Lululemon fans may want to sit down. The popular athleisure company is having a sale.
To say the sale is rare is an understatement. Lululemon doesn’t typically even use the word “sale,” referring people to its “We made too much” section for a selection of discounted items.
The five-day sale includes products for men, women and children.
The sale started today and Lululemon’s website promises new markdowns every day. If you see something you like, move fast. Items are selling out quickly.
Here are some of the best deals we found:
Hotty Hot Shorts (2.5 inch) - $39. They are normally $58.
On the Belt Bag in five colors. It’s on sale for $39, marked down from $58.
Men’s Active Jacket in white. On sale for $79, it’s normally $120.
Open Up Tie Back T – Marked down to $29 from $68. It’s available in three colors.
Pack it Down Jacket Shine – On sale for $79, down from $198.
Uplifting Scrunchie – On sale for $4, marked down from $8.
All Yours Boyfriend Box Tee – Normally $58, marked down to $29.
Lululemon Athletica stock is slipping on Thursday, following an unexpected sale from the athletic apparel retailer.
On Thursday, Lululemon (ticker: LULU) announced a surprise online sale, for five days online, with new markdowns every day.
Lululemon stock is down 1% to $306.67 in morning trading. Retailers having sales is nothing new, and usually not cause for a company’s stock to tumble. Yet in Lululemon’s case, it’s a bit different. The shares have jumped more than 30% year to date, and it’s an analyst favorite, as the Street sees it as not only a beneficiary of the Covid-19 crisis, but a long-term retail winner. That’s put high expectations on the stock, which it hasn’t always been able to live up to.
Indeed, during the company’s most recent quarter, Lululemon declined to report same-store sales, a common metric in the industry that peers did divulge, even if they were disappointing. Sales move merchandise but hurt margins. Thus a surprise sale might have investors worried that Lululemon’s inventory isn’t as fresh as bulls hope, or concerned that it might not be as profitable as some of the higher estimates for the coming quarter project. It’s also interesting timing that the sale’s happening now, given that many retailers plan big promotions around the Fourth of July holiday—not the week after.
Still, it’s important not to read too much into a single event. The company just bought at-home workout firm Mirror
Lululemon Is Buying Mirror. Why That’s a Smart Move.
The cost might look steep, but analysts agree it is a good strategic move for Lululemon.
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for half a billion dollars, so Lululemon is clearly looking to expand beyond just selling workout gear. And it’s done remarkably well in an environment when consumers have been notably pulling back on apparel purchases.
