Lululemon Shares Plunge 20% to 8-Year Low Following Guidance Cut

Key Facts

1Lululemon shares dropped approximately 20% to $100.07 after the company slashed its full-year outlook.

In a move reflecting mounting challenges within the athleisure sector, Lululemon Athletica Inc shares experienced a massive sell-off, plunging approximately 20%. According to reports, the stock reached $100.07, marking its lowest trading level in eight years. This collapse was triggered by the company slashing its full-year financial outlook in conjunction with its Q2 FY2026 earnings report.

Financial data indicates that the company revised its full-year revenue guidance downward to a range of $10.35B to $10.50B, representing a contraction compared to previously expected growth. Furthermore, EPS guidance was lowered to between $9.48 and $9.73. According to analyst facts, global comparable sales dropped by 9%, with a steeper 12% decline in the Americas, signaling clear operational pressures.

Technically, traders are watching for price stabilization at current levels after the stock has lost over half its value year-to-date. Looking at the economic calendar, there are no immediate company-specific catalysts scheduled for the coming days; however, markets await strategic updates as new leadership takes over next week. The overall sentiment remains bearish in the absence of immediate recovery drivers.