Competitive PressuresEmerging brands like Alo and Vuori are gaining share of wallet, especially among younger consumers, which is closing in on LULU's market position.
Product Strategy RisksThe new product strategy is considered riskier and bolder, with significant uncertainty and no visibility until Spring 2026.
US Market TrendsAnalyst is losing conviction in the bull thesis due to worsening US trends and reliance on an unproven newness strategy.