Added to YB: 2026-07-31
Pitch date: 2026-07-29
LULU [neutral]
lululemon athletica inc.
+1.65%
current return
Author Info
No bio for this author
Company Info
lululemon athletica inc., together with its subsidiaries, designs, distributes, and retails technical athletic apparel, footwear, and accessories for women and men under the lululemon brand in the United States, Canada, Mexico, China, Hong Kong, Taiwan, Macau, Greece, and internationally.
Market Cap
$13.5B
Pitch Price
$117.53
Price Target
130.00 (+9%)
Dividend
N/A
EV/EBITDA
4.43
P/E
9.60
EV/Sales
1.26
Sector
Textiles, Apparel and Luxury Goods
Category
value
Michael Burry is Still Buying Lululemon (LULU): Should You?
LULU: Trades ~$113, 8x earnings (12.5% yield) vs S&P 28x, down 72% in 5yrs on NA weakness, brand erosion & CEO turmoil. Fortress balance sheet (zero debt, $1.5B cash), 56.6% GM, 34% ROE, aggressive buybacks. Intl +22% (China +30%) offsets NA decline. Conservative $1B norm earnings x14 = $130/sh fair value; margin of safety under $130. Risks: Alo/Vuori/NikeSKIMS competition, brand narrowing moat, tariffs, leadership handoff. Author bullish but owns none (prefers Hacksaw AB).
Read full article (20 min)