Why Now Might Be the Best Time to Buy Lululemon Stock
From Nasdaq: 2025-06-09 00:45:00
Lululemon stock (NASDAQ:LULU) is trading around $331, seen as undervalued despite a 22% selloff after Q1 results. Despite short-term challenges, LULU boasts impressive growth, profitability, and a strong balance sheet. Investors can consider long-term wealth compounding with LULU or explore Trefis’ High Quality portfolio for lower volatility.
Lululemon continues to exhibit strong growth, with a three-year revenue CAGR of 19% and impressive operating margins. Its financial fortitude, with low debt and high cash reserves, positions it well for future growth and resilience in downturns. However, the stock is known for sharp swings during market corrections.
Despite potential volatility, Lululemon presents a compelling investment opportunity with strong fundamentals and a discount to its performance profile. Investors can also explore Trefis’ Reinforced Value (RV) Portfolio, which has outperformed its benchmark indices. Consider investing with Trefis Market-Beating Portfolios for potential market-beating returns.
Read more at Nasdaq: Why Now Might Be the Best Time to Buy Lululemon Stock