3 Key Things From Lululemon's Earnings Call That Investors Should Know

Lululemon Athletica (NASDAQ: LULU) stock dropped 15.8% on Friday, following the activewear retailer's release on the prior afternoon of its report for the fourth quarter of fiscal 2023, which ended Jan. 28.

The quarter's results were strong and better than Wall Street had expected. It was management's guidance -- particularly for the first quarter of fiscal 2024 -- that spurred the stock sell-off. The full-year guidance was just a bit lighter than analysts had expected, but the Q1 guidance was notably lower than the consensus estimates, especially for earnings.

For fiscal Q4 2023, revenue grew 16% and adjusted earnings per share (EPS) jumped 20% year over year. For fiscal Q1 2024, management guided for year-over-year revenue growth of 9% to 10%, and adjusted EPS growth of 3% to 5%. For the full fiscal year, management expects the top line to increase 11% to 12%, and the bottom line to grow 10% to 11% year over year.

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Source Fool.com