Lululemon Faces Soft 2026 Outlook Amid Tariffs and Governance Tensions
Lululemon beat Q4 estimates with EPS of $5.01 and revenue of $3.64B, but issued a weak 2026 outlook (revenue $11.35–11.50B; EPS $12.10–12.30, below consensus) as tariffs and higher costs pressure margins and governance issues weigh on the stock; Americas sales are expected to decline 1–3% in 2026 while China and other regions grow, and the company is adjusting promotions and adding Chip Bergh to the board after a proxy contest with founder Chip Wilson.
