Lululemon (NASDAQ: LULU) faces challenges as its North American growth slows, signaling changing consumer behavior. Declining sales in the Americas, rising price sensitivity, and increased inventory levels suggest a shift in the brand’s relationship with U.S. consumers. Product execution issues and intensified competition from brands like Alo Yoga and Vuori add pressure. Despite this, Lululemon continues to grow internationally, especially in China and Europe, maintaining strong financials and a loyal customer base. Long-term investors should monitor the company’s response to these challenges to determine its future path.

Read more at Nasdaq: Is Lululemon’s Brand Losing Its Heat?