-06-04 | $1.68 | $1.69 | In line |
| 2026-03-17 | $4.78 | $5.01 | Beat +5% |
| 2025-12-11 | $2.21 | $2.59 | Beat +17% |
| 2025-09-04 | $2.85 | $3.10 | Beat +9% |
| 2025-06-05 | $2.59 | $2.60 | In line |
| 2025-03-27 | $5.87 | $6.14 | Beat +5% |
Across the last 6 quarters here, lululemon athletica inc. came in ahead of what analysts expected 4 times. One quarter is noise, not a trend.
See who else reports over the next two weeks →
Reported vs expected earnings per share (EPS) from published results; the expectation is the analyst consensus, not our view. Report dates are estimates that can move.
More in Consumer Cyclical
What are the scenarios for lululemon athletica inc.?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of lululemon athletica inc.?
How many points the write-up makes each way — a balance check, not a score or verdict.
- High profit margins on products
- Strong brand recognition and customer loyalty
- Efficient use of shareholder capital
- Significant recent decline in earnings
- No dividend payments for shareholders
- High sensitivity to consumer spending habits
- Intense competition in the sportswear market
- Potential for changing fashion trends
- Economic downturns reducing demand for premium goods
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained return to double-digit earnings growth
- A major shift in consumer preference away from the athleisure category
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-02 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.