Logo image of LULU

LULULEMON ATHLETICA INC (LULU) Stock Fundamental Analysis

NASDAQ:LULU - Nasdaq - US5500211090 - Common Stock - Currency: USD

227.47  -1.18 (-0.52%)

After market: 227.75 +0.28 (+0.12%)

Fundamental Rating

7

LULU gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 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. With these ratings, LULU could be worth investigating further for quality investing!.


Dividend Valuation Growth Profitability Health

Quickly go to:

9

1. Profitability

1.1 Basic Checks

LULU had positive earnings in the past year.
LULU had a positive operating cash flow in the past year.
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

The Return On Assets of LULU (24.33%) is better than 97.92% of its industry peers.
Looking at the Return On Equity, with a value of 42.14%, LULU belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
LULU's Return On Invested Capital of 30.39% is amongst the best of the industry. LULU outperforms 97.92% 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 11.45%.
The 3 year average ROIC (29.73%) for LULU is below the current ROIC(30.39%), indicating increased profibility in the last year.
Industry RankSector Rank
ROA 24.33%
ROE 42.14%
ROIC 30.39%
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

With an excellent Profit Margin value of 16.82%, LULU belongs to the best of the industry, outperforming 95.83% of the companies in the same industry.
In the last couple of years the Profit Margin of LULU has remained more or less at the same level.
LULU has a Operating Margin of 23.37%. This is amongst the best in the industry. LULU outperforms 93.75% of its industry peers.
In the last couple of years the Operating Margin of LULU has remained more or less at the same level.
LULU has a Gross Margin of 59.34%. This is in the better half of the industry: LULU outperforms 77.08% 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 23.37%
PM (TTM) 16.82%
GM 59.34%
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

More info and screens

9

2. Health

2.1 Basic Checks

LULU has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, LULU has about the same amount of shares outstanding.
The number of shares outstanding for LULU has been reduced compared to 5 years ago.
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 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

LULU has an Altman-Z score of 8.89. This indicates that LULU is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of LULU (8.89) is better than 93.75% of its industry peers.
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 8.89
ROIC/WACC3.92
WACC7.75%
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

A Current Ratio of 2.28 indicates that LULU has no problem at all paying its short term obligations.
The Current ratio of LULU (2.28) is better than 62.50% of its industry peers.
A Quick Ratio of 1.23 indicates that LULU should not have too much problems paying its short term obligations.
With a Quick ratio value of 1.23, LULU perfoms like the industry average, outperforming 45.83% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 2.28
Quick Ratio 1.23
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

More info and screens

6

3. Growth

3.1 Past

The Earnings Per Share has grown by an nice 13.19% over the past year.
LULU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 24.37% yearly.
The Revenue has grown by 9.39% in the past year. This is quite good.
The Revenue has been growing by 21.62% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)13.19%
EPS 3Y23.52%
EPS 5Y24.37%
EPS Q2Q%2.36%
Revenue 1Y (TTM)9.39%
Revenue growth 3Y19.17%
Revenue growth 5Y21.62%
Sales Q2Q%7.32%

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 11.19% on average per year.
The Revenue is expected to grow by 7.99% on average over the next years.
EPS Next Y2.6%
EPS Next 2Y5.54%
EPS Next 3Y6.94%
EPS Next 5Y11.19%
Revenue Next Year6.76%
Revenue Next 2Y7.04%
Revenue Next 3Y7.11%
Revenue Next 5Y7.99%

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.
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

More info and screens

4

4. Valuation

4.1 Price/Earnings Ratio

LULU is valuated correctly with a Price/Earnings ratio of 15.41.
Compared to the rest of the industry, the Price/Earnings ratio of LULU indicates a somewhat cheap valuation: LULU is cheaper than 64.58% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of LULU to the average of the S&P500 Index (26.35), we can say LULU is valued slightly cheaper.
A Price/Forward Earnings ratio of 13.89 indicates a correct valuation of LULU.
The rest of the industry has a similar Price/Forward Earnings ratio as LULU.
The average S&P500 Price/Forward Earnings ratio is at 22.19. LULU is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 15.41
Fwd PE 13.89
LULU Price Earnings VS Forward Price EarningsLULU Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

LULU's Enterprise Value to EBITDA ratio is in line with the industry average.
LULU's Price/Free Cash Flow is on the same level as the industry average.
Industry RankSector Rank
P/FCF 20.78
EV/EBITDA 8.78
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 high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The excellent profitability rating of LULU may justify a higher PE ratio.
PEG (NY)5.92
PEG (5Y)0.63
EPS Next 2Y5.54%
EPS Next 3Y6.94%

More info and screens

0

5. Dividend

5.1 Amount

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

More info and screens

LULULEMON ATHLETICA INC

NASDAQ:LULU (6/20/2025, 8:00:00 PM)

After market: 227.75 +0.28 (+0.12%)

227.47

-1.18 (-0.52%)

Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Durables & Apparel
GICS IndustryTextiles, Apparel & Luxury Goods
Earnings (Last)06-05 2025-06-05/amc
Earnings (Next)08-27 2025-08-27/amc
Inst Owners96.5%
Inst Owner Change3.61%
Ins Owners0.3%
Ins Owner Change4.93%
Market Cap27.33B
Analysts74.63
Price Target313.74 (37.93%)
Short Float %4.41%
Short Ratio1.74
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)0.77%
Min EPS beat(2)-1.37%
Max EPS beat(2)2.91%
EPS beat(4)3
Avg EPS beat(4)2.92%
Min EPS beat(4)-1.37%
Max EPS beat(4)5.41%
EPS beat(8)7
Avg EPS beat(8)3.97%
EPS beat(12)10
Avg EPS beat(12)5.1%
EPS beat(16)14
Avg EPS beat(16)6.97%
Revenue beat(2)0
Avg Revenue beat(2)-1.17%
Min Revenue beat(2)-1.43%
Max Revenue beat(2)-0.92%
Revenue beat(4)0
Avg Revenue beat(4)-1.52%
Min Revenue beat(4)-3.46%
Max Revenue beat(4)-0.26%
Revenue beat(8)0
Avg Revenue beat(8)-1.32%
Revenue beat(12)4
Avg Revenue beat(12)-0.36%
Revenue beat(16)6
Avg Revenue beat(16)0.12%
PT rev (1m)-0.4%
PT rev (3m)-17.25%
EPS NQ rev (1m)-12.17%
EPS NQ rev (3m)-14.26%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.37%
Revenue NQ rev (1m)-0.46%
Revenue NQ rev (3m)-0.53%
Revenue NY rev (1m)0.62%
Revenue NY rev (3m)-0.17%
Valuation
Industry RankSector Rank
PE 15.41
Fwd PE 13.89
P/S 2.54
P/FCF 20.78
P/OCF 13.49
P/B 6.37
P/tB 6.65
EV/EBITDA 8.78
EPS(TTM)14.76
EY6.49%
EPS(NY)16.37
Fwd EY7.2%
FCF(TTM)10.95
FCFY4.81%
OCF(TTM)16.86
OCFY7.41%
SpS89.47
BVpS35.7
TBVpS34.22
PEG (NY)5.92
PEG (5Y)0.63
Profitability
Industry RankSector Rank
ROA 24.33%
ROE 42.14%
ROCE 42.89%
ROIC 30.39%
ROICexc 39.27%
ROICexgc 40.88%
OM 23.37%
PM (TTM) 16.82%
GM 59.34%
FCFM 12.24%
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-Score8
Asset Turnover1.45
Health
Industry RankSector Rank
Debt/Equity 0
Debt/FCF 0
Debt/EBITDA 0
Cap/Depr 152.77%
Cap/Sales 6.61%
Interest Coverage 250
Cash Conversion 68.04%
Profit Quality 72.77%
Current Ratio 2.28
Quick Ratio 1.23
Altman-Z 8.89
F-Score8
WACC7.75%
ROIC/WACC3.92
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)13.19%
EPS 3Y23.52%
EPS 5Y24.37%
EPS Q2Q%2.36%
EPS Next Y2.6%
EPS Next 2Y5.54%
EPS Next 3Y6.94%
EPS Next 5Y11.19%
Revenue 1Y (TTM)9.39%
Revenue growth 3Y19.17%
Revenue growth 5Y21.62%
Sales Q2Q%7.32%
Revenue Next Year6.76%
Revenue Next 2Y7.04%
Revenue Next 3Y7.11%
Revenue Next 5Y7.99%
EBIT growth 1Y12.25%
EBIT growth 3Y22.21%
EBIT growth 5Y23.02%
EBIT Next Year21.76%
EBIT Next 3Y12.04%
EBIT Next 5Y10.61%
FCF growth 1Y122.59%
FCF growth 3Y16.77%
FCF growth 5Y32.6%
OCF growth 1Y61.42%
OCF growth 3Y17.83%
OCF growth 5Y27.7%