LULULEMON ATHLETICA INC (LULU) Fundamental Analysis & Valuation

NASDAQ:LULU • US5500211090

Current stock price

163.86 USD
-2.65 (-1.59%)
At close:
163.75 USD
-0.11 (-0.07%)
After Hours:

This LULU fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

8

1. LULU Profitability Analysis

1.1 Basic Checks

  • LULU had positive earnings in the past year.
  • In the past year LULU had a positive cash flow from operations.
  • LULU had positive earnings in each of the past 5 years.
  • LULU had a positive operating cash flow in each of the past 5 years.
LULU Yearly Net Income VS EBIT VS OCF VS FCFLULU Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 500M 1B 1.5B 2B 2.5B

1.2 Ratios

  • LULU's Return On Assets of 18.67% is amongst the best of the industry. LULU outperforms 97.78% of its industry peers.
  • LULU has a better Return On Equity (31.83%) than 91.11% of its industry peers.
  • With an excellent Return On Invested Capital value of 23.72%, LULU belongs to the best of the industry, outperforming 93.33% of the companies in the same industry.
  • LULU had an Average Return On Invested Capital over the past 3 years of 27.63%. This is significantly above the industry average of 11.51%.
Industry RankSector Rank
ROA 18.67%
ROE 31.83%
ROIC 23.72%
ROA(3y)21.47%
ROA(5y)19.88%
ROE(3y)36.81%
ROE(5y)34.63%
ROIC(3y)27.63%
ROIC(5y)27.97%
LULU Yearly ROA, ROE, ROICLULU Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10 20 30 40

1.3 Margins

  • LULU has a Profit Margin of 14.22%. This is amongst the best in the industry. LULU outperforms 95.56% of its industry peers.
  • In the last couple of years the Profit Margin of LULU has remained more or less at the same level.
  • LULU has a better Operating Margin (19.91%) than 88.89% of its industry peers.
  • LULU's Operating Margin has been stable in the last couple of years.
  • LULU has a better Gross Margin (56.60%) than 66.67% of its industry peers.
  • LULU's Gross Margin has been stable in the last couple of years.
Industry RankSector Rank
OM 19.91%
PM (TTM) 14.22%
GM 56.6%
OM growth 3Y-2.2%
OM growth 5Y0.62%
PM growth 3Y10.51%
PM growth 5Y1.23%
GM growth 3Y0.72%
GM growth 5Y0.22%
LULU Yearly Profit, Operating, Gross MarginsLULU Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10 20 30 40 50

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ROAROEROICOperating and Profit MarginShow most profitable peers

9

2. LULU Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so LULU is creating value.
  • Compared to 1 year ago, LULU has less shares outstanding
  • Compared to 5 years ago, LULU has less shares outstanding
  • LULU has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
LULU Yearly Shares OutstandingLULU Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20M 40M 60M 80M 100M
LULU Yearly Total Debt VS Total AssetsLULU Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2B 4B 6B 8B

2.2 Solvency

  • An Altman-Z score of 6.51 indicates that LULU is not in any danger for bankruptcy at the moment.
  • LULU's Altman-Z score of 6.51 is amongst the best of the industry. LULU outperforms 93.33% of its industry peers.
  • There is no outstanding debt for LULU. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 6.51
ROIC/WACC2.49
WACC9.52%
LULU Yearly LT Debt VS Equity VS FCFLULU Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B 4B

2.3 Liquidity

  • A Current Ratio of 2.26 indicates that LULU has no problem at all paying its short term obligations.
  • LULU has a better Current ratio (2.26) than 66.67% of its industry peers.
  • LULU has a Quick Ratio of 1.36. This is a normal value and indicates that LULU is financially healthy and should not expect problems in meeting its short term obligations.
  • The Quick ratio of LULU (1.36) is better than 62.22% of its industry peers.
Industry RankSector Rank
Current Ratio 2.26
Quick Ratio 1.36
LULU Yearly Current Assets VS Current LiabilitesLULU Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B 4B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. LULU Growth Analysis

3.1 Past

  • LULU shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -9.52%.
  • LULU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.39% yearly.
  • The Revenue has been growing slightly by 4.86% in the past year.
  • The Revenue has been growing by 20.33% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-9.52%
EPS 3Y9.68%
EPS 5Y23.39%
EPS Q2Q%-18.4%
Revenue 1Y (TTM)4.86%
Revenue growth 3Y11.03%
Revenue growth 5Y20.33%
Sales Q2Q%0.81%

3.2 Future

  • The Earnings Per Share is expected to grow by 14.57% on average over the next years. This is quite good.
  • LULU is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.39% yearly.
EPS Next Y-5.54%
EPS Next 2Y0.87%
EPS Next 3Y3.37%
EPS Next 5Y14.57%
Revenue Next Year4.02%
Revenue Next 2Y4.35%
Revenue Next 3Y4.58%
Revenue Next 5Y7.39%

3.3 Evolution

  • Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
LULU Yearly Revenue VS EstimatesLULU Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B
LULU Yearly EPS VS EstimatesLULU Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30

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Find the best growth stocksShow best growing peers

6

4. LULU Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 12.32, LULU is valued correctly.
  • Based on the Price/Earnings ratio, LULU is valued cheaply inside the industry as 84.44% of the companies are valued more expensively.
  • Compared to an average S&P500 Price/Earnings ratio of 26.78, LULU is valued rather cheaply.
  • A Price/Forward Earnings ratio of 13.04 indicates a correct valuation of LULU.
  • LULU's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. LULU is cheaper than 77.78% of the companies in the same industry.
  • Compared to an average S&P500 Price/Forward Earnings ratio of 23.54, LULU is valued a bit cheaper.
Industry RankSector Rank
PE 12.32
Fwd PE 13.04
LULU Price Earnings VS Forward Price EarningsLULU Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

4.2 Price Multiples

  • Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of LULU indicates a rather cheap valuation: LULU is cheaper than 82.22% of the companies listed in the same industry.
  • Based on the Price/Free Cash Flow ratio, LULU is valued a bit cheaper than the industry average as 64.44% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 20.55
EV/EBITDA 6.33
LULU Per share dataLULU EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

  • LULU has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.53
EPS Next 2Y0.87%
EPS Next 3Y3.37%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. LULU Dividend Analysis

5.1 Amount

  • LULU does not give a dividend.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

LULU Fundamentals: All Metrics, Ratios and Statistics

LULULEMON ATHLETICA INC

NASDAQ:LULU (4/10/2026, 8:00:01 PM)

After market: 163.75 -0.11 (-0.07%)

163.86

-2.65 (-1.59%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)03-17
Earnings (Next)06-03
Inst Owners83.33%
Inst Owner Change0.01%
Ins Owners0.24%
Ins Owner Change6.26%
Market Cap18.94B
Revenue(TTM)11.10B
Net Income(TTM)1.58B
Analysts65.64
Price Target187.58 (14.48%)
Short Float %4.4%
Short Ratio1.74
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.69%
Min EPS beat(2)2.76%
Max EPS beat(2)12.63%
EPS beat(4)3
Avg EPS beat(4)4.91%
Min EPS beat(4)-1.37%
Max EPS beat(4)12.63%
EPS beat(8)7
Avg EPS beat(8)4.65%
EPS beat(12)11
Avg EPS beat(12)5.49%
EPS beat(16)14
Avg EPS beat(16)5.22%
Revenue beat(2)1
Avg Revenue beat(2)0.38%
Min Revenue beat(2)-0.33%
Max Revenue beat(2)1.1%
Revenue beat(4)1
Avg Revenue beat(4)-0.79%
Min Revenue beat(4)-2.5%
Max Revenue beat(4)1.1%
Revenue beat(8)1
Avg Revenue beat(8)-1.14%
Revenue beat(12)2
Avg Revenue beat(12)-0.86%
Revenue beat(16)6
Avg Revenue beat(16)-0.17%
PT rev (1m)-12.31%
PT rev (3m)-16.19%
EPS NQ rev (1m)-19.34%
EPS NQ rev (3m)-18.89%
EPS NY rev (1m)-3.07%
EPS NY rev (3m)-2.33%
Revenue NQ rev (1m)-1.51%
Revenue NQ rev (3m)-0.96%
Revenue NY rev (1m)-0.58%
Revenue NY rev (3m)-0.13%
Valuation
Industry RankSector Rank
PE 12.32
Fwd PE 13.04
P/S 1.71
P/FCF 20.55
P/OCF 11.82
P/B 3.82
P/tB 3.97
EV/EBITDA 6.33
EPS(TTM)13.3
EY8.12%
EPS(NY)12.56
Fwd EY7.67%
FCF(TTM)7.97
FCFY4.87%
OCF(TTM)13.86
OCFY8.46%
SpS96.04
BVpS42.92
TBVpS41.27
PEG (NY)N/A
PEG (5Y)0.53
Graham Number113.33
Profitability
Industry RankSector Rank
ROA 18.67%
ROE 31.83%
ROCE 33.65%
ROIC 23.72%
ROICexc 32.72%
ROICexgc 34.09%
OM 19.91%
PM (TTM) 14.22%
GM 56.6%
FCFM 8.3%
ROA(3y)21.47%
ROA(5y)19.88%
ROE(3y)36.81%
ROE(5y)34.63%
ROIC(3y)27.63%
ROIC(5y)27.97%
ROICexc(3y)42.63%
ROICexc(5y)42.31%
ROICexgc(3y)43.95%
ROICexgc(5y)45.37%
ROCE(3y)39.2%
ROCE(5y)39.68%
ROICexgc growth 3Y-6.54%
ROICexgc growth 5Y-0.84%
ROICexc growth 3Y-7.32%
ROICexc growth 5Y3.28%
OM growth 3Y-2.2%
OM growth 5Y0.62%
PM growth 3Y10.51%
PM growth 5Y1.23%
GM growth 3Y0.72%
GM growth 5Y0.22%
F-Score6
Asset Turnover1.31
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 137.2%
Cap/Sales 6.13%
Interest Coverage 2150.4
Cash Conversion 59.2%
Profit Quality 58.36%
Current Ratio 2.26
Quick Ratio 1.36
Altman-Z 6.51
F-Score6
WACC9.52%
ROIC/WACC2.49
Cap/Depr(3y)154.46%
Cap/Depr(5y)171.64%
Cap/Sales(3y)6.47%
Cap/Sales(5y)6.72%
Profit Quality(3y)83.9%
Profit Quality(5y)78.4%
High Growth Momentum
Growth
EPS 1Y (TTM)-9.52%
EPS 3Y9.68%
EPS 5Y23.39%
EPS Q2Q%-18.4%
EPS Next Y-5.54%
EPS Next 2Y0.87%
EPS Next 3Y3.37%
EPS Next 5Y14.57%
Revenue 1Y (TTM)4.86%
Revenue growth 3Y11.03%
Revenue growth 5Y20.33%
Sales Q2Q%0.81%
Revenue Next Year4.02%
Revenue Next 2Y4.35%
Revenue Next 3Y4.58%
Revenue Next 5Y7.39%
EBIT growth 1Y-11.9%
EBIT growth 3Y8.6%
EBIT growth 5Y21.07%
EBIT Next Year16.41%
EBIT Next 3Y9.25%
EBIT Next 5Y14.4%
FCF growth 1Y-41.79%
FCF growth 3Y41.14%
FCF growth 5Y9.93%
OCF growth 1Y-29.49%
OCF growth 3Y18.36%
OCF growth 5Y14.81%

LULULEMON ATHLETICA INC / LULU Fundamental Analysis FAQ

What is the ChartMill fundamental rating of LULULEMON ATHLETICA INC (LULU) stock?

ChartMill assigns a fundamental rating of 7 / 10 to LULU.


Can you provide the valuation status for LULULEMON ATHLETICA INC?

ChartMill assigns a valuation rating of 6 / 10 to LULULEMON ATHLETICA INC (LULU). This can be considered as Fairly Valued.


What is the profitability of LULU stock?

LULULEMON ATHLETICA INC (LULU) has a profitability rating of 8 / 10.


What is the financial health of LULULEMON ATHLETICA INC (LULU) stock?

The financial health rating of LULULEMON ATHLETICA INC (LULU) is 9 / 10.


What is the earnings growth outlook for LULULEMON ATHLETICA INC?

The Earnings per Share (EPS) of LULULEMON ATHLETICA INC (LULU) is expected to decline by -5.54% in the next year.