Lululemon Athletica Inc. (LULU) is doing something it hasn't done much of lately: expanding. While the stock has been in a rough patch — down 60% over the past year — the company is busy opening stores in places it's never been before. Tomorrow, May 23, it opens its first store in Greece, in the upscale Kolonaki neighborhood of Athens. A second Athens location, at the Golden Hall shopping mall, follows on June 12.
This is Lululemon's third new market entry of 2026, after Poland and Hungary earlier this year. The company says it's on track to enter a record six new markets over a 12-month period, with India, Austria, and Romania also on the list. The expansion is happening through a franchise partnership model, which lets Lululemon grow without putting up all the capital itself. The idea is to bring its community-led approach — think local yoga classes and running clubs — to new customers around the world.
It's a smart strategy for a brand that's trying to remind investors it's more than just a North American athleisure story. Europe has been a focus for a while, and Greece is a logical next step. But the real test will be whether these new stores can actually move the needle on revenue and profit, especially as the company faces headwinds in its home market.
The Stock: Down Big, But Maybe a Value Play?
Lululemon's stock has had a brutal 12 months. It's currently trading at $126.35, down about 0.3% in premarket trading on Friday. That's 2.9% below its 20-day moving average and 14.4% below its 50-day moving average. The moving average convergence divergence (MACD) is above its signal line, which technicians will tell you suggests downside pressure is easing. But the momentum score on the MarketDash Edge rankings is a paltry 2.69 out of 100 — meaning the stock is very much out of favor with the market.
On the other hand, the value score is 85.93, and the growth score is 71.01. The quality score is 68.59, reflecting a healthy balance sheet. The P/E ratio is just 9.6x, which is cheap for a company that's still growing revenue. So the picture is mixed: the stock looks undervalued and has growth potential, but it's struggling to gain any upward momentum.
Earnings Are Coming — And Expectations Are Low
Lululemon reports earnings on June 4, 2026. Analysts expect earnings per share of $1.68, down from $2.60 a year ago. Revenue is expected to come in at $2.44 billion, up from $2.37 billion. So the story is one of margin compression — sales are growing, but profits are shrinking. That's a common theme for retailers dealing with higher costs and more cautious consumers.
The analyst consensus is a Hold, with an average price target of $182.69. Recent moves include Baird lowering its target to $170 on May 7, Citigroup to $185 on March 23, and BNP Paribas to $170 on March 18. All three firms rate the stock Neutral. No one is pounding the table, but the targets imply about 45% upside from current levels.
ETF Exposure: A Potential Tailwind
Lululemon is a meaningful holding in the Invesco ESG NASDAQ Next Gen 100 ETF (QQJG), with a 1.91% weight. That means if money flows into that ETF, it could create automatic buying pressure for LULU shares. It's not a huge catalyst, but it's worth noting for anyone tracking institutional flows.
The Bottom Line
Lululemon's global expansion is a positive story — new stores in Greece, India, and beyond show the brand still has legs. But the stock's 60% decline suggests investors are focused on the near-term challenges: falling earnings, weak momentum, and a tough retail environment. The June 4 earnings report will be a key moment. If the company can show that its international push is starting to pay off, the value play might finally get some traction. Until then, it's a wait-and-see game.
