LULULEMON ATHLETICA INC (LULU) Fundamental Analysis & Valuation

NASDAQ:LULU • US5500211090

Current stock price

162.74 USD
+2.14 (+1.33%)
At close:
163.3 USD
+0.56 (+0.34%)
Pre-Market:

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.
  • 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

  • Looking at the Return On Assets, with a value of 18.67%, LULU belongs to the top of the industry, outperforming 97.78% of the companies in the same industry.
  • Looking at the Return On Equity, with a value of 31.83%, LULU belongs to the top of the industry, outperforming 93.33% of the companies in the same industry.
  • LULU's Return On Invested Capital of 23.72% is amongst the best of the industry. LULU outperforms 95.56% of its industry peers.
  • LULU had an Average Return On Invested Capital over the past 3 years of 27.63%. This 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

  • The Profit Margin of LULU (14.22%) is better than 95.56% of its industry peers.
  • LULU's Profit Margin has been stable in the last couple of years.
  • With an excellent Operating Margin value of 19.91%, LULU belongs to the best of the industry, outperforming 88.89% of the companies in the same industry.
  • In the last couple of years the Operating Margin of LULU has remained more or less at the same level.
  • LULU's Gross Margin of 56.60% is fine compared to the rest of the industry. LULU outperforms 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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9

2. LULU Health Analysis

2.1 Basic Checks

  • With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 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 6.49 indicates that LULU is not in any danger for bankruptcy at the moment.
  • LULU's Altman-Z score of 6.49 is amongst the best of the industry. LULU outperforms 93.33% 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 6.49
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

  • LULU has a Current Ratio of 2.26. This indicates that LULU is financially healthy and has no problem in meeting its short term obligations.
  • LULU has a better Current ratio (2.26) than 64.44% of its industry peers.
  • A Quick Ratio of 1.36 indicates that LULU should not have too much problems paying its short term obligations.
  • The Quick ratio of LULU (1.36) is comparable to the rest of the industry.
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.
  • LULU shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 23.39% yearly.
  • Looking at the last year, LULU shows a small growth in Revenue. The Revenue has grown by 4.86% in the last 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

  • 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.
  • Based on estimates for the next years, LULU will show a small growth in Revenue. The Revenue will grow by 7.39% on average per year.
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

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in 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 12.24, LULU is valued correctly.
  • Compared to the rest of the industry, the Price/Earnings ratio of LULU indicates a rather cheap valuation: LULU is cheaper than 84.44% of the companies listed in the same industry.
  • When comparing the Price/Earnings ratio of LULU to the average of the S&P500 Index (27.38), we can say LULU is valued rather cheaply.
  • Based on the Price/Forward Earnings ratio of 12.95, the valuation of LULU can be described as correct.
  • Compared to the rest of the industry, the Price/Forward Earnings ratio of LULU indicates a somewhat cheap valuation: LULU is cheaper than 73.33% of the companies listed in the same industry.
  • LULU's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 38.20.
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

  • 91.11% of the companies in the same industry are more expensive than LULU, based on the Enterprise Value to EBITDA ratio.
  • 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 20.41
EV/EBITDA 6.28
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

  • LULU does not give a dividend.
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)

Premarket: 163.3 +0.56 (+0.34%)

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 6.28
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 6.49
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.