Lululemon Athletica (NASDAQ: LULU) investors enjoyed a mostly uninterrupted upward trajectory in its stock price from 2018 till the end of 2021. But supply chain challenges and inflation threw a wrench into that narrative in 2022 and 2023. Still, by the end of last year, Lululemon had broken above $515 a share to make a fresh, all-time high.

Now, the athleisure brand is experiencing a brutal downturn once again. The stock is down over 41% year to date, vaporizing around $25 billion in market capitalization. The sell-off accelerated on May 22 on news that Lululemon's  chief product officer was leaving the company. Unexpected upper-management departures during a fragile period can test already strained investor confidence.

As the time of this writing, Lululemon is the worst-performing S 500 component and the second-worst-performing Nasdaq-100 component in 2024. The Nasdaq-100 is the 100 largest non-financial companies in the Nasdaq Composite.

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Source Fool.com