Aureus
DWarning

lululemon athletica inc.(LULU)

D

Financial data as of Jan 31, 2026Declining · Consumer Discretionary

FCF Margin7.7%Free Cash Flow / Revenue
Cash Conversion101.5%Operating CF / Net Income
Free Cash Flow$921.7M
Revenue$11.1B
Net Cash$8.8MCash exceeds debt
Debt / FCF2.1xManageable debt load
Current Ratio2.26Adequate short-term liquidity
YoY FCF Growth-18.5%4 of 5 quarters positive

How This Grade Was Calculated

Base grade from FCF margin, adjusted by financial health factors

BaseC
→
-0.5FCF trend declining (-18.5% YoY)
→
-0.5Highly volatile FCF (consistency: 1.37)
→
FinalD

Analysis Summary

Strengths

  • Excellent cash conversion (101%)
  • Net cash position ($0.0B)
  • Strong liquidity (current ratio: 2.26)

Concerns

  • Low FCF margin (7.7%)
  • Highly volatile quarterly FCF

Financial Breakdown

Key financials compared side by side

Margin Composition

FCF Margin7.7%
Net Margin14.2%
Operating CF Margin14.4%
CapEx Ratio6.1%

Balance Sheet Health

Debt, liquidity, and leverage snapshot

Net Cash$8.8MCash exceeds debt
Debt / FCF2.1xManageable debt load
Current Ratio2.26Strong liquidity
Debt / Equity0.36Low leverage

Quarterly FCF Trend

-18.5% YoYDeclining (-18.5%)

Free cash flow per quarter

Sector Comparison — Consumer Discretionary

FCF Margin ranked against sector peers

View all →

Detailed Metrics

Company Namelululemon athletica inc.
SectorConsumer Discretionary
Free Cash Flow$921.7M
Revenue$11.1B
Net Income$1.6B
Operating Cash Flow$1.6B
Capital Expenditure$680.8M
FCF Margin7.7%
Cash Conversion Rate101.5%
Net Margin14.2%
Total Debt$1.8B
Total Cash$1.8B
Net Cash$8.8M
Current Ratio2.26
Debt / Equity0.36
Debt / FCF2.1x
YoY FCF Growth-18.5%
Positive Quarters4 of 5
Trend DirectionDeclining
Report DateJan 31, 2026
GradeD
Data SourceYahoo Finance

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Mar 27, 2026
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