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LULULEMON ATHLETICA INC (LULU) Stock Fundamental Analysis

USA - NASDAQ:LULU - US5500211090 - Common Stock

179.11 USD
+2.81 (+1.59%)
Last: 9/29/2025, 8:00:01 PM
178.53 USD
-0.58 (-0.32%)
After Hours: 9/29/2025, 8:00:01 PM
Fundamental Rating

7

We assign a fundamental rating of 7 out of 10 to LULU. LULU was compared to 48 industry peers in the Textiles, Apparel & Luxury Goods industry. LULU scores excellent points on both the profitability and health parts. This is a solid base for a good stock. LULU has a decent growth rate and is not valued too expensively. This makes LULU very considerable for quality investing!


Dividend Valuation Growth Profitability Health

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8

1. Profitability

1.1 Basic Checks

In the past year LULU was profitable.
In the past year LULU had a positive cash flow from operations.
Each year in the past 5 years LULU has been profitable.
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 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 500M 1B 1.5B 2B 2.5B

1.2 Ratios

LULU has a better Return On Assets (23.74%) than 97.92% of its industry peers.
With an excellent Return On Equity value of 40.70%, LULU belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
LULU has a Return On Invested Capital of 29.67%. This is amongst the best in the industry. LULU outperforms 95.83% of its industry peers.
LULU had an Average Return On Invested Capital over the past 3 years of 29.73%. This is significantly above the industry average of 12.19%.
Industry RankSector Rank
ROA 23.74%
ROE 40.7%
ROIC 29.67%
ROA(3y)20.32%
ROA(5y)18.95%
ROE(3y)35.25%
ROE(5y)32.87%
ROIC(3y)29.73%
ROIC(5y)26.99%
LULU Yearly ROA, ROE, ROICLULU Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40

1.3 Margins

LULU's Profit Margin of 16.38% is amongst the best of the industry. LULU outperforms 97.92% of its industry peers.
LULU's Profit Margin has been stable in the last couple of years.
With an excellent Operating Margin value of 22.92%, LULU belongs to the best of the industry, outperforming 93.75% of the companies in the same industry.
LULU's Operating Margin has been stable in the last couple of years.
LULU has a Gross Margin of 59.10%. This is in the better half of the industry: LULU outperforms 75.00% of its industry peers.
In the last couple of years the Gross Margin of LULU has remained more or less at the same level.
Industry RankSector Rank
OM 22.92%
PM (TTM) 16.38%
GM 59.1%
OM growth 3Y2.55%
OM growth 5Y1.15%
PM growth 3Y3.21%
PM growth 5Y1.1%
GM growth 3Y0.89%
GM growth 5Y1.17%
LULU Yearly Profit, Operating, Gross MarginsLULU Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10 20 30 40 50

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9

2. Health

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
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.
LULU Yearly Shares OutstandingLULU Yearly Shares OutstandingYearly Shares Outstanding 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 50M 100M
LULU Yearly Total Debt VS Total AssetsLULU Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2B 4B 6B

2.2 Solvency

An Altman-Z score of 7.62 indicates that LULU is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 7.62, LULU belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
LULU has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Altman-Z 7.62
ROIC/WACC3.03
WACC9.8%
LULU Yearly LT Debt VS Equity VS FCFLULU Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

2.3 Liquidity

LULU has a Current Ratio of 2.27. This indicates that LULU is financially healthy and has no problem in meeting its short term obligations.
LULU has a Current ratio of 2.27. This is in the better half of the industry: LULU outperforms 68.75% of its industry peers.
A Quick Ratio of 1.16 indicates that LULU should not have too much problems paying its short term obligations.
The Quick ratio of LULU (1.16) is comparable to the rest of the industry.
Industry RankSector Rank
Current Ratio 2.27
Quick Ratio 1.16
LULU Yearly Current Assets VS Current LiabilitesLULU Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 1B 2B 3B 4B

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6

3. Growth

3.1 Past

LULU shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 8.88%, which is quite good.
LULU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.37% yearly.
Looking at the last year, LULU shows a quite strong growth in Revenue. The Revenue has grown by 9.16% in the last year.
LULU shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 21.62% yearly.
EPS 1Y (TTM)8.88%
EPS 3Y23.52%
EPS 5Y24.37%
EPS Q2Q%-1.59%
Revenue 1Y (TTM)9.16%
Revenue growth 3Y19.17%
Revenue growth 5Y21.62%
Sales Q2Q%6.5%

3.2 Future

Based on estimates for the next years, LULU will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.14% on average per year.
Based on estimates for the next years, LULU will show a small growth in Revenue. The Revenue will grow by 6.76% on average per year.
EPS Next Y-9.34%
EPS Next 2Y-4.86%
EPS Next 3Y-1.03%
EPS Next 5Y10.14%
Revenue Next Year4.37%
Revenue Next 2Y4.58%
Revenue Next 3Y4.82%
Revenue Next 5Y6.76%

3.3 Evolution

The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
LULU Yearly Revenue VS EstimatesLULU Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 5B 10B 15B 20B
LULU Yearly EPS VS EstimatesLULU Yearly EPS VS EstimatesYearly EPS VS Estimates 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 10 20 30

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5

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 12.18 indicates a correct valuation of LULU.
LULU's Price/Earnings ratio is a bit cheaper when compared to the industry. LULU is cheaper than 79.17% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 27.67. LULU is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 13.46 indicates a correct valuation of LULU.
70.83% of the companies in the same industry are more expensive than LULU, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of LULU to the average of the S&P500 Index (23.13), we can say LULU is valued slightly cheaper.
Industry RankSector Rank
PE 12.18
Fwd PE 13.46
LULU Price Earnings VS Forward Price EarningsLULU Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

Based on the Enterprise Value to EBITDA ratio, LULU is valued a bit cheaper than the industry average as 70.83% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of LULU indicates a somewhat cheap valuation: LULU is cheaper than 70.83% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 18.18
EV/EBITDA 6.63
LULU Per share dataLULU EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 20 40 60 80

4.3 Compensation for Growth

The excellent profitability rating of LULU may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.5
EPS Next 2Y-4.86%
EPS Next 3Y-1.03%

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0

5. Dividend

5.1 Amount

No dividends for LULU!.
Industry RankSector Rank
Dividend Yield N/A

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LULULEMON ATHLETICA INC

NASDAQ:LULU (9/29/2025, 8:00:01 PM)

After market: 178.53 -0.58 (-0.32%)

179.11

+2.81 (+1.59%)

Chartmill FA Rating
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)09-04 2025-09-04/amc
Earnings (Next)12-03 2025-12-03/amc
Inst Owners88.49%
Inst Owner Change-10.69%
Ins Owners0.32%
Ins Owner Change7.01%
Market Cap21.24B
Analysts73.85
Price Target215.63 (20.39%)
Short Float %6.35%
Short Ratio1.37
Dividend
Industry RankSector Rank
Dividend Yield N/A
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)1
Avg EPS beat(2)2.13%
Min EPS beat(2)-1.37%
Max EPS beat(2)5.62%
EPS beat(4)3
Avg EPS beat(4)2.97%
Min EPS beat(4)-1.37%
Max EPS beat(4)5.62%
EPS beat(8)7
Avg EPS beat(8)4.26%
EPS beat(12)10
Avg EPS beat(12)4.28%
EPS beat(16)14
Avg EPS beat(16)5.09%
Revenue beat(2)0
Avg Revenue beat(2)-1.96%
Min Revenue beat(2)-2.5%
Max Revenue beat(2)-1.43%
Revenue beat(4)0
Avg Revenue beat(4)-1.28%
Min Revenue beat(4)-2.5%
Max Revenue beat(4)-0.26%
Revenue beat(8)0
Avg Revenue beat(8)-1.59%
Revenue beat(12)3
Avg Revenue beat(12)-0.84%
Revenue beat(16)5
Avg Revenue beat(16)-0.43%
PT rev (1m)-25.67%
PT rev (3m)-31.27%
EPS NQ rev (1m)-20.06%
EPS NQ rev (3m)-20.56%
EPS NY rev (1m)-9.83%
EPS NY rev (3m)-10.88%
Revenue NQ rev (1m)-2.63%
Revenue NQ rev (3m)-3.15%
Revenue NY rev (1m)-1.6%
Revenue NY rev (3m)-1.98%
Valuation
Industry RankSector Rank
PE 12.18
Fwd PE 13.46
P/S 1.95
P/FCF 18.18
P/OCF 11.11
P/B 4.84
P/tB 5.05
EV/EBITDA 6.63
EPS(TTM)14.71
EY8.21%
EPS(NY)13.31
Fwd EY7.43%
FCF(TTM)9.85
FCFY5.5%
OCF(TTM)16.12
OCFY9%
SpS91.96
BVpS37
TBVpS35.46
PEG (NY)N/A
PEG (5Y)0.5
Profitability
Industry RankSector Rank
ROA 23.74%
ROE 40.7%
ROCE 41.88%
ROIC 29.67%
ROICexc 36.8%
ROICexgc 38.25%
OM 22.92%
PM (TTM) 16.38%
GM 59.1%
FCFM 10.71%
ROA(3y)20.32%
ROA(5y)18.95%
ROE(3y)35.25%
ROE(5y)32.87%
ROIC(3y)29.73%
ROIC(5y)26.99%
ROICexc(3y)45.65%
ROICexc(5y)41.54%
ROICexgc(3y)46.74%
ROICexgc(5y)45.9%
ROCE(3y)41.97%
ROCE(5y)38.1%
ROICexcg growth 3Y-2.73%
ROICexcg growth 5Y3.8%
ROICexc growth 3Y3.22%
ROICexc growth 5Y3.16%
OM growth 3Y2.55%
OM growth 5Y1.15%
PM growth 3Y3.21%
PM growth 5Y1.1%
GM growth 3Y0.89%
GM growth 5Y1.17%
F-Score6
Asset Turnover1.45
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 154.46%
Cap/Sales 6.82%
Interest Coverage 250
Cash Conversion 64.15%
Profit Quality 65.41%
Current Ratio 2.27
Quick Ratio 1.16
Altman-Z 7.62
F-Score6
WACC9.8%
ROIC/WACC3.03
Cap/Depr(3y)181.68%
Cap/Depr(5y)168.92%
Cap/Sales(3y)7.05%
Cap/Sales(5y)6.53%
Profit Quality(3y)77.23%
Profit Quality(5y)86.23%
High Growth Momentum
Growth
EPS 1Y (TTM)8.88%
EPS 3Y23.52%
EPS 5Y24.37%
EPS Q2Q%-1.59%
EPS Next Y-9.34%
EPS Next 2Y-4.86%
EPS Next 3Y-1.03%
EPS Next 5Y10.14%
Revenue 1Y (TTM)9.16%
Revenue growth 3Y19.17%
Revenue growth 5Y21.62%
Sales Q2Q%6.5%
Revenue Next Year4.37%
Revenue Next 2Y4.58%
Revenue Next 3Y4.82%
Revenue Next 5Y6.76%
EBIT growth 1Y8.67%
EBIT growth 3Y22.21%
EBIT growth 5Y23.02%
EBIT Next Year9.59%
EBIT Next 3Y2.14%
EBIT Next 5Y9.02%
FCF growth 1Y20.52%
FCF growth 3Y16.77%
FCF growth 5Y32.6%
OCF growth 1Y16.98%
OCF growth 3Y17.83%
OCF growth 5Y27.7%