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lululemon athletica inc. is principally a designer, distributor, and retailer of technical athletic apparel, footwear, and accessories. Our vision is to create transformative products and experiences that build meaningful connections, unlocking greater possibility and wellbeing for all.
$131.18
$0.15 (-0.11%)
Price from 5 days ago
19.91% operating margin is respectable but not wide. ROIC at 24.50%. Suggests the business covers its cost of capital, but doesn't point to a wide moat.
Revenue grew 4.9%, steady but not accelerating. Margins contracted 3.8pp, which offsets some of the top-line progress.
Free cash flow declined 42% versus the prior year, cash generation momentum has weakened. ROIC dropped from 30.24% to 24.50%, capital efficiency is deteriorating.
9.9x earnings, 16.9x FCF. The multiple is below average. Either the market is pricing in deterioration you should investigate, or there's genuine value here.
Based on TTM earnings · Diluted shares
Profitability & Returns
Revenue (TTM)
$11.10B
▲ +4.9% YoY
Net Income (TTM)
$1.58B
▼ -13.0% YoY
Op. Margin
19.91%
▼ -3.8pp YoY
ROIC
24.50%
▼ -5.7pp YoY
Cash Flow & Balance Sheet
FCF (TTM)
$922M
▼ -41.8% YoY
Op. Cash Flow (TTM)
$1.60B
▼ -29.5% YoY
Net Debt
-$9M
Net Cash Position
Cash & Equiv.
$1.81B
5Y CAGR: +20.3%
5Y CAGR: +9.9%
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