Analyst Consensus ?
ConsensusHold68 ratings
Bullish2841.2%
Neutral3551.5%
Bearish57.3%
1 unmapped firm rating excluded from the percentages.
Lululemon Athletica Inc. · LULU · FY2027 Q1 · Calendar Q2 2026
Lululemon Q1 FY2027: Revenue Beat Overshadowed by Guidance Cut, 6% North America Comp Decline
Lululemon posted a narrow Q1 FY2027 beat — revenue of $2.47B exceeded the $2.44B estimate by 1.4% and EPS of $1.69 topped the $1.67 estimate by 1.2%. However, comparable sales fell 2% as North America comps declined 6%, and management lowered full-year revenue guidance from the prior 2-4% growth range to flat-to-down-1%. Gross margin is expected to compress approximately 90 bps due to tariff costs and seasonal clearance. The stock recorded a -6.0% abnormal move on 4.6x baseline volume. Management's tone shifted from confident to cautious (bullish score 68 to 55), reflecting a spike in negative brand commentary, ongoing tariff pressure, and a CEO transition with Heidi O'Neill joining in September. The action plan — faster product development (12-14 months), 20% more chase volume, ~15% SKU reductions, and higher marketing spend — is directionally sound but unproven at scale against…
Reported After market closeNASDAQConsumer Cyclical
$13.57B market cap
100quality score
Company context
Snapshot as of publicationLululemon Athletica Inc., alongside its subsidiaries, specializes in the design, global distribution, and retail of athletic apparel and accessories for both women and men. Its business operations are structured into two main divisions: company-owned retail establishments and direct-to-consumer sales. The firm's offerings encompass a range of clothing such as pants, shorts, tops, and jackets, all crafted for promoting a healthy lifestyle and facilitating athletic endeavors. These activities span yoga, running, training, and other physically demanding pursuits. Beyond apparel, Lululemon also supplies fitness-related accessories and a selection of footwear. Customers can acquire Lululemon products through numerous channels. These include a global network of corporate-managed stores, outlet locations, and seasonal warehouse sales.…
Earnings scorecard
Reported versus consensus
Reported EPS
$1.69
Consensus $2
EPS surprise
+1.2%
Reported versus consensus
Reported revenue
$2.47B
Consensus $2.44B
Revenue surprise
+1.4%
Reported versus consensus
Earnings History
Estimate
Beat
Miss
Match
Analyst 52W Price Targets
$118.77Current
$88Low
$336.43Average
$542High
Latest persisted target per named analyst; persisted current price from FN2's market snapshot as of Jul 31, 2026. Not an FN2 forecast.
Firm-level rating actions
FMP grade actions identify the grading firm, not a named analyst.
| Firm | Rating | Prior rating | Action | Date |
|---|---|---|---|---|
| Wells Fargo | Equal Weight | Equal Weight | Maintain | Jul 21, 2026 |
| Truist Securities | Sell | Hold | Downgrade | Jul 16, 2026 |
| Citigroup | Neutral | Neutral | Maintain | Jun 10, 2026 |
| UBS | Neutral | Neutral | Maintain | Jun 5, 2026 |
| Telsey Advisory Group | Market Perform | Market Perform | Maintain | Jun 5, 2026 |
| Stifel | Hold | Hold | Maintain | Jun 5, 2026 |
| Piper Sandler | Neutral | Neutral | Maintain | Jun 5, 2026 |
| Needham | Hold | Hold | Maintain | Jun 5, 2026 |
| JP Morgan | Neutral | Neutral | Maintain | Jun 5, 2026 |
| Jefferies | Hold | Hold | Maintain | Jun 5, 2026 |
| Freedom Broker | Hold | Sell | Upgrade | Jun 5, 2026 |
| Evercore ISI Group | In Line | In Line | Maintain | Jun 5, 2026 |
| BTIG | Neutral | Buy | Downgrade | Jun 5, 2026 |
| Bernstein | Market Perform | Market Perform | Maintain | Jun 5, 2026 |
| Barclays | Equal Weight | Equal Weight | Maintain | Jun 5, 2026 |
| Baird | Neutral | Neutral | Maintain | Jun 5, 2026 |
| B of A Securities | Neutral | Neutral | Maintain | Jun 5, 2026 |
| BNP Paribas | Neutral | Neutral | Maintain | Mar 18, 2026 |
| Goldman Sachs | Neutral | Neutral | Maintain | Mar 11, 2026 |
| Morgan Stanley | Equal Weight | Equal Weight | Maintain | Sep 30, 2025 |
| HSBC | Hold | Buy | Downgrade | Sep 11, 2025 |
| Keybanc | Overweight | Downgrade | Sep 9, 2025 | |
| William Blair | Market Perform | Outperform | Downgrade | Sep 5, 2025 |
| Oppenheimer | Perform | Outperform | Downgrade | Sep 5, 2025 |
| CICC | Market Perform | Outperform | Downgrade | Jun 9, 2025 |
| BMO Capital | Market Perform | Market Perform | Maintain | Jun 6, 2025 |
| Raymond James | Market Perform | Outperform | Downgrade | Mar 28, 2025 |
| Deutsche Bank | Hold | Hold | Maintain | Dec 9, 2024 |
| Guggenheim | Buy | Buy | Maintain | Dec 6, 2024 |
| TD Cowen | Buy | Buy | Maintain | Aug 30, 2024 |
| Wedbush | Outperform | Outperform | Maintain | Aug 28, 2024 |
| Exane BNP Paribas | Underperform | Neutral | Downgrade | Feb 9, 2024 |
| Credit Suisse | Outperform | Outperform | Maintain | Mar 29, 2023 |
| TD Securities | Outperform | Outperform | Maintain | Mar 24, 2023 |
| Redburn Partners | Sell | Sell | Maintain | Mar 16, 2023 |
| Argus Research | Buy | Buy | Maintain | Jan 11, 2023 |
| Cowen & Co. | Outperform | Outperform | Maintain | Dec 5, 2022 |
| B. Riley Securities | Buy | Buy | Maintain | Jun 3, 2022 |
| MKM Partners | Buy | Buy | Maintain | Sep 7, 2021 |
| RBC Capital | Outperform | Outperform | Maintain | Mar 31, 2021 |
| B. Riley FBR | Buy | Buy | Maintain | Aug 18, 2020 |
| B. Riley | Buy | Neutral | Upgrade | Apr 3, 2020 |
| CFRA | Buy | Buy | Maintain | Mar 27, 2020 |
| PiperJaffray | Overweight | Overweight | Maintain | Dec 12, 2019 |
| Bank of America | Buy | Buy | Maintain | Dec 9, 2019 |
| Piper Jaffray | Overweight | Overweight | Maintain | Sep 23, 2019 |
| Stifel Nicolaus | Buy | Buy | Maintain | Jun 13, 2019 |
| Canaccord Genuity | Buy | Buy | Maintain | Jun 13, 2019 |
| Macquarie | Neutral | Underperform | Upgrade | May 7, 2019 |
| DA Davidson | Neutral | Neutral | Maintain | Mar 28, 2019 |
| Nomura | Neutral | Buy | Downgrade | Feb 19, 2019 |
| Buckingham Research | Buy | Neutral | Upgrade | Jan 9, 2019 |
| Buckingham | Buy | Neutral | Upgrade | Jan 9, 2019 |
| Argus | Buy | Hold | Upgrade | Aug 16, 2018 |
| Susquehanna | Positive | Neutral | Upgrade | Sep 5, 2017 |
| CLSA | Underperform | Underperform | Maintain | Jan 19, 2017 |
| FBR Capital | Market Perform | Underperform | Upgrade | Dec 12, 2016 |
| Mizuho | Buy | Neutral | Upgrade | Dec 8, 2016 |
| SunTrust Robinson Humphrey | Buy | Buy | Maintain | Jun 9, 2016 |
| Wolfe Research | Perform | Peer Perform | Maintain | Aug 17, 2015 |
| Sterne Agee | Buy | Neutral | Upgrade | Apr 8, 2015 |
| Brean Capital | Buy | Buy | Maintain | Oct 23, 2014 |
| D.A. Davidson | Neutral | Buy | Downgrade | Aug 28, 2014 |
| Janney Montgomery Scott | Neutral | Buy | Downgrade | Jan 27, 2014 |
| Janney Capital | Neutral | Buy | Downgrade | Jan 27, 2014 |
| ISI Group | Neutral | Strong Buy | Downgrade | Jan 20, 2014 |
| Topeka | Buy | Buy | Maintain | Dec 19, 2013 |
| Credit Agricole | Underperform | Sell | Maintain | Jun 7, 2013 |
| Auriga | Buy | Buy | Maintain | Mar 14, 2012 |
Named analyst price targets
Upside is calculated against the persisted current price $118.77. FMP does not supply a rating on these named-analyst rows.
| Firm | Analyst | 52W target | Price when posted | Upside | Date |
|---|---|---|---|---|---|
| Truist Financial | Analyst unavailable | $94 | $117.42 | -20.9% | Jul 16, 2026 |
| Morgan Stanley | Analyst unavailable | $93 | $113.49 | -21.7% | Jul 6, 2026 |
| Truist Financial | Joseph Civello | $115 | $116.05 | -3.2% | Jun 5, 2026 |
| BNP Paribas | Analyst unavailable | $88 | $124.92 | -25.9% | Jun 5, 2026 |
| Bernstein | Analyst unavailable | $145 | $124.92 | +22.1% | Jun 5, 2026 |
| Piper Sandler | Anna Andreeva | $110 | $114.71 | -7.4% | Jun 5, 2026 |
| Stifel Nicolaus | Peter McGoldrick | $134 | $124.92 | +12.8% | Jun 5, 2026 |
| Wells Fargo | Ike Boruchow | $110 | $124.92 | -7.4% | Jun 5, 2026 |
| Jefferies | Analyst unavailable | $115 | $124.92 | -3.2% | Jun 5, 2026 |
| Wells Fargo | Analyst unavailable | $140 | $124.92 | +17.9% | Jun 5, 2026 |
| Piper Sandler | Anna Andreeva | $130 | $126.33 | +9.5% | May 22, 2026 |
| BTIG | Janine Stichter | $250 | $162.79 | +110.5% | Mar 12, 2026 |
| Deutsche Bank | Analyst unavailable | $228 | $212.2 | +92.0% | Jan 8, 2026 |
| UBS | Jay Sole | $206 | $210.67 | +73.4% | Dec 31, 2025 |
| Piper Sandler | Anna Andreeva | $190 | $204.62 | +60.0% | Dec 12, 2025 |
| Robert W. Baird | Analyst unavailable | $210 | $187.06 | +76.8% | Dec 12, 2025 |
| Stifel Nicolaus | Analyst unavailable | $210 | $187.06 | +76.8% | Dec 12, 2025 |
| Jefferies | Randal Konik | $170 | $187.06 | +43.1% | Dec 12, 2025 |
| BTIG | Janine Stichter | $303 | $169.67 | +155.1% | Nov 25, 2025 |
| UBS | Analyst unavailable | $183 | $170.68 | +54.1% | Nov 17, 2025 |
| Jefferies | Analyst unavailable | $120 | $178.17 | +1.0% | Oct 27, 2025 |
| BNP Paribas | Analyst unavailable | $146 | $167.41 | +22.9% | Oct 20, 2025 |
| Robert W. Baird | Mark Altschwager | $195 | $173.41 | +64.2% | Sep 23, 2025 |
| Truist Financial | Analyst unavailable | $170 | $167.8 | +43.1% | Sep 5, 2025 |
| Robert W. Baird | Mark Altschwager | $225 | $167.8 | +89.4% | Sep 5, 2025 |
| Piper Sandler | Anna Andreeva | $165 | $167.8 | +38.9% | Sep 5, 2025 |
| Evercore ISI | Analyst unavailable | $180 | $167.8 | +51.6% | Sep 5, 2025 |
| Stifel Nicolaus | Peter McGoldrick | $205 | $167.8 | +72.6% | Sep 5, 2025 |
| Needham | Analyst unavailable | $430 | $337.24 | +262.0% | Mar 26, 2025 |
| Needham | Tom Nikic | $475 | $395.47 | +299.9% | Jan 10, 2025 |
| Bernstein | Lululemon to Outperform | $460 | $393.46 | +287.3% | Jan 7, 2025 |
| Deutsche Bank | Krisztina Katai | $396 | $399.6 | +233.4% | Dec 9, 2024 |
| Oppenheimer | Brian Nagel | $380 | $316.44 | +219.9% | Nov 27, 2024 |
| Robert W. Baird | Mark Altschwager | $380 | $318.81 | +219.9% | Nov 6, 2024 |
| Truist Financial | Scot Ciccarelli | $360 | $318.81 | +203.1% | Nov 5, 2024 |
| Piper Sandler | Anna Andreeva | $260 | $303.61 | +118.9% | Oct 30, 2024 |
| Loop Capital Markets | Ashley Owens | $350 | $285.32 | +194.7% | Oct 14, 2024 |
| KeyBanc | Ashley Owens | $350 | $279.25 | +194.7% | Oct 14, 2024 |
| Barclays | Adrienne Yih | $261 | $278.24 | +119.8% | Oct 14, 2024 |
| Robert W. Baird | Mark Altschwager | $350 | $253.7 | +194.7% | Sep 6, 2024 |
| Raymond James | Rick Patel | $350 | $270.91 | +194.7% | Aug 27, 2024 |
| Jefferies | Randal Konik | $220 | $271 | +85.2% | Aug 27, 2024 |
| Morgan Stanley | Alex Straton | $329 | $271.1 | +177.0% | Aug 26, 2024 |
| Goldman Sachs | Brooke Roach | $286 | $240 | +140.8% | Aug 2, 2024 |
| Truist Financial | Scot Ciccarelli | $310 | $247.32 | +161.0% | Jul 25, 2024 |
| Citigroup | Paul Lejuez | $300 | $272.06 | +152.6% | Jul 25, 2024 |
| Deutsche Bank | Krisztina Katai | $357 | $309.81 | +200.6% | Jun 12, 2024 |
| Bernstein | Aneesha Sherman | $382 | $317.86 | +221.6% | Jun 7, 2024 |
| BMO Capital | Simeon Siegel | $384 | $316.13 | +223.3% | Jun 6, 2024 |
| HSBC | Akshay Gupta | $425 | $316.62 | +257.8% | Jun 6, 2024 |
| CFRA | Zachary Warring | $435 | $308.27 | +266.3% | Jun 6, 2024 |
| Wells Fargo | Ike Boruchow | $350 | $308.27 | +194.7% | Jun 6, 2024 |
| KeyBanc | Ashley Owens | $415 | $316.08 | +249.4% | Jun 6, 2024 |
| Wedbush | Tom Nikic | $397 | $304.39 | +234.3% | Jun 5, 2024 |
| Morgan Stanley | Alex Straton | $404 | $295.25 | +240.2% | May 29, 2024 |
| BTIG | Janine Stichter | $425 | $295.25 | +257.8% | May 29, 2024 |
| UBS | Jay Sole | $385 | $299.63 | +224.2% | May 22, 2024 |
| Barclays | Adrienne Yih | $395 | $322.98 | +232.6% | May 22, 2024 |
| Robert W. Baird | Mark Altschwager | $505 | $347.51 | +325.2% | Apr 19, 2024 |
| Piper Sandler | Abbie Zvejnieks | $470 | $360.46 | +295.7% | Apr 9, 2024 |
| Oppenheimer | Brian Nagel | $445 | $357.56 | +274.7% | Apr 5, 2024 |
| Jefferies | Randal Konik | $240 | $374.01 | +102.1% | Apr 4, 2024 |
| Barclays | Adrienne Yih | $546 | $388.9 | +359.7% | Mar 25, 2024 |
| Truist Financial | Scot Ciccarelli | $498 | $408.17 | +319.3% | Mar 22, 2024 |
| BMO Capital | Simeon Siegel | $420 | $403.19 | +253.6% | Mar 22, 2024 |
| Needham | Anna Andreeva | $500 | $403.19 | +321.0% | Mar 22, 2024 |
| Piper Sandler | Abbie Zvejnieks | $525 | $403.19 | +342.0% | Mar 22, 2024 |
| Stifel Nicolaus | Jim Duffy | $539 | $403.19 | +353.8% | Mar 22, 2024 |
| Wells Fargo | Ike Boruchow | $425 | $403.19 | +257.8% | Mar 22, 2024 |
| Truist Financial | Joseph Civello | $500 | $423.98 | +321.0% | Nov 17, 2023 |
| Telsey Advisory | Dana Telsey | $450 | $390.29 | +278.9% | Sep 21, 2023 |
| Needham | Anna Andreeva | $470 | $395.68 | +295.7% | Sep 20, 2023 |
| Guggenheim | Robert Drbul | $440 | $398.28 | +270.5% | Sep 1, 2023 |
| Morgan Stanley | Alex Straton | $424 | $369.32 | +257.0% | Jun 2, 2023 |
| Loop Capital Markets | Noah Zatzkin | $400 | $365.44 | +236.8% | Jun 2, 2023 |
| Telsey Advisory | Dana Telsey | $425 | $362.06 | +257.8% | Mar 29, 2023 |
| UBS | Jay Sole | $390 | $315.16 | +228.4% | Mar 28, 2023 |
| Oppenheimer | Analyst unavailable | $400 | $319.1 | +236.8% | Feb 8, 2023 |
| Citigroup | Analyst unavailable | $350 | $314.37 | +194.7% | Jan 13, 2023 |
| Argus Research | Analyst unavailable | $350 | $309.48 | +194.7% | Jan 11, 2023 |
| BMO Capital | Simeon Siegel | $304 | $309.48 | +156.0% | Jan 10, 2023 |
| Wells Fargo | Ike Boruchow | $380 | $329.1 | +219.9% | Jan 6, 2023 |
| Piper Sandler | Analyst unavailable | $385 | $320.98 | +224.2% | Jan 5, 2023 |
| Barclays | Analyst unavailable | $445 | $326.39 | +274.7% | Dec 12, 2022 |
| Piper Sandler | Analyst unavailable | $390 | $326.73 | +228.4% | Dec 9, 2022 |
| Goldman Sachs | Analyst unavailable | $431 | $324.22 | +262.9% | Dec 9, 2022 |
| Wells Fargo | Analyst unavailable | $360 | $324.2 | +203.1% | Dec 9, 2022 |
| Loop Capital Markets | Noah Zatzkin | $375 | $326.39 | +215.7% | Dec 9, 2022 |
| Cowen & Co. | Analyst unavailable | $542 | $376.93 | +356.3% | Dec 5, 2022 |
| Credit Suisse | Analyst unavailable | $465 | $385.99 | +291.5% | Dec 5, 2022 |
| Citigroup | Analyst unavailable | $400 | $385.99 | +236.8% | Dec 5, 2022 |
| UBS | Analyst unavailable | $395 | $382.86 | +232.6% | Dec 2, 2022 |
| Piper Sandler | Abbie Zvejnieks | $350 | $289.85 | +194.7% | Oct 11, 2022 |
| Morgan Stanley | Alex Straton | $343 | $314.31 | +188.8% | Sep 2, 2022 |
| Deutsche Bank | Gabriella Carbone | $434 | $314.17 | +265.4% | Sep 2, 2022 |
| Piper Sandler | Abbie Zvejnieks | $320 | $314.17 | +169.4% | Sep 2, 2022 |
| Goldman Sachs | Brooke Roach | $383 | $314.17 | +222.5% | Sep 2, 2022 |
| Goldman Sachs | Brooke Roach | $365 | $308.88 | +207.3% | Aug 2, 2022 |
| Jefferies | Randal Konik | $200 | $282.93 | +68.4% | Jul 11, 2022 |
| Morgan Stanley | Kimberly Greenberger | $315 | $290.93 | +165.2% | Jun 28, 2022 |
| Robert W. Baird | Mark Altschwager | $450 | $291.6 | +278.9% | Jun 13, 2022 |
| Bernstein | Jamie Merriman | $300 | $300.8 | +152.6% | Jun 6, 2022 |
| Morgan Stanley | Kimberly Greenberger | $303 | $299.2 | +155.1% | Jun 3, 2022 |
| Telsey Advisory | Dana Telsey | $470 | $300.8 | +295.7% | Jun 3, 2022 |
| Deutsche Bank | Gabriella Carbone | $427 | $300.8 | +259.5% | Jun 3, 2022 |
| BTIG | Camilo Lyon | $420 | $300.8 | +253.6% | Jun 3, 2022 |
| Wells Fargo | Ike Boruchow | $345 | $300.8 | +190.5% | Jun 3, 2022 |
| Guggenheim | Robert Drbul | $475 | $302.58 | +299.9% | Jun 2, 2022 |
| Goldman Sachs | Brooke Roach | $456 | $302.58 | +283.9% | Jun 2, 2022 |
| Guggenheim | Robert Drbul | $475 | $302.58 | +299.9% | Jun 2, 2022 |
| Argus Research | John Staszak | $310 | $274.04 | +161.0% | May 23, 2022 |
| Oppenheimer | Brian Nagel | $440 | $363.26 | +270.5% | Apr 29, 2022 |
| Wedbush | Analyst unavailable | $430 | $362.43 | +262.0% | Apr 29, 2022 |
| Deutsche Bank | Gabriella Carbone | $423 | $357.7 | +256.2% | Apr 26, 2022 |
| Truist Financial | Beth Reed | $495 | $361.97 | +316.8% | Apr 25, 2022 |
| Morgan Stanley | Analyst unavailable | $339 | $384.86 | +185.4% | Apr 21, 2022 |
| Cowen & Co. | John Kernan | $507 | $390.78 | +326.9% | Apr 16, 2022 |
| Truist Financial | Beth Reed | $390 | $368.74 | +228.4% | Apr 11, 2022 |
| Barclays | Adrienne Yih | $441 | $384.18 | +271.3% | Apr 4, 2022 |
| MKM Partners | Roxanne Meyer | $447 | $376.92 | +276.4% | Mar 30, 2022 |
| BTIG | Camilo Lyon | $491 | $376.92 | +313.4% | Mar 30, 2022 |
| Evercore ISI | Omar Saad | $450 | $376.92 | +278.9% | Mar 30, 2022 |
| Deutsche Bank | Gabriella Carbone | $428 | $376.92 | +260.4% | Mar 30, 2022 |
| Bank of America Securities | Lorraine Hutchinson | $450 | $376.92 | +278.9% | Mar 30, 2022 |
| Morgan Stanley | Kimberly Greenberger | $300 | $376.92 | +152.6% | Mar 30, 2022 |
| Guggenheim | Robert Drbul | $475 | $343.97 | +299.9% | Mar 29, 2022 |
| J.P. Morgan | Matthew Boss | $450 | $343.97 | +278.9% | Mar 29, 2022 |
| Bernstein | Aneesha Sherman | $260 | $289.24 | +118.9% | Mar 14, 2022 |
| Robert W. Baird | Mark Altschwager | $425 | $289.24 | +257.8% | Mar 14, 2022 |
| Jefferies | Randal Konik | $340 | $336.37 | +186.3% | Feb 6, 2022 |
| BTIG | Camilo Lyon | $489 | $328.98 | +311.7% | Jan 16, 2022 |
| Piper Sandler | Erinn Murphy | $480 | $352.72 | +304.1% | Jan 12, 2022 |
| UBS | Jay Sole | $430 | $346.75 | +262.0% | Jan 11, 2022 |
| Telsey Advisory | Dana Telsey | $470 | $346.75 | +295.7% | Jan 11, 2022 |
| Stifel Nicolaus | Jim Duffy | $500 | $348.43 | +321.0% | Jan 10, 2022 |
| B.Riley Financial | Susan Anderson | $487 | $355.21 | +310.0% | Jan 7, 2022 |
| Argus Research | John Staszak | $530 | $403.75 | +346.2% | Dec 13, 2021 |
| Oppenheimer | Brian Nagel | $520 | $426.55 | +337.8% | Sep 17, 2021 |
Track every rating change on LULU the moment it posts. Free to start.
Start freeMarket reaction
event-close to next-session close
Stock move
-8.6%
Event window
SPY move
-2.6%
Same window
Abnormal move
-6.0%
Stock minus SPY
Volume
4.6×
Versus trailing sessions
Subsequent drift
+0.7%
Up to 20 sessions
LULUSPY benchmark
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Try FN2 freeTranscript intelligence
What changed
Q1 FY2027 revenue grew 4% year-over-year to $2.47B, narrowly beating the $2.44B consensus. EPS of $1.69 also beat the $1.67 estimate. However, comparable sales fell 2%, driven by a 6% decline in North America. Management lowered full-year revenue guidance from 2-4% growth to flat-to-down-1%, and expects gross margin to compress approximately 90 bps due to tariffs and higher seasonal clearance. The stock dropped with a -6.0% abnormal move against a -2.6% benchmark move on 4.6x normal volume. Management tone shifted from confident to cautious versus the prior quarter.
Guidance delta
Full-year revenue guidance was lowered from the 2-4% growth range issued in Q4 FY2025 to flat-to-down-1%. Gross margin is now expected to compress approximately 90 bps year-over-year, reflecting tariff costs and higher seasonal clearance. Guidance sentiment shifted from maintained to lowered. CapEx outlook moved from decreasing to stable.
Key takeaways
- Q1 revenue of $2.47B beat the $2.44B estimate by 1.4%, and EPS of $1.69 beat the $1.67 estimate by 1.2%, but comparable sales fell 2%.
- North America comparable sales declined 6%, extending the full-price sales challenge flagged in the prior quarter.
- Full-year revenue guidance was cut from 2-4% growth to flat-to-down-1%, with gross margin expected to compress approximately 90 bps.
- China remained a bright spot with continued strong growth, while management emphasized faster product development and a 20% increase in chase volume.
- New CEO Heidi O'Neill will join in September, and the board has added several new directors.
- Negative social media and media commentary spiked in Q1, impacting traffic across regions.
Management priorities
- Reviving North America full-price sales and comparable store performance
- Accelerating product development cycle to 12-14 months and increasing chase volume by 20%
- Reducing SKU count by approximately 15% to improve product focus and reduce markdowns
- Increasing marketing spend and community-driven brand activations including Great Wall yoga, SeaWheeze, and Summer Sweat Games
- Onboarding new CEO Heidi O'Neill in September for strategic continuity
- Opening approximately 13 net new stores in Q2 with focus on Mexico and China
Related earnings events
Consumer CyclicalDECK · FY2027 Q1 · Calendar Q3 2026Deckers Crosses $1 Billion Quarterly Revenue as HOKA and UGG DTC Drive Margin GainsTSCO · FY2026 Q2 · Calendar Q3 2026TSCO Q2: Comp Sales Turn Negative as Pet Ecosystem ExpandsPKG · FY2026 Q2 · Calendar Q3 2026PKG Beats Q2 EPS Guidance as Greif Integration Hits Stride
Sources
- Earnings call transcript and parsed analysis · 2026-06-05T07:23:52.623593+00:00
- FN2 earnings calendar · 2026-07-26T00:37:12.209961+00:00
- Polygon adjusted daily market bars · 2026-07-31T12:32:09.120286+00:00
- Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-07-31T12:32:09.117386+00:00
Methodology
Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.
Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.
Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.
By FN2 Research · Updated . For educational purposes only; not investment advice.