Added to YB: 2026-06-15
Pitch date: 2026-06-10
LULU [neutral]
lululemon athletica inc.
Author Info
Waterboy Stocks is a value investor sharing stock pitches on their blog. Sign up for the newsletter.
Company Info
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.
Market Cap
$13.5B
Pitch Price
N/A
Price Target
N/A
Dividend
N/A
EV/EBITDA
4.42
P/E
9.58
EV/Sales
1.26
Sector
Textiles, Apparel and Luxury Goods
Category
value
Lululemon athletica inc. - $LULU
LULU (pass): Burry's Scion buying as stock craters 72% from $511 peak to $121 (9.8x P/E, ~12% FCF yield). Author sees value trap: low apparel barriers, brand erosion to Alo/Vuori, fading pricing power, single-digit growth. No moat vs KO/Nike comparisons. Only interesting at ~$70 (20% FCF yield) / 5-6x earnings.
Read full article (4 min)