- Lululemon’s forecast for first-quarter net revenue is between $2.34 billion and $2.36 billion, which falls short of the estimated $2.39 billion.
- First-quarter expected earnings per share (EPS) is projected to be between $2.53 and $2.58, lower than the estimate of $2.78.
- For the fourth quarter, Lululemon reported an EPS of $6.14, which exceeded the estimate of $5.85.
- Fourth-quarter net revenue was $3.61 billion, surpassing the estimate of $3.57 billion.
- The company’s gross margin was 60.4%, beating the expected 59.7%.
- Operating margin for the fourth quarter was 28.9%, higher than the estimate of 27.8%.
- Lululemon’s inventory was valued at $1.44 billion, below the forecasted $1.51 billion.
- The total store count reached 767 locations, exceeding the estimated 764.65 locations.
- For the entire year of 2025, Lululemon expects net revenue between $11.15 billion and $11.3 billion, representing a growth of 5% to 7% (7% to 8% excluding the 53rd week of 2024).
- Annual diluted EPS is anticipated to range from $14.95 to $15.15.
- The stock analyst ratings include 22 buys, 12 holds, and 5 sells.
Lululemon Athletica on Smartkarma
Analyst coverage of Lululemon Athletica on Smartkarma reveals insights from top independent analysts. Baptista Research‘s report highlights the company’s international growth and market expansion as key drivers for top-line growth. Lululemon’s third-quarter results for fiscal 2024 showcased a 9% revenue increase, driven by strong performance in international markets, particularly in China.
MBI Deep Dives also provided a bullish perspective on Lululemon in their report. Despite facing skepticism earlier in the year, the stock has seen a significant 50% increase over the last three months. While the financial numbers for the third quarter may resemble the previous quarter, management’s optimistic tone signals confidence in the company’s trajectory, indicating a potential shift in market sentiment towards Lululemon Athletica.
A look at Lululemon Athletica Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on Smartkarma Smart Scores, Lululemon Athletica shows promising long-term potential. With a strong score of 4 for Growth and Momentum, the company is expected to expand and maintain its positive market performance. Lululemon’s focus on innovation and capturing market trends positions it well for future growth opportunities.
Although Lululemon scored lower in Value and Dividend, with scores of 2 and 1 respectively, its resilience score of 3 indicates a solid ability to withstand economic uncertainties. This suggests that despite lower value and dividend metrics, Lululemon’s core business and market position remain strong, making it a solid contender in the athletic apparel industry.
Summary: lululemon athletica Inc. designs and retails athletic clothing, including fitness pants, shorts, tops, and jackets for various activities such as yoga, dance, running, and general fitness. The company serves customers globally and excels in growth and momentum, showcasing potential for continued success in the market.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Analytics and News
- ✓ Events & Webinars
