lululemon athletica (NASDAQ:LULU) Price Target Lowered to $140.00 at BofA

Key Points

• BofA cut lululemon’s price target from $175 to $140 while keeping a neutral rating, and several other Wall Street firms also lowered their targets, reflecting softer sentiment around the stock.
• The stock fell sharply, trading down 8.4% to $114.48 on heavy volume, near its 12-month low of $109.36 and well below its 50-day and 200-day moving averages.
• Recent earnings beat estimates, but guidance disappointed: lululemon reported Q1 EPS of $1.69 on revenue of $2.47 billion, yet management trimmed FY2026 outlook and issued weak Q2 guidance, adding to worries about slowing U.S. demand.

lululemon athletica (NASDAQ:LULU - Get Free Report) had its target price reduced by equities research analysts at BofA from $175.00 to $140.00 in a research report issued on Friday,BayStreet.CA reports. The brokerage currently has a "neutral" rating on the apparel retailer's stock. BofA's target price would indicate a potential upside of 22.29% from the company's current price.

Other equities analysts have also issued reports about the company. Weiss Ratings lowered lululemon athletica from a "hold (c-)" rating to a "sell (d+)" rating in a research note on Tuesday, March 31st. Sanford C. Bernstein decreased their price objective on lululemon athletica from $170.00 to $145.00 and set a "market perform" rating on the stock in a research report on Wednesday. Bank of America decreased their price objective on lululemon athletica from $175.00 to $140.00 and set a "neutral" rating on the stock in a research report on Friday. The Goldman Sachs Group decreased their price objective on lululemon athletica from $177.00 to $122.00 and set a "neutral" rating on the stock in a research report on Friday. Finally, Barclays decreased their price objective on lululemon athletica from $161.00 to $113.00 and set an "equal weight" rating on the stock in a research report on Friday. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, twenty-nine have given a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $174.43.

lululemon athletica Stock Down 8.4%

lululemon athletica stock traded down $10.44 during midday trading on Friday, reaching $114.48. 12,394,569 shares of the stock traded hands, compared to its average volume of 3,023,112. The stock's fifty day moving average is $142.08 and its 200-day moving average is $170.35. lululemon athletica has a 12 month low of $109.36 and a 12 month high of $275.60. The stock has a market cap of $13.82 billion, a P/E ratio of 8.60, a PEG ratio of 3.89 and a beta of 0.87.

lululemon athletica (NASDAQ:LULU - Get Free Report) last announced its quarterly earnings results on Thursday, June 4th. The apparel retailer reported $1.69 EPS for the quarter, beating analysts' consensus estimates of $1.67 by $0.02. lululemon athletica had a return on equity of 34.82% and a net margin of 14.22%.The company had revenue of $2.47 billion during the quarter, compared to analyst estimates of $2.43 billion. During the same period in the prior year, the company earned $2.60 earnings per share. The firm's revenue was up 4.3% on a year-over-year basis. lululemon athletica has set its FY 2026 guidance at 10.950-11.150 EPS and its Q2 2026 guidance at 1.760-1.810 EPS. On average, equities analysts predict that lululemon athletica will post 12.26 EPS for the current fiscal year.

Insider Transactions at lululemon athletica

In other lululemon athletica news, CEO Andre Maestrini purchased 3,275 shares of lululemon athletica stock in a transaction dated Wednesday, April 1st. The shares were purchased at an average cost of $151.02 per share, for a total transaction of $494,590.50. Following the completion of the acquisition, the chief executive officer owned 34,551 shares in the company, valued at $5,217,892.02. This represents a 10.47% increase in their position. The acquisition was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, Director Charles V. Bergh purchased 6,090 shares of lululemon athletica stock in a transaction dated Friday, March 20th. The stock was acquired at an average price of $164.20 per share, for a total transaction of $999,978.00. Following the completion of the acquisition, the director owned 6,090 shares of the company's stock, valued at approximately $999,978. This trade represents a ∞ increase in their position. The SEC filing for this purchase provides additional information. Company insiders own 0.54% of the company's stock.

Institutional Investors Weigh In On lululemon athletica

Several hedge funds and other institutional investors have recently modified their holdings of the business. Cornerstone Planning Group LLC increased its holdings in lululemon athletica by 81.9% during the 3rd quarter. Cornerstone Planning Group LLC now owns 151 shares of the apparel retailer's stock worth $25,000 after purchasing an additional 68 shares during the period. Integrated Financial Solutions Inc. purchased a new position in lululemon athletica during the 4th quarter worth $26,000. Uniplan Investment Counsel Inc. purchased a new position in lululemon athletica during the 4th quarter worth $26,000. Murphy & Mullick Capital Management Corp increased its holdings in lululemon athletica by 187.5% during the 3rd quarter. Murphy & Mullick Capital Management Corp now owns 161 shares of the apparel retailer's stock worth $27,000 after purchasing an additional 105 shares during the period. Finally, GoalVest Advisory LLC purchased a new position in lululemon athletica during the 4th quarter worth $27,000. 85.20% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting lululemon athletica

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

• Positive Sentiment: Lululemon posted Q1 revenue of about $2.47 billion and EPS of $1.69, both slightly ahead of Wall Street expectations, and international growth — especially in China — remained a bright spot. lululemon athletica inc. Announces First Quarter Fiscal 2026 Results
• Positive Sentiment: Some analysts still see value after the selloff, with a few firms keeping hold/neutral-style ratings and suggesting the stock may be inexpensive relative to longer-term earnings potential. Analyst rating updates
• Neutral Sentiment: Several major brokerages cut price targets on LULU, signaling a reset in expectations rather than a new growth story. Analyst price-target revisions
• Neutral Sentiment: Coverage highlighted that the core issue is product and brand execution, with commentary pointing to weaker customer traffic and concerns about whether the turnaround can be completed quickly. Why Lululemon's biggest challenge is its products
• Negative Sentiment: Management cut fiscal 2026 revenue and earnings guidance and issued weak Q2 outlook, with full-year sales now expected to be flat to slightly down instead of growing. Lululemon cuts annual outlook and issues weak Q2 guidance
• Negative Sentiment: Investors are worried Lululemon’s U.S. business is cooling, with reports citing slowing North America comps, negative social/media commentary, and a less favorable demand backdrop. Reuters report on bleak forecasts
• Negative Sentiment: Multiple articles noted that the stock’s sharp decline reflects concern that the turnaround will take longer, especially as competition rises and the company relies more on international growth to offset U.S. weakness. Lululemon tumbles after forecast cut

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.

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