Key Metrics
18.78
Heat Index-
Impact LevelMedium
-
Scope LevelNational
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Last Update2025-08-15
Key Impacts
Positive Impacts (2)
Negative Impacts (5)
Event Overview
A major apparel retailer revises its annual profit projections downward, reflecting broader economic instability and rising operational costs linked to potential trade tariffs. The move underscores growing corporate concerns over sustained financial pressures and consumer spending trends in a volatile market environment.
Collect Records
Lululemon Shares Drop 20% After Cutting Full-Year Guidance
Lululemon Athletica Inc.'s shares plunged by 20% after the company cut its full-year profit outlook, citing a 'dynamic macroenvironment' and threats of tariffs that could raise costs. Lululemon also issued a second quarter outlook that missed Wall Street estimates. The company reported earnings results on Thursday, June 5th, with earnings per share of $2.60, matching the consensus estimate, and quarterly revenue of $2.37 billion, slightly above analyst estimates of $2.36 billion. Quarterly revenue rose 7.3% year-over-year. Lululemon's net margin was reported at 16.82%, and return on equity was 43.48%. The company stated that growth in the U.S. market is slowing and it will focus more on expansion in China and Europe. Various investment banks and analysts have cut their price targets for the stock, with Piper Sandler lowering its target from $270.00 to $200.00. Lululemon's stock traded down by $7.20 on Tuesday, reaching $193.33 per share, with 4,678,061 shares exchanged compared to an average volume of 2,882,063. The company has a market capitalization of $23.17 billion.