Could Lululemon Be a Millionaire-Maker Stock?

The world of apparel is ever changing. Lululemon Athletica (NASDAQ: LULU) is feeling the brunt of a recent consumer change, as shoppers flock to competing retail brands and spend less on athleisure than during the heart of the pandemic. Shares of the well-known apparel giant are down 54% from all-time highs even though the market is soaring, and the stock is trading at its lowest price-to-earnings ratio (P/E) in years. Investors are also concerned about how tariffs will affect profitability.

And yet, the company keeps making new highs in revenue and earnings and is now starting to aggressively return capital to shareholders with the stock at a depressed price. Does this beaten-down stock price mean Lululemon is a millionaire-maker for your portfolio today? Let's allow the numbers to tell the story.

Lululemon has been a huge winner in the athleisure space over the last decade. Its leggings, tops, and jackets became hugely popular with female shoppers in North America, causing revenue to go from under $3 billion 10 years ago to almost $11 billion over the last 12 months. In recent years, Lululemon has successfully expanded into men's athleisure and international markets.

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Source Fool.com