Zacks Research Issues Optimistic Estimate for LULU Earnings

lululemon athletica inc. (NASDAQ:LULU) – Equities research analysts at Zacks Research lifted their Q3 2027 earnings estimates for shares of lululemon athletica in a research report issued to clients and investors on Thursday, February 12th. Zacks Research analyst Team now anticipates that the apparel retailer will post earnings per share of $2.60 for the quarter, up from their prior forecast of $2.50. Zacks Research has a “Hold” rating on the stock. The consensus estimate for lululemon athletica’s current full-year earnings is $14.36 per share. Zacks Research also issued estimates for lululemon athletica’s Q4 2027 earnings at $5.09 EPS, Q3 2028 earnings at $2.75 EPS and Q4 2028 earnings at $5.39 EPS.

lululemon athletica (NASDAQ:LULU) last issued its earnings results on Thursday, December 11th. The apparel retailer reported $2.59 earnings per share for the quarter, topping analysts’ consensus estimates of $2.22 by $0.37. The firm had revenue of $2.57 billion during the quarter, compared to analyst estimates of $2.48 billion. lululemon athletica had a net margin of 15.72% and a return on equity of 39.78%. lululemon athletica’s revenue for the quarter was up 7.1% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.53 earnings per share. lululemon athletica has set its FY 2025 guidance at 12.920-13.020 EPS and its Q4 2025 guidance at 4.660-4.760 EPS.

Other research analysts also recently issued reports about the company. Telsey Advisory Group reiterated a “market perform” rating and set a $215.00 target price on shares of lululemon athletica in a research report on Monday, January 26th. BNP Paribas Exane lowered their price objective on shares of lululemon athletica from $230.00 to $206.00 and set a “neutral” rating for the company in a research report on Friday, January 23rd. Daiwa Securities Group boosted their target price on shares of lululemon athletica from $174.00 to $205.00 and gave the stock a “neutral” rating in a report on Tuesday, December 16th. Sanford C. Bernstein downgraded shares of lululemon athletica from an “outperform” rating to a “market perform” rating and set a $190.00 price target for the company. in a report on Thursday, October 16th. Finally, JPMorgan Chase & Co. boosted their price objective on lululemon athletica from $203.00 to $209.00 and gave the stock a “neutral” rating in a research note on Tuesday, January 20th. Two equities research analysts have rated the stock with a Strong Buy rating, two have issued a Buy rating, thirty have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company has an average rating of “Hold” and a consensus target price of $227.05.

lululemon athletica Stock Down 3.6%

Shares of LULU stock opened at $169.53 on Friday. The company’s fifty day simple moving average is $196.36 and its two-hundred day simple moving average is $186.04. lululemon athletica has a 52 week low of $159.25 and a 52 week high of $400.01. The stock has a market cap of $19.89 billion, a P/E ratio of 11.75, a PEG ratio of 11.11 and a beta of 1.01.

Institutional Trading of lululemon athletica

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Wealthspire Advisors LLC boosted its stake in shares of lululemon athletica by 20.0% during the fourth quarter. Wealthspire Advisors LLC now owns 1,361 shares of the apparel retailer’s stock valued at $283,000 after purchasing an additional 227 shares during the period. Summit Financial LLC increased its stake in lululemon athletica by 5.8% in the 4th quarter. Summit Financial LLC now owns 1,839 shares of the apparel retailer’s stock worth $382,000 after buying an additional 101 shares during the period. Quadrant Capital Group LLC lifted its holdings in lululemon athletica by 613.2% during the 4th quarter. Quadrant Capital Group LLC now owns 4,607 shares of the apparel retailer’s stock valued at $957,000 after buying an additional 3,961 shares in the last quarter. Federation des caisses Desjardins du Quebec boosted its position in lululemon athletica by 25.6% in the 4th quarter. Federation des caisses Desjardins du Quebec now owns 56,443 shares of the apparel retailer’s stock valued at $11,728,000 after buying an additional 11,506 shares during the period. Finally, HRT Financial LP grew its stake in lululemon athletica by 277.5% in the 4th quarter. HRT Financial LP now owns 470,780 shares of the apparel retailer’s stock worth $97,832,000 after acquiring an additional 346,080 shares in the last quarter. Hedge funds and other institutional investors own 85.20% of the company’s stock.

Insider Buying and Selling at lululemon athletica

In related news, insider Celeste Burgoyne sold 13,511 shares of the firm’s stock in a transaction that occurred on Tuesday, December 16th. The stock was sold at an average price of $204.00, for a total transaction of $2,756,244.00. Following the completion of the sale, the insider directly owned 5,318 shares of the company’s stock, valued at approximately $1,084,872. This trade represents a 71.76% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.54% of the company’s stock.

Key Headlines Impacting lululemon athletica

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

• Positive Sentiment: Zacks Research raised near-term quarterly estimates for LULU (Q3 2027 to $2.60 from $2.50 and Q3 2028 to $2.75 from $2.66), signaling some upward revision to near-term unit economics and sales expectations.
• Positive Sentiment: Coverage noting Lululemon’s expansion into performance training highlights a longer-term growth opportunity beyond core athleisure, supporting upside if execution continues. Lululemon’s Unrestricted Power Tests Growth Potential In Performance Training
• Neutral Sentiment: Zacks keeps a “Hold” rating and has made only small tweaks to several quarterly estimates (minor cuts to some Q4 estimates and small raises to some Q3 estimates). The changes are small in magnitude and reflect fine‑tuning rather than a major revision to the overall earnings outlook.
• Negative Sentiment: Product quality complaints resurfaced after multiple reports of “see‑through” leggings, generating negative publicity and prompting investor concern about brand trust and potential returns/reputational impact. More ‘see-through’ issues surface for Lululemon
• Negative Sentiment: Multiple media outlets picked up the leggings complaints and amplified the story (Investing.com, MSN, Newsweek), increasing the short‑term reputational hit and likely contributing to selling pressure. Lululemon stock falls after another see-through leggings controversy
• Negative Sentiment: Reports that employees were warned bonuses are likely to be below target (Bloomberg/MSN coverage) raise concerns about internal margin pressure, cost controls or weaker-than-expected performance at a staff level. Lululemon warns employees bonuses are likely to be below target
• Negative Sentiment: Analyst/market commentary highlighting leadership uncertainty and cautionary valuation narratives is keeping sentiment muted and amplifying volatility. Seeking Alpha: Historically Undervalued, But Leadership Uncertainty Demands Patience
• Negative Sentiment: Market reaction pieces note the stock has fallen more steeply than peers, reflecting immediate investor selling tied to the above headlines. Zacks: Lululemon Falls More Steeply Than Broader Market

About lululemon athletica

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.