Lululemon's 'Root Of The Challenges Not Fully Diagnosed': Analyst

Lululemon reported Q1 revenue of $2.47B (beating estimates) but missed on EPS at $1.69 vs. $1.70 expected. The company significantly lowered FY2026 guidance to $11B-$11.15B revenue and $10.95-$11.15 EPS, well below analyst expectations. BTIG downgraded the stock from Buy to Neutral, citing unresolved core issues and execution risks ahead. The stock fell 8.22% to a 52-week low of $114.65.