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Updated · Bloomberg · Jun 5Lululemon Downgrade Leaves 1 Buy Rating After Sales Forecast Cut
3 articles · Updated · Bloomberg · Jun 5Summary
- BTIG cut Lululemon to neutral from buy on Friday after the company’s first-quarter report, saying decelerating sales show “more work ahead.”
- North America weakness drove the shift: Lululemon had already lowered its full-year sales outlook as demand in its core market slumped.
- 1 buy rating now remains among 32 analysts covering the stock, with CFRA’s Zachary Warring the only bull left.
- That is the fewest buy recommendations for Lululemon since its 2007 public listing, underscoring how sharply Wall Street sentiment has deteriorated.
Insights
As North American sales falter, is Lululemon's future now entirely dependent on winning over China? With its stock down 75% and founder in revolt, can a Nike veteran revive Lululemon's lost 'cool'?