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lululemon shares plunge 19% after weak Q2 with falling sales and profit pressures

Company Fundamentals
03 Sep 2026
Seeking Alpha
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Bearish
lululemon shares plunge 19% after weak Q2 with falling sales and profit pressures

lululemon athletica reported a disappointing Q2 with a 4% revenue drop and 10% decline in comparable sales, especially in the Americas where sales fell 8%. Despite an EPS beat due to one-time tariff refunds, the underlying profit margins and earnings were weaker, reflecting competitive and economic challenges. The stock fell 19% post-earnings, and the outlook remains uncertain, though some international growth potential exists. The analyst maintains a Hold rating given the unclear turnaround path despite the stock's cheaper valuation.

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Lululemon stock plunges 19% after earnings miss, hitting 8-year lows despite Michael Burry's confidence.

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