Lululemon analysts reboot stock price target after earnings

From Yahoo Finance: 2025-06-07 12:03:00

Lululemon’s stock price target was adjusted by analysts after earnings. The athleisure giant beat first-quarter earnings but lowered full-year guidance due to increased competition and Trump’s tariffs, causing a 20% drop in shares. The CFO cited a thinner operating margin and strategic price increases. Comparable sales rose 1%, missing analyst forecasts.

Investment firms like Needham and BMO Capital adjusted price targets for Lululemon, with Needham noting an aggressive selloff relative to guidance cuts. Telsey Advisory maintained an outperform rating and highlighted consumer response to new products. BMO Capital mentioned a slight top- and bottom-line beat but lowered Q2 guidance based on tariffs and markdowns.

Lululemon’s domestic business remains sluggish, while international growth slowed, prompting questions about future growth. Trump’s tariff impact is widespread, causing uncertainty for retailers and consumers. Trade talks with China were scheduled, aiming for positive outcomes. The stock is down 31% this year and 18% from a year earlier.



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