Why Lululemon Stock Dropped Like a Rock This Morning
Shares of Lululemon Athletica (NASDAQ: LULU) dropped on Monday morning after the company released some updates regarding its business performance in the fourth quarter of 2022. As of 10:15 a.m. ET, Lululemon stock was down 9%.
Along with the management teams of more than 150 public companies, Lululemon's management is participating in the ICR Conference, which begins today. Since analysts will likely be prodding management about recent trends with the business, it made sense for Lululemon to publish information for all shareholders on its investor relations website.
The update wasn't all bad. Q4 revenue is still being tallied. But management expects a 25% to 27% year-over-year increase compared with the fourth quarter of 2021. Moreover, its updated diluted earnings per share (EPS) guidance is still within management's previous guidance range. And its updated EPS guidance of $4.22 per share to $4.27 per share represents a 26% to 27% increase from Q4 2021.
Source Fool.com
