Lululemon stock price trends upward on improved gross margin

Lululemon stock price trends upward on improved gross margin data, now projected at 59% for FY The company has tempered expectations for the year ahead. Management now projects a significant contraction in gross margin, with a roughly 300-basis-point decline compared to 2024. That’s much steeper than the 110-basis-point decrease it had initially guided for. The adjustment primarily stems from higher tariffs, including the removal of de minimis exemptions, while more aggressive markdown activity, approximately 50 basis points worse than last year, is also weighing on profitability as seasonal clearance levels rise. Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks » Lululemon stock price gained 1.2% after management reaffirmed 2024 revenue guidance at $10 billion. Analysts viewing the move as a stabilizing signal anticipate a retest of the $495 resistance level within weeks.