William Blair Brokers Lower Earnings Estimates for Lululemon Athletica Inc. (NASDAQ:LULU)

Lululemon Athletica Inc. (NASDAQ:LULU) – Equities research analysts at William Blair lowered their Q4 2025 earnings estimates for Lululemon Athletica in a report issued on Friday, August 30th. William Blair analyst S. Zackfia now expects that the apparel retailer will post earnings per share of $5.64 for the quarter, down from their previous estimate of $5.92. The consensus estimate for Lululemon Athletica’s current full-year earnings is $13.90 per share. William Blair also issued estimates for Lululemon Athletica’s FY2026 earnings at $15.45 EPS.

Lululemon Athletica (NASDAQ:LULU) last issued its quarterly earnings data on Thursday, August 29th. The apparel retailer reported $3.15 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.93 by $0.22. The firm had revenue of $2.40 billion during the quarter, compared to the consensus estimate of $2.41 billion. Lululemon Athletica had a return on equity of 42.69% and a net margin of 16.34%. The business’s revenue for the quarter was up 9.1% compared to the same quarter last year. During the same quarter in the previous year, the company posted $2.68 EPS.

A number of other research firms also recently weighed in on LULU. Barclays dropped their target price on Lululemon Athletica from $263.00 to $261.00 and set an “equal weight” rating for the company in a research report on Friday. KeyCorp cut their target price on shares of Lululemon Athletica from $415.00 to $350.00 and set an “overweight” rating on the stock in a research report on Friday. Stifel Nicolaus lowered their price target on shares of Lululemon Athletica from $416.00 to $370.00 and set a “buy” rating for the company in a research report on Thursday, August 22nd. Piper Sandler increased their price objective on shares of Lululemon Athletica from $250.00 to $260.00 and gave the company a “neutral” rating in a report on Friday. Finally, Sanford C. Bernstein lowered their target price on shares of Lululemon Athletica from $345.00 to $325.00 and set a “market perform” rating for the company in a report on Friday. Two equities research analysts have rated the stock with a sell rating, ten have issued a hold rating and twenty-one have assigned a buy rating to the stock. According to data from MarketBeat.com, Lululemon Athletica presently has an average rating of “Moderate Buy” and an average price target of $355.74.

Lululemon Athletica Stock Up 0.2 %

Shares of NASDAQ LULU opened at $259.47 on Monday. Lululemon Athletica has a 12-month low of $226.01 and a 12-month high of $516.39. The firm’s 50-day simple moving average is $271.56 and its 200 day simple moving average is $339.02. The company has a market cap of $32.43 billion, a price-to-earnings ratio of 20.81, a price-to-earnings-growth ratio of 1.40 and a beta of 1.26.

Hedge Funds Weigh In On Lululemon Athletica

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Savant Capital LLC boosted its stake in Lululemon Athletica by 18.1% in the fourth quarter. Savant Capital LLC now owns 888 shares of the apparel retailer’s stock valued at $454,000 after buying an additional 136 shares in the last quarter. Natixis Advisors L.P. increased its stake in shares of Lululemon Athletica by 28.8% in the 4th quarter. Natixis Advisors L.P. now owns 28,148 shares of the apparel retailer’s stock valued at $14,392,000 after acquiring an additional 6,289 shares in the last quarter. Benjamin F. Edwards & Company Inc. lifted its position in shares of Lululemon Athletica by 736.1% during the 4th quarter. Benjamin F. Edwards & Company Inc. now owns 1,898 shares of the apparel retailer’s stock valued at $970,000 after acquiring an additional 1,671 shares during the period. Merit Financial Group LLC boosted its stake in Lululemon Athletica by 111.1% during the fourth quarter. Merit Financial Group LLC now owns 1,558 shares of the apparel retailer’s stock worth $797,000 after acquiring an additional 820 shares in the last quarter. Finally, M&T Bank Corp grew its holdings in Lululemon Athletica by 7.6% in the fourth quarter. M&T Bank Corp now owns 13,473 shares of the apparel retailer’s stock worth $6,889,000 after purchasing an additional 957 shares during the period. 85.20% of the stock is owned by institutional investors.

Lululemon Athletica declared that its Board of Directors has initiated a stock buyback plan on Wednesday, June 5th that authorizes the company to buyback $1.00 billion in outstanding shares. This buyback authorization authorizes the apparel retailer to reacquire up to 2.5% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s leadership believes its shares are undervalued.

About Lululemon Athletica

Lululemon Athletica Inc, together with its subsidiaries, designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. It offers pants, shorts, tops, and jackets for healthy lifestyle, such as yoga, running, training, and other activities. It also provides fitness-inspired accessories.