LULUNasdaqapparel & other finishd prods of fabrics & similar matlSEC CIK 1397187

lululemon athletica inc.

$105.65

+1.19 (+1.14%) · delayed · Nov 13, 2026

Five-year price

52w $90.38 to $225.98

Market cap: $11.2B
Enterprise value: $9.3B
P/E: 8.0×; 7.9× on 3y avg EPS
EV / EBIT: 4.2×
FCF yield: 8.3%
ROIC: 49.4%
Debt / equity: —
Piotroski F: 6/9

Value scorecard · FY2026

Does it pass the value tests?

How we score

Quality

●ROIC > 12% (5y avg)5y avg ROIC 62.1%
●ROE > 15% (5y avg)5y avg ROE 34.6%
●Stable operating marginsMargin volatility 2.5% (σ, 5y)
○Earnings convert to cashFCF / net income 78% (5y avg)
●Growing revenueRevenue CAGR 5y 20.3%
●Shrinking share countDiluted shares -9.0% over 5y

Value

100

●P/E below 15P/E 8.0
●EV/EBIT below 12EV/EBIT 4.2
●FCF yield above 6%FCF yield 8.3%
●Price below Graham NumberGraham Number $118.40
●P/B below 3P/B 2.2

Safety

100

–Debt / equity below 0.5D/E n/a
●Debt payable in < 4 yrs of earningsNet debt $-1.8B
●Interest coverage > 8xCoverage 2150.4x
●Current ratio > 1.5Current ratio 2.26
●Piotroski F-score ≥ 6F-score 6/9

Graham Defensive

●Adequate size (revenue > $2B)Revenue $11.1B
●Strong condition (current ratio ≥ 2)Current ratio 2.26
●Earnings stability (no loss, 10y)10 years of data
○Uninterrupted dividendsDividends paid every year on record
●Earnings growth ≥ 33% (10y, 3y avgs)EPS growth 419%
●Moderate P/E (≤ 15 on 3y avg EPS)P/E (3y avg) 7.9
●P/E × P/B ≤ 22.5Product 17.8

Valuation lab

What do you have to believe?

At $105.65, the market is pricing in about −3.4% annual free-cash-flow growth for the next decade (9% discount rate, 2.5% terminal growth).

Starting cash flow

Growth, years 1–N20.0%Years of growth (N)10Discount rate9.00%Terminal growth2.50%

Net debt −$1.8B · 106M shares · 5y revenue CAGR 20.3%

Intrinsic value

$530.93

Price

$105.65

Margin of safety

80%

What the price implies

The market is paying for −3.4% annual cash-flow growth for 10 years at a 9.0% discount rate.

Terminal value share

70% of the value sits beyond year 10. That means the answer depends mostly on the long-run assumptions.

Financial statements

A decade of the record.

USD millions · fiscal years · source: SEC 10-K XBRL

Line item	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25	FY26
Revenue	2,344	2,649	3,288	3,979	4,402	6,257	8,111	9,619	10,588	11,103
Gross profit	1,200	1,399	1,816	2,223	2,464	3,609	4,492	5,609	6,271	6,284
Operating income	421	456	706	889	820	1,333	1,328	2,133	2,506	2,211
Operating margin	18.0%	17.2%	21.5%	22.3%	18.6%	21.3%	16.4%	22.2%	23.7%	19.9%
Pre-tax income	423	460	715	897	819	1,334	1,333	2,176	2,576	2,239
Income tax	119	201	231	252	230	359	478	626	761	660
Net income	303	259	484	646	589	975	855	1,550	1,815	1,579
EPS (diluted)	2.21	1.90	3.61	4.93	4.50	7.49	6.68	12.20	14.64	13.26
Diluted shares	137	136	134	131	131	130	128	127	124	119

Who owns it

Superinvestors

Filings wire

From the SEC

A decade of the record.

USD millions · fiscal years · source: SEC 10-K XBRL

Line item	FY17	FY18	FY19	FY20	FY21	FY22	FY23	FY24	FY25	FY26
Revenue	2,344	2,649	3,288	3,979	4,402	6,257	8,111	9,619	10,588	11,103
Gross profit	1,200	1,399	1,816	2,223	2,464	3,609	4,492	5,609	6,271	6,284
Operating income	421	456	706	889	820	1,333	1,328	2,133	2,506	2,211
Operating margin	18.0%	17.2%	21.5%	22.3%	18.6%	21.3%	16.4%	22.2%	23.7%	19.9%
Pre-tax income	423	460	715	897	819	1,334	1,333	2,176	2,576	2,239
Income tax	119	201	231	252	230	359	478	626	761	660
Net income	303	259	484	646	589	975	855	1,550	1,815	1,579
EPS (diluted)	2.21	1.90	3.61	4.93	4.50	7.49	6.68	12.20	14.64	13.26
Diluted shares	137	136	134	131	131	130	128	127	124	119

lululemon athletica inc.

Write the thesis first.

Does it pass the value tests?

What do you have to believe?

A decade of the record.

Superinvestors

From the SEC

lululemon athletica inc.

Write the thesis first.

Does it pass the value tests?

What do you have to believe?

A decade of the record.

Superinvestors

From the SEC

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