(ZEROHEDGE) – Lululemon’s stock plunged in premarket trading as the company’s forecast for first-quarter net revenue fell short of Wall Street’s expectations. The athleisure brand blamed a slowdown in sales at its US stores for the underwhelming sales forecast. Additionally, Lululemon announced that fourth-quarter adjusted earnings per share missed estimates, prompting analysts to lower their price targets.
Late Thursday, Chief Executive Officer Calvin McDonald told analysts that US customers purchased fewer items than a year ago. He explained that customers “are a little soft coming into the year” but noted “strong momentum” at stores across all international markets, including Canada.
Lululemon’s 2024 outlook forecasted revenue to be in the range of $10.7 billion to $10.8 billion, representing growth of 11% to 12%, which is below the 19% recorded last year.
