lululemon athletica's (LULU) Hold Rating Reiterated at Needham & Company LLC

Key Points

• Needham reiterated its “Hold” rating on lululemon athletica, while the broader analyst consensus remains “Reduce” with a $147.23 price target; most analysts rate the stock Hold, with five assigning Sell ratings.
• Lululemon reported quarterly EPS of $2.92, beating estimates, but revenue fell 4.3% year over year to $2.42 billion and comparable sales declined 9%, signaling pressure in its core North American business.
• The company cut its fiscal 2026 outlook to revenue of $10.35 billion–$10.50 billion and EPS of $9.48–$9.73, while investors await incoming CEO Heidi O’Neill’s plans to revive product momentum and growth.

lululemon athletica (NASDAQ:LULU - Get Free Report)'s stock had its "hold" rating reiterated by research analysts at Needham & Company LLC in a research note issued on Friday, Benzinga reports.

Several other analysts also recently commented on LULU. Jefferies Financial Group lowered their price objective on lululemon athletica from $145.00 to $115.00 and set a "hold" rating for the company in a research note on Friday, June 5th. Sanford C. Bernstein decreased their price target on lululemon athletica from $145.00 to $115.00 and set a "market perform" rating for the company in a report on Friday. UBS Group lowered their price target on lululemon athletica from $124.00 to $120.00 and set a "neutral" rating for the company in a research report on Tuesday, August 25th. Morgan Stanley restated an "underweight" rating and set a $93.00 price objective on shares of lululemon athletica in a research note on Monday, July 6th. Finally, Robert W. Baird cut their price objective on shares of lululemon athletica from $170.00 to $140.00 and set a "neutral" rating on the stock in a report on Friday, June 5th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, twenty-five have given a Hold rating and five have given a Sell rating to the stock. Based on data from MarketBeat.com, lululemon athletica has an average rating of "Reduce" and a consensus price target of $147.23.

lululemon athletica Stock Performance

Shares of LULU opened at $121.77 on Friday. The firm has a market cap of $14.45 billion, a PE ratio of 9.83, a price-to-earnings-growth ratio of 2.50 and a beta of 0.87. lululemon athletica has a 52-week low of $104.44 and a 52-week high of $225.98. The business's 50 day moving average price is $118.76 and its two-hundred day moving average price is $136.61.

lululemon athletica (NASDAQ:LULU - Get Free Report) last released its quarterly earnings data on Thursday, September 3rd. The apparel retailer reported $2.92 earnings per share for the quarter, beating the consensus estimate of $1.79 by $1.13. lululemon athletica had a net margin of 13.03% and a return on equity of 31.26%. The company had revenue of $2.42 billion during the quarter, compared to analyst estimates of $2.46 billion. During the same quarter in the previous year, the business posted $3.10 EPS. lululemon athletica's revenue for the quarter was down 4.3% compared to the same quarter last year. 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. Research analysts predict that lululemon athletica will post 10.93 EPS for the current fiscal year.

Insider Activity

In other lululemon athletica news, Director Charles Bergh purchased 4,275 shares of the firm's stock in a transaction that occurred on Monday, June 15th. The stock was bought at an average cost of $117.05 per share, with a total value of $500,388.75. Following the completion of the transaction, 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 SEC, which is accessible through this link. 0.54% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On lululemon athletica

Several large investors have recently made changes to their positions in the business. Uniplan Investment Counsel Inc. bought a new stake in shares of lululemon athletica during the 4th quarter worth $26,000. Elyxium Wealth LLC bought a new position in lululemon athletica during the fourth quarter valued at about $31,000. DV Equities LLC bought a new position in lululemon athletica during the fourth quarter valued at about $31,000. GW&K Investment Management LLC increased its holdings in lululemon athletica by 70.3% during the fourth quarter. GW&K Investment Management LLC now owns 189 shares of the apparel retailer's stock worth $39,000 after buying an additional 78 shares during the last quarter. Finally, Rexford Capital Inc. purchased a new stake in lululemon athletica during the first quarter worth about $31,000. 85.20% of the stock is owned by hedge funds and other institutional investors.

More lululemon athletica News

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

• Positive Sentiment: Second-quarter diluted EPS was $2.92, above the $1.79 analyst consensus. However, the result benefited substantially from $134.5 million in tariff refunds and related interest, which added approximately $0.86 to EPS after tax. Second-Quarter Fiscal 2026 Results
• Positive Sentiment: International revenue increased 4%, and lululemon repurchased approximately 2.7 million shares for $330 million during the quarter, providing some support for per-share results. Lululemon Q2 Revenue Falls 4%
• Neutral Sentiment: Nike veteran Heidi O’Neill is scheduled to become CEO next week. Her appointment offers a potential catalyst, but investors are likely to remain cautious until she demonstrates progress on product, brand, and North American growth issues. Forecast Cut Underscores Challenge for Next CEO
• Negative Sentiment: Revenue declined 4% year over year to $2.416 billion, missing expectations, while comparable sales fell 9%—the company’s weakest comparable-sales performance since the Great Recession. Americas revenue dropped 8%, highlighting intensifying competition and softer consumer demand. Lululemon Stock Plunges on Earnings and Outlook
• Negative Sentiment: Lululemon cut its fiscal 2026 revenue forecast to $10.35 billion–$10.50 billion from $11.00 billion–$11.15 billion and reduced EPS guidance to $9.48–$9.73, well below the approximately $12.35 consensus. Third-quarter EPS guidance of $0.93–$0.98 also trails estimates. Lululemon Cuts Outlook Again
• Negative Sentiment: Analysts and commentators questioned whether lululemon’s product assortment—particularly its reliance on form-fitting leggings—still matches changing customer preferences. The resulting uncertainty over the brand’s ability to restore growth contributed to the sharp decline following the earnings release. Sales Drop Raises Turnaround Concerns

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source