Latest Ratios: P/E Ratio 8.7x · EV/EBITDA 4.8x · ROE 34.0%. (2005–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $13.1B | $20.8B | $51.3B | $60.7B | $39.8B | $41.2B | $43.0B | $31.3B | $19.6B | $10.8B | $9.2B |
| Enterprise Value | $13.1B | $20.8B | $50.9B | $59.9B | $39.7B | $40.8B | $42.7B | $31.0B | $18.7B | $9.8B | $8.4B |
| P/E Ratio → | 8.68 | 13.16 | 28.29 | 39.18 | 46.53 | 42.18 | 73.04 | 48.56 | 40.48 | 41.62 | 30.24 |
| P/S Ratio | 1.18 | 1.87 | 4.85 | 6.31 | 4.91 | 6.58 | 9.77 | 7.88 | 5.95 | 4.07 | 3.91 |
| P/B Ratio | 2.76 | 4.19 | 11.87 | 14.35 | 12.64 | 15.02 | 16.81 | 16.06 | 13.54 | 6.74 | 6.75 |
| P/FCF | 14.18 | 22.54 | 32.42 | 36.94 | 121.40 | 41.38 | 74.92 | 81.16 | 37.87 | 32.49 | 38.73 |
| P/OCF | 8.15 | 12.97 | 22.59 | 26.45 | 41.17 | 29.63 | 53.55 | 46.84 | 26.35 | 22.01 | 23.74 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.87 | 4.81 | 6.23 | 4.90 | 6.52 | 9.69 | 7.79 | 5.69 | 3.69 | 3.60 |
| EV / EBITDA | 4.82 | 7.67 | 17.25 | 23.84 | 24.51 | 26.18 | 42.43 | 29.49 | 22.57 | 17.33 | 16.59 |
| EV / EBIT | 5.91 | 9.28 | 19.77 | 27.14 | 23.00 | 29.67 | 50.20 | 34.86 | 26.49 | 19.78 | 20.04 |
| EV / FCF | — | 22.53 | 32.16 | 36.43 | 121.14 | 41.00 | 74.31 | 80.24 | 36.16 | 29.50 | 35.63 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 56.6% | 56.6% | 59.2% | 58.3% | 55.4% | 57.7% | 56.0% | 55.9% | 55.2% | 52.8% | 51.2% |
| Operating Margin | 19.9% | 19.9% | 23.7% | 22.2% | 16.4% | 21.3% | 18.6% | 22.3% | 21.5% | 17.2% | 18.0% |
| Net Profit Margin | 14.2% | 14.2% | 17.1% | 16.1% | 10.5% | 15.6% | 13.4% | 16.2% | 14.7% | 9.8% | 12.9% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 34.0% | 34.0% | 42.4% | 42.0% | 29.0% | 36.8% | 26.1% | 38.0% | 31.8% | 17.5% | 25.4% |
| ROA | 19.7% | 19.7% | 24.7% | 24.4% | 16.2% | 21.4% | 15.8% | 24.1% | 23.7% | 14.1% | 20.4% |
| ROIC | 37.4% | 37.4% | 51.4% | 49.6% | 36.7% | 43.8% | 32.3% | 61.6% | 89.9% | 55.2% | 54.9% |
| ROCE | 35.8% | 35.8% | 44.6% | 44.5% | 34.7% | 39.0% | 27.5% | 41.9% | 42.9% | 29.2% | 33.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.36 | 0.36 | 0.36 | 0.33 | 0.34 | 0.32 | 0.31 | 0.38 | — | 0.00 | — |
| Debt / EBITDA | 0.66 | 0.66 | 0.53 | 0.56 | 0.66 | 0.57 | 0.79 | 0.70 | — | 0.01 | — |
| Net Debt / Equity | — | -0.00 | -0.09 | -0.20 | -0.03 | -0.14 | -0.14 | -0.18 | -0.61 | -0.62 | -0.54 |
| Net Debt / EBITDA | -0.00 | -0.00 | -0.14 | -0.33 | -0.05 | -0.24 | -0.35 | -0.34 | -1.06 | -1.76 | -1.44 |
| Debt / FCF | — | -0.01 | -0.26 | -0.51 | -0.26 | -0.38 | -0.61 | -0.92 | -1.70 | -2.99 | -3.10 |
| Interest Coverage | — | — | — | — | — | — | — | — | — | — | — |
Net cash position: cash ($1.8B) exceeds total debt ($1.8B)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.26 | 2.26 | 2.16 | 2.49 | 2.12 | 1.86 | 2.41 | 2.91 | 2.86 | 4.91 | 4.82 |
| Quick Ratio | 1.36 | 1.36 | 1.38 | 1.68 | 1.15 | 1.17 | 1.67 | 2.08 | 2.05 | 3.78 | 3.58 |
| Cash Ratio | 0.96 | 0.96 | 1.08 | 1.38 | 0.77 | 0.90 | 1.30 | 1.76 | 1.76 | 3.39 | 3.04 |
| Asset Turnover | — | 1.31 | 1.39 | 1.36 | 1.45 | 1.27 | 1.05 | 1.21 | 1.58 | 1.33 | 1.41 |
| Inventory Turnover | 2.83 | 2.83 | 2.99 | 3.03 | 2.50 | 2.74 | 2.99 | 3.39 | 3.64 | 3.79 | 3.84 |
| Days Sales Outstanding | — | 6.27 | 10.43 | 11.71 | 14.34 | 11.43 | 6.28 | 11.50 | 9.45 | 9.39 | 14.07 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 11.5% | 7.6% | 3.5% | 2.6% | 2.1% | 2.4% | 1.4% | 2.1% | 2.5% | 2.4% | 3.3% |
| FCF Yield | 7.1% | 4.4% | 3.1% | 2.7% | 0.8% | 2.4% | 1.3% | 1.2% | 2.6% | 3.1% | 2.6% |
| Buyback Yield | 9.0% | 5.7% | 3.2% | 0.9% | 1.1% | 2.0% | 0.1% | 0.6% | 3.1% | 0.9% | 0.3% |
| Total Shareholder Yield | 9.0% | 5.7% | 3.2% | 0.9% | 1.1% | 2.0% | 0.1% | 0.6% | 3.1% | 0.9% | 0.3% |
| Shares Outstanding | — | $119M | $124M | $127M | $128M | $130M | $131M | $131M | $134M | $136M | $137M |
Brand saturation and margin compression
According to recent market data, LULU's P/E ratio has compressed to 8.87x, a significant departure from historical premiums, suggesting that investors are increasingly pricing the company as a mature retail compounder rather than a high-growth athletic apparel disruptor in the current macroeconomic environment.
The current forward P/E of 9.01x implies that the market is skeptical of the company's ability to re-accelerate top-line growth, particularly as it faces increased competition in the footwear and performance categories. This valuation level warrants caution, as it suggests that any further deceleration in comparable store sales could lead to a permanent downward re-rating of the stock's multiple.
As reported in financial statements, LULU's ROIC has declined to 4.0% in 2026Q1 from a peak of 19.6% in 2023Q4, indicating that the company is struggling to maintain its historical ability to compound returns on invested capital amidst a maturing retail footprint and shifting product mix.
The sharp contraction in ROIC suggests that recent capital expenditures, particularly in physical store expansion and potentially less efficient product categories, are failing to generate the same incremental returns as the core yoga apparel business. Investors should monitor whether this decay is a temporary byproduct of strategic pivots or a structural shift in the company's long-term value creation potential.
Based on the provided quarterly figures, LULU's cash conversion cycle has extended to 117 days in 2026Q1, driven primarily by a significant increase in days inventory outstanding to 136 days, which suggests that the company is facing challenges in maintaining optimal inventory velocity in a cooling demand environment.
The lengthening of the cash conversion cycle indicates that capital is becoming increasingly trapped in unsold inventory, which may necessitate future promotional activity to clear stock. This trend is particularly concerning given the company's historical reliance on full-price selling to maintain its premium margin profile.
According to recent balance sheet disclosures, LULU maintains a current ratio of 2.23 as of 2026Q1, providing a comfortable liquidity cushion that appears adequate to navigate near-term operational volatility despite the recent decline in cash reserves relative to historical levels observed in 2023Q4.
While the quick ratio of 1.29 indicates a moderate reliance on inventory to meet short-term obligations, the company's overall liquidity position remains healthy compared to industry peers. This buffer provides management with the necessary flexibility to manage through the current period of decelerating growth without immediate concerns regarding debt service or refinancing.
The P/E ratio is frequently misapplied to LULU, as it obscures the significant impact of stock-based compensation and the volatility of inventory-related cash flows, which often provide a distorted view of the company's true underlying earning power during periods of operational transition.
Analysts should instead focus on free cash flow yield and adjusted operating margins, which better capture the cash-generative nature of the business after accounting for the capital-intensive requirements of its retail and distribution strategy. Relying solely on P/E risks ignoring the potential for margin compression and the ongoing costs associated with the company's pivot away from hardware-centric fitness initiatives.
Includes 30+ ratios · 21 years · Updated daily
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Quick answers to the most common questions about buying LULU stock.
Lululemon Athletica Inc.'s current P/E ratio is 8.7x. The historical average is 39.5x.
Lululemon Athletica Inc.'s current EV/EBITDA is 4.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 21.9x.
Lululemon Athletica Inc.'s return on equity (ROE) is 34.0%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 30.7%.
Based on historical data, Lululemon Athletica Inc. is trading at a P/E of 8.7x. Compare with industry peers and growth rates for a complete picture.
Lululemon Athletica Inc. has 56.6% gross margin and 19.9% operating margin. Operating margin between 10-20% is typical for established companies.
Lululemon Athletica Inc.'s Debt/EBITDA ratio is 0.7x, indicating low leverage. A ratio below 2x is generally considered financially healthy.