Stock Analysis on Net
Stock Analysis on Net

lululemon athletica inc. (NASDAQ:LULU)

DuPont Analysis: Disaggregation of ROE, ROA, and Net Profit Margin
Quarterly Data

Microsoft Excel

Decomposing ROE involves expressing net income divided by shareholders’ equity as the product of component ratios.

Two-Component Disaggregation of ROE

lululemon athletica inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = ROA × Financial Leverage
Feb 2, 2025 41.97% = 23.87% × 1.76
Oct 27, 2024 43.55% = 24.50% × 1.78
Jul 28, 2024 40.49% = 24.21% × 1.67
Apr 28, 2024 37.47% = 23.16% × 1.62
Jan 28, 2024 36.63% = 21.86% × 1.68
Oct 29, 2023 28.38% = 16.61% × 1.71
Jul 30, 2023 28.51% = 16.81% × 1.70
Apr 30, 2023 28.77% = 17.14% × 1.68
Jan 29, 2023 27.15% = 15.25% × 1.78
Oct 30, 2022 38.48% = 22.03% × 1.75
Jul 31, 2022 38.55% = 22.39% × 1.72
May 1, 2022 38.24% = 21.72% × 1.76
Jan 30, 2022 35.60% = 19.73% × 1.80
Oct 31, 2021 32.75% = 19.04% × 1.72
Aug 1, 2021 30.94% = 18.76% × 1.65
May 2, 2021 26.71% = 16.29% × 1.64
Jan 31, 2021 23.02% = 14.07% × 1.64
Nov 1, 2020 25.76% = 15.36% × 1.68
Aug 2, 2020 26.96% = 15.44% × 1.75
May 3, 2020 31.46% = 18.04% × 1.74
Feb 2, 2020 33.07% = 19.67% × 1.68
Nov 3, 2019 — = — × 1.73
Aug 4, 2019 — = — × 1.79
May 5, 2019 — = — × 1.80

Based on: 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02), 10-K (reporting date: 2021-01-31), 10-Q (reporting date: 2020-11-01), 10-Q (reporting date: 2020-08-02), 10-Q (reporting date: 2020-05-03), 10-K (reporting date: 2020-02-02), 10-Q (reporting date: 2019-11-03), 10-Q (reporting date: 2019-08-04), 10-Q (reporting date: 2019-05-05).

The primary reason for the decrease in return on equity ratio (ROE) over Q4 2025 is the decrease in profitability measured by return on assets ratio (ROA).

Three-Component Disaggregation of ROE

lululemon athletica inc., decomposition of ROE (quarterly data)

Microsoft Excel
ROE = Net Profit Margin × Asset Turnover × Financial Leverage
Feb 2, 2025 41.97% = 17.14% × 1.39 × 1.76
Oct 27, 2024 43.55% = 17.05% × 1.44 × 1.78
Jul 28, 2024 40.49% = 16.34% × 1.48 × 1.67
Apr 28, 2024 37.47% = 16.09% × 1.44 × 1.62
Jan 28, 2024 36.63% = 16.12% × 1.36 × 1.68
Oct 29, 2023 28.38% = 10.89% × 1.53 × 1.71
Jul 30, 2023 28.51% = 11.40% × 1.47 × 1.70
Apr 30, 2023 28.77% = 11.24% × 1.53 × 1.68
Jan 29, 2023 27.15% = 10.54% × 1.45 × 1.78
Oct 30, 2022 38.48% = 15.66% × 1.41 × 1.75
Jul 31, 2022 38.55% = 15.60% × 1.44 × 1.72
May 1, 2022 38.24% = 15.36% × 1.41 × 1.76
Jan 30, 2022 35.60% = 15.59% × 1.27 × 1.80
Oct 31, 2021 32.75% = 14.87% × 1.28 × 1.72
Aug 1, 2021 30.94% = 14.96% × 1.25 × 1.65
May 2, 2021 26.71% = 14.17% × 1.15 × 1.64
Jan 31, 2021 23.02% = 13.38% × 1.05 × 1.64
Nov 1, 2020 25.76% = 13.69% × 1.12 × 1.68
Aug 2, 2020 26.96% = 13.94% × 1.11 × 1.75
May 3, 2020 31.46% = 15.01% × 1.20 × 1.74
Feb 2, 2020 33.07% = 16.22% × 1.21 × 1.68
Nov 3, 2019 — = — × — × 1.73
Aug 4, 2019 — = — × — × 1.79
May 5, 2019 — = — × — × 1.80

Based on: 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02), 10-K (reporting date: 2021-01-31), 10-Q (reporting date: 2020-11-01), 10-Q (reporting date: 2020-08-02), 10-Q (reporting date: 2020-05-03), 10-K (reporting date: 2020-02-02), 10-Q (reporting date: 2019-11-03), 10-Q (reporting date: 2019-08-04), 10-Q (reporting date: 2019-05-05).

The primary reason for the decrease in return on equity ratio (ROE) over Q4 2025 is the decrease in efficiency measured by asset turnover ratio.

Two-Component Disaggregation of ROA

lululemon athletica inc., decomposition of ROA (quarterly data)

Microsoft Excel
ROA = Net Profit Margin × Asset Turnover
Feb 2, 2025 23.87% = 17.14% × 1.39
Oct 27, 2024 24.50% = 17.05% × 1.44
Jul 28, 2024 24.21% = 16.34% × 1.48
Apr 28, 2024 23.16% = 16.09% × 1.44
Jan 28, 2024 21.86% = 16.12% × 1.36
Oct 29, 2023 16.61% = 10.89% × 1.53
Jul 30, 2023 16.81% = 11.40% × 1.47
Apr 30, 2023 17.14% = 11.24% × 1.53
Jan 29, 2023 15.25% = 10.54% × 1.45
Oct 30, 2022 22.03% = 15.66% × 1.41
Jul 31, 2022 22.39% = 15.60% × 1.44
May 1, 2022 21.72% = 15.36% × 1.41
Jan 30, 2022 19.73% = 15.59% × 1.27
Oct 31, 2021 19.04% = 14.87% × 1.28
Aug 1, 2021 18.76% = 14.96% × 1.25
May 2, 2021 16.29% = 14.17% × 1.15
Jan 31, 2021 14.07% = 13.38% × 1.05
Nov 1, 2020 15.36% = 13.69% × 1.12
Aug 2, 2020 15.44% = 13.94% × 1.11
May 3, 2020 18.04% = 15.01% × 1.20
Feb 2, 2020 19.67% = 16.22% × 1.21
Nov 3, 2019 — = — × —
Aug 4, 2019 — = — × —
May 5, 2019 — = — × —

Based on: 10-K (reporting date: 2025-02-02), 10-Q (reporting date: 2024-10-27), 10-Q (reporting date: 2024-07-28), 10-Q (reporting date: 2024-04-28), 10-K (reporting date: 2024-01-28), 10-Q (reporting date: 2023-10-29), 10-Q (reporting date: 2023-07-30), 10-Q (reporting date: 2023-04-30), 10-K (reporting date: 2023-01-29), 10-Q (reporting date: 2022-10-30), 10-Q (reporting date: 2022-07-31), 10-Q (reporting date: 2022-05-01), 10-K (reporting date: 2022-01-30), 10-Q (reporting date: 2021-10-31), 10-Q (reporting date: 2021-08-01), 10-Q (reporting date: 2021-05-02), 10-K (reporting date: 2021-01-31), 10-Q (reporting date: 2020-11-01), 10-Q (reporting date: 2020-08-02), 10-Q (reporting date: 2020-05-03), 10-K (reporting date: 2020-02-02), 10-Q (reporting date: 2019-11-03), 10-Q (reporting date: 2019-08-04), 10-Q (reporting date: 2019-05-05).

The primary reason for the decrease in return on assets ratio (ROA) over Q4 2025 is the decrease in asset turnover ratio.