WATCH lululemon athletica inc. (LULU)
Consumer Cyclical · Apparel Retail · NMS · Canada
69
Final Score
19.0%
Margin of Safety
69
Quality Score
$95.98
Current Price
$10.6B
Market Cap
Key Metrics
Pe Ratio
8.10
Forward Pe
10.93
Pb Ratio
2.24
Ev Ebitda
4.77
Roe
30.9%
Gross Margin
54.9%
Operating Margin
13.2%
Net Margin
12.8%
Debt To Equity
44.69
Current Ratio
2.19
Beta
0.86
📈 Trend Charts
Revenue Trend
EPS Trend
Net Income Trend
Free Cash Flow Trend
Intrinsic Value Estimates
Low
$94.83
Base
$118.54
High
$142.25
Pipeline Stage Details
Stage A — Hard Filters ✅
Pe Ratio
8.10
Eps Positive Years
4.00
Eps Lookback
4.00
Fcf Positive Years
4.00
Fcf Lookback
4.00
Debt To Equity
0.45
Current Ratio
2.19
Dilution Cagr
-0.03
Stage B — Quality Score: 69/100
Stage C — Cyclicality: LOW
Normalized EPS
$11.69
Stage F — Final Score Breakdown
| Component | Weighted Score |
|---|---|
| Valuation | 16.5 |
| Earnings Quality | 17.3 |
| Balance Sheet | 18.0 |
| Stability | 12.0 |
| Moat Proxies | 5.5 |
Top Drivers
- Modest discount: 19% margin of safety (price $95.98 vs intrinsic $118.54).
- Adequate quality (score 69/100): meets minimum quality thresholds for the Graham-Buffett framework.
- Low P/E of 8.1x — classic Graham deep-value territory. The market is pricing in pessimism, yet the business continues to generate positive earnings.
- Fortress balance sheet: D/E of 0.45x (conservative) and current ratio of 2.19x — ample liquidity and low financial risk. Graham emphasis on capital preservation.
- Low cyclicality: earnings are relatively stable and predictable, making intrinsic value estimates more reliable.
Top Risks
- No significant risks identified in this analysis.
Financial History
| Year | Revenue | Gross Profit | Operating Income | Net Income | EPS |
|---|---|---|---|---|---|
| 2022 | N/A | N/A | N/A | N/A | $N/A |
| 2023 | $8.1B | $4.5B | $1.7B | $854.8M | $6.68 |
| 2024 | $9.6B | $5.6B | $2.2B | $1.6B | $12.20 |
| 2025 | $10.6B | $6.3B | $2.5B | $1.8B | $14.64 |
| 2026 | $11.1B | $6.3B | $2.2B | $1.6B | $13.26 |
Cash Flow History
| Year | Operating CF | CapEx | Free Cash Flow |
|---|---|---|---|
| 2022 | N/A | N/A | N/A |
| 2023 | $966.5M | $-638.7M | $327.8M |
| 2024 | $2.3B | $-651.9M | $1.6B |
| 2025 | $2.3B | $-689.2M | $1.6B |
| 2026 | $1.6B | $-680.8M | $921.7M |