Lululemon (LULU) Looks Cheap after Its Crash. Don't Let That Fool You

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2026.05.16 02:19
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Lululemon (LULU) stock has plummeted 62% over the past year, now trading near its 52-week low. Despite appearing as a potential 'buy-the-dip' opportunity, ongoing issues such as negative sales, declining profitability, high inventory, and leadership uncertainty suggest the stock will likely underperform. The market is now valuing LULU more like a struggling cyclical retailer rather than a premium brand, leading to a recommendation to sell.