Apparel company Lululemon Athletica Inc (NASDAQ:LULU) has struggled over the past year. The company looks to show signs of improvement with first-quarter financial results coming Thursday after market close.
Here are the earnings estimates, analyst ratings and key items to watch.
Lululemon Q1 Earnings Estimates
Analysts expect Lululemon to report first-quarter revenue of $2.44 billion, up from $2.37 billion a year earlier, according to Benzinga Pro.
The company has topped revenue estimates in each of the past two quarters and in eight of the last 10 quarters overall.
Analysts expect first-quarter earnings of $1.68 per share, down from $2.60 per share a year ago.
Lululemon has beaten earnings estimates for more than 20 consecutive quarters.
Analyst Ratings On Lululemon Stock
Analysts have a consensus Neutral rating and price target of $186, with price targets ranking from $130 to $280.49. Here are recent analyst ratings on Lululemon stock and their price targets:
- Evercore ISI Group: Maintained In-Line rating, lowered price target from $175 to $130
- UBS: Maintained Neutral rating, lowered price target from $176 to $153
- BTIG: Reiterated Buy rating, with price target of $225
- Piper Sandler: Maintained Neutral rating, lowered price target from $190 to $130
Key Items to Watch
The athletic apparel company has been under pressure from its founder to make changes and a battle for board seats may be distracting the company and shareholders.
An agreement was recently reached between the founder and the company and more details could be shared Thursday or at the company's annual meeting on June 26.
Other big topics could include the company's new CEO Heidi O'Neill, a former Nike executive, and her ideas for a turnaround plan.
The company also recently expanded into Greece and has more countries on the list for expansion.
In the fourth quarter, the company beat analyst estimates for both revenue and earnings per share. Revenue was down 4% year-over-year for the Americas segment, with International revenue up 17% year-over-year.
Guidance from the company for fiscal 2026 came into light after the fourth-quarter results. Analysts and investors will likely want to see strong first-quarter results and revised guidance or at least not lowered guidance.
First-quarter results could be rough based on visitor data from Placer.ai. A recent report said visits to Lululemon were down 4.1% year-over-year in the first three months of 2026.
Lululemon's fiscal first quarter includes the months of February, March and April. Visits during those months were down 1.9%, 7.1%, and 2.2%, respectively, on a year-over-year basis, according to Placer.ai.
If results are bad for Lululemon, the stock could be volatile and investors will likely decide whether to abandon the apparel company based on commentary from the new CEO, comments on international growth and new products or initiatives that could turn things around.
Lululemon Stock Price Action
Lululemon stock is down 1.4% to $124.75 on Wednesday versus a 52-week trading range of $116.62 to $339.15. The company’s stock is down 40.6% year-to-date in 2026 and down 62.6% over the last year.
Shares are currently trading at their lowest levels since January 2019.
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