Lululemon Athletica Inc. (LULU) Fair Value & Analysis
Consumer Cyclical · US · Market cap $13.2B · ISIN US5500211090
What is Lululemon Athletica Inc. really worth?
Lululemon Athletica Inc.
LULU · US
A solid business, trading 59% below our fair value of $299.63.
Strengths
Risks
Fair value as of: Aug 30, 2026
From 26 valuation models · updated 6 days ago
Share price −1.0% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The rarer combination: high quality (70/100) AND below fair value. That earns a closer look rather than a quick verdict.
- The price is below even our cautious bear case ($200.04). The market is more pessimistic than our downside scenario.
- The model range is unusually wide ($200.04 to $560.25). The outcome hinges heavily on assumptions, so read the point estimate with caution.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 30, 2026.
How to read this chart
60‑month range $105.43 – $511.29 · fair‑value band $200.04 – $560.25 · the $121.77 price screens below the $299.63 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 30, 2026.
Analysis
Lululemon Athletica Inc. (LULU) currently trades at $121.77, while our model-based Fair Value estimate is $299.63, implying the stock looks roughly 59.4% undervalued today. The Quality Score stands at 70/100 (solid quality), in the Consumer Cyclical sector. Bull case: the Growth Earnings group reads highest at a median of $430.96 per share, and 23 of the 26 models we run sit above the $121.77 price. Bear case: the Asset-Based group reads lowest at $30.66, and 3 of the 26 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Lululemon Athletica Inc. generated revenue of $11.1B at a net margin of 14.2%. Revenue grew 0.8% year over year. It earns a return on equity of 34.0%. The balance sheet holds a net cash position of $8.8M. Fundamentals as of Aug 30, 2026
Our scenario range runs from $200.04 (bear case) to $560.25 (bull case); at $121.77, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 54% below its 52-week high and 4% above its 52-week low, currently below its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at −37% fair-value upside, at 146%, LULU screens cheaper than that median.
Fair Value models
This estimate rests on fiscal year 2026 figures, and about 7 months have passed since. In that time the company retained roughly $7.16 per share, which is 2.4 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 26 models by family
Widest divergence: Growth Earnings ($430.96) versus Dividend Discount ($3.55). Highest evidence: FCF DCF (74).
Notify me when LULU reaches fair value
Put LULU on your watchlist. We get in touch as soon as price and fair value meet or the trend turns.
Set up alert →Free, no payment details. Unsubscribe anytime in one click.
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 30, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 67 · Market factors (momentum, volatility) 24
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
lululemon athletica inc., together with its subsidiaries, designs, distributes, and retails technical athletic apparel, footwear, and accessories for women and men under the lululemon brand in the United States, Canada, Mexico, China, Hong Kong, Taiwan, Macau, Greece, and internationally.
Full company description
lululemon athletica inc., together with its subsidiaries, designs, distributes, and retails technical athletic apparel, footwear, and accessories for women and men under the lululemon brand in the United States, Canada, Mexico, China, Hong Kong, Taiwan, Macau, Greece, and internationally. It offers pants, shorts, tops, and jackets for athletic activities, such as yoga, running, training, and other activities. The company also provides fitness-inspired accessories. It sells its products through company-operated stores; seasonal stores, pop-ups, university campus retailers, and yoga and fitness studios; outlets; Like New, a re-commerce program; and its e-commerce website. The company was founded in 1998 and is based in Vancouver, Canada.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Lululemon Athletica Inc. reported revenue of $11.1B in FY2026 versus $6.3B in FY2022, a compound +15.4%/yr. Reported net income was $1.6B in FY2026, compounding +12.8%/yr from FY2022.
of which total revenue +19.7 % · buybacks/dilution +1.5 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
Watch LULU: get an alert when its fair value changes →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- lululemon sinks to $100 support as momentum nears oversold levels
- Lululemon Stock Has Plunged. Why It Faces a Long Road to Recovery.
Peer Group
Apparel Retail · 103 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Apparel Retail median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
Insider activity: 78/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Apparel Retail stocks, each showing price versus our Fair Value estimate (as of Aug 30, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Industria de Diseño Textil, S.A ITX | 240.90 PLN | 189.78 PLN | −21% |
| The TJX Companies, Inc TJX | $135.12 | $84.95 | −37% |
| Fast Retailing Co 6288 | HK$37.20 | HK$15.24 | −59% |
| Ross Stores, Inc ROST | $228.55 | $118.41 | −48% |
| Burlington Stores, Inc BURL | $258.56 | $143.65 | −44% |
| Trent Limited TRENT | ₹2,990 | ₹709.49 | −76% |
| Aritzia Inc ATZ | C$140.07 | C$70.30 | −50% |
| The Gap, Inc GAP | $20.60 | $36.44 | +77% |
| Urban Outfitters, Inc URBN | $82.95 | $92.88 | +12% |
| Boot Barn Holdings BOOT | $160.74 | $128.55 | −20% |
Compare Lululemon Athletica Inc. with another stock
Price, fair value, quality and upside side by side.
Explore undervalued stocks
More undervalued Consumer Cyclical stocks →
Try a ready-made strategy
Pick a strategy and jump into the live analysis with that exact screen applied.
Discover tools
Frequently asked questions
Is Lululemon Athletica Inc. (LULU) overvalued or undervalued?
What is the fair value of LULU?
What is the quality score of LULU?
What is the revenue of Lululemon Athletica Inc. (LULU)?
What is the net profit margin of LULU?
Does Lululemon Athletica Inc. pay a dividend?
Watch Lululemon Athletica Inc. in the live analysis
One click puts Lululemon Athletica Inc. on your watchlist: fair value and trend at a glance, plus comparison, the diversification check and the 35,000+ stock screener. You can also try 14 days of Pro there, no card.
Watch for free →Zero risk: nothing is ever charged. Your watchlist is yours, with or without an account.