LULULEMON ATHLETICA INC (LULU) Fundamental Analysis & Valuation

NASDAQ:LULU • US5500211090

Current stock price

162.74 USD
+2.14 (+1.33%)
At close:
163.28 USD
+0.54 (+0.33%)
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

  • In the past year LULU was profitable.
  • LULU had a positive operating cash flow in the past year.
  • In the past 5 years LULU has always been profitable.
  • In the past 5 years LULU always reported a positive cash flow from operatings.
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.
  • The Return On Equity of LULU (31.83%) is better than 93.33% of its industry peers.
  • LULU has a better Return On Invested Capital (23.72%) than 95.56% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for LULU is significantly above the industry average of 9.53%.
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

  • With an excellent Profit Margin value of 14.22%, LULU belongs to the best of the industry, outperforming 95.56% 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 19.91%. This is amongst the best in the industry. LULU outperforms 88.89% of its industry peers.
  • LULU's Operating Margin has been stable in the last couple of years.
  • LULU's Gross Margin of 56.60% is fine compared to the rest of the industry. LULU outperforms 66.67% 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 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

  • 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 less shares outstanding
  • The number of shares outstanding for LULU has been reduced compared to 5 years ago.
  • 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 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 6.45 indicates that LULU is not in any danger for bankruptcy at the moment.
  • LULU's Altman-Z score of 6.45 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 6.45
ROIC/WACC2.48
WACC9.57%
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's Current ratio of 2.26 is fine compared to the rest of the industry. LULU outperforms 64.44% 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.
  • LULU has a Quick ratio (1.36) which is in line with 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

  • The earnings per share for LULU have decreased by -9.52% in the last year.
  • The Earnings Per Share has been growing by 23.39% on average over the past years. This is a very strong growth
  • The Revenue has been growing slightly by 4.86% in the past year.
  • LULU shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.33% yearly.
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

  • Based on estimates for the next years, LULU will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.57% on average per year.
  • The Revenue is expected to grow by 7.39% on average over the next years.
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.
  • 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 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

  • LULU is valuated correctly with a Price/Earnings ratio of 12.24.
  • 84.44% of the companies in the same industry are more expensive than LULU, based on the Price/Earnings ratio.
  • LULU is valuated cheaply when we compare the Price/Earnings ratio to 27.38, which is the current average of the S&P500 Index.
  • With a Price/Forward Earnings ratio of 12.95, LULU is valued correctly.
  • Based on the Price/Forward Earnings ratio, LULU is valued a bit cheaper than the industry average as 75.56% of the companies are valued more expensively.
  • When comparing the Price/Forward Earnings ratio of LULU to the average of the S&P500 Index (38.20), we can say LULU is valued rather cheaply.
Industry RankSector Rank
PE 12.24
Fwd PE 12.95
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

  • Based on the Enterprise Value to EBITDA ratio, LULU is valued cheaper than 86.67% of the companies in the same industry.
  • LULU's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. LULU is cheaper than 64.44% of the companies in the same industry.
Industry RankSector Rank
P/FCF 20.41
EV/EBITDA 6.19
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)0.52
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

  • No dividends for LULU!.
Industry RankSector Rank
Dividend Yield 0%

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Find the best dividend stocksShow peers with best dividend

LULU Fundamentals: All Metrics, Ratios and Statistics

LULULEMON ATHLETICA INC

NASDAQ:LULU (4/15/2026, 8:02:59 PM)

After market: 163.28 +0.54 (+0.33%)

162.74

+2.14 (+1.33%)

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 Change0.08%
Ins Owners0.24%
Ins Owner Change6.19%
Market Cap18.81B
Revenue(TTM)11.10B
Net Income(TTM)1.58B
Analysts65.64
Price Target187.58 (15.26%)
Short Float %4.3%
Short Ratio1.77
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 12.24
Fwd PE 12.95
P/S 1.69
P/FCF 20.41
P/OCF 11.74
P/B 3.79
P/tB 3.94
EV/EBITDA 6.19
EPS(TTM)13.3
EY8.17%
EPS(NY)12.56
Fwd EY7.72%
FCF(TTM)7.97
FCFY4.9%
OCF(TTM)13.86
OCFY8.52%
SpS96.04
BVpS42.92
TBVpS41.27
PEG (NY)N/A
PEG (5Y)0.52
Graham Number113.334 (-30.36%)
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 6.45
F-Score6
WACC9.57%
ROIC/WACC2.48
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.