Down 66%, Is Lululemon Stock Finally a Buy?
Apparel is a fickle industry. Brands go through mini boom and bust cycles as consumer tastes evolve. If one season's new lineup fails to catch the attention of your core customers, it can rapidly hurt your business and lead to market share losses. That is what investors fear is happening at (NASDAQ: LULU).
The premium athleisure brand has seen a major growth slowdown in the United States and Canada, and in response, the market has punished the stock, dragging it down by 66% from the all-time high it touched in early 2024. The trends are shifting toward baggier clothing, and Lululemon has been slow to adapt.
However, relative to its underlying business, Lululemon stock might be cheap at current levels. Is this stock finally a buy after its precipitous fall?
Source Fool.com
Lululemon Athletica Inc. Stock
Currently there is a rather positive sentiment for Lululemon Athletica Inc. with 33 Buy predictions and 5 Sell predictions.
With a target price of 259 € there is a hugely positive potential of 87.68% for Lululemon Athletica Inc. compared to the current price of 138.0 €.
