Lululemon AthleticaXTER:33L +4.08%85 Altman Z-Score is 5.30 as of Jul. 01, 2026, which is 68% below its 10-year median of 16.53. GuruFocus rates XTER:33L with a GF Score™ of 85/100 and a GF Value™ of €308.03 (Significantly Undervalued). The stock has 1 warning sign investors should review. Among 1,113 Retail - Cyclical companies, Lululemon Athletica ranks better than 79.78% on this metric.
The Altman Z-Score is a model designed to predict the likelihood of a company going bankrupt within the next two years. Created by American finance professor Edward Altman in 1968, the model is specifically designed for publicly traded manufacturing companies with assets greater than $1 million.
Good Sign:
Altman Z-score of 5.24 is strong.
Lululemon Athletica has a Altman Z-Score of 5.30, indicating it is in Safe Zones. This implies the Altman Z-Score is strong.
The zones of discrimination were as such:
When Altman Z-Score <= 1.8, it is in Distress Zones.
When Altman Z-Score >= 3, it is in Safe Zones.
When Altman Z-Score is between 1.8 and 3, it is in Grey Zones.
The historical rank and industry rank for Lululemon Athletica's Altman Z-Score or its related term are showing as below:
XTER:33L'
s Altman Z-Score Range Over the Past 10 Years
Min: 5.24 Med: 16.53 Max: 28.75
Current: 5.24
During the past 13 years, Lululemon Athletica's highest Altman Z-Score was 28.75. The lowest was 5.24. And the median was 16.53.
X1: The Working Capital/Total Assets (WC/TA) ratio is a measure of the net liquid assets of the firm relative to the total capitalization. Working capital is defined as the difference between current assets and current liabilities. Ordinarily, a firm experiencing consistent operating losses will have shrinking current assets in relation to total assets. Altman found this one proved to be the most valuable liquidity ratio comparing with the current ratio and the quick ratio. This is however the least significant of the five factors.
X2: Retained Earnings/Total Assets: the RE/TA ratio measures the leverage of a firm. Retained earnings is the account which reports the total amount of reinvested earnings and/or losses of a firm over its entire life. Those firms with high RE, relative to TA, have financed their assets through retention of profits and have not utilized as much debt.
X3, Earnings Before Interest and Taxes/Total Assets (EBIT/TA): This ratio is a measure of the true productivity of the firm's assets, independent of any tax or leverage factors. Since a firm's ultimate existence is based on the earning power of its assets, this ratio appears to be particularly appropriate for studies dealing with corporate failure. This ratio continually outperforms other profitability measures, including cash flow.
X4, Market Value of Equity/Book Value of Total Liabilities (MVE/TL): The measure shows how much the firm's assets can decline in value (measured by market value of equity plus debt) before the liabilities exceed the assets and the firm becomes insolvent.
X5, Revenue/Total Assets (S/TA): The capital-turnover ratio is a standard financial ratio illustrating the sales generating ability of the firm's assets.
Altman Z-Score does not apply to financial companies.
Lululemon Athletica Altman Z-Score Related Terms
Lululemon Athletica Altman Z-Score Historical Data
* Premium members only.
The historical data trend for Lululemon Athletica's Altman Z-Score can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
XTER:33L vs GAP, VSXY, BURL: Altman Z-Score Comparison
For the Apparel Retail subindustry, Lululemon Athletica's Altman Z-Score, along with its competitors' market caps and Altman Z-Score data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Lululemon Athletica Altman Z-Score vs Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Lululemon Athletica's Altman Z-Score distribution charts can be found below:
* The bar in red indicates where Lululemon Athletica's Altman Z-Score falls into.
Altman Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
Lululemon Athletica's Altman Z-Score for today is calculated with this formula:
Z
=
1.2
*
X1
+
1.4
*
X2
+
3.3
*
X3
+
0.6
*
X4
+
1.0
*
X5
=
1.2
*
0.2579
+
1.4
*
0.5112
+
3.3
*
0.2431
+
0.6
*
3.5934
+
1.0
*
1.3133
=
5.30
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency. GuruFocus does not calculate Altman Z-Score when X4 or X5 value is 0.
Lululemon Athletica (XTER:33L) has a Altman Z-Score of 5.30 as of Jul. 01, 2026. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lululemon Athletica and its competitors. This is 68% below median its historical median of 16.53. Over the past decade, Lululemon Athletica's Altman Z-Score has ranged from 5.24 to 28.75. According to the industry distribution chart, Lululemon Athletica ranks #225 out of 1113 companies in the Retail - Cyclical industry, placing it in the top 20.2%.
Is Lululemon Athletica's Altman Z-Score too high?
Lululemon Athletica's current Altman Z-Score of 5.30 is 68% below median its 10-year median of 16.53. Over the past 10 years, this metric has ranged from a low of 5.24 to a high of 28.75. The Retail - Cyclical industry median Altman Z-Score is 2.72. Lululemon Athletica's value of 5.30 is 94.9% above this industry median. Based on the distribution chart, Lululemon Athletica ranks #225 out of 1113 companies in the Retail - Cyclical industry, which is in the top quartile — a strong position relative to peers. Overall, Lululemon Athletica has a GF Score™ of 85/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Lululemon Athletica's Altman Z-Score compare to GAP and VSXY?
According to the Retail - Cyclical industry distribution chart, Lululemon Athletica ranks #225 out of 1113 companies for Altman Z-Score. This places Lululemon Athletica in the top 20% of its industry — outperforming the majority of peers. The industry median Altman Z-Score is 2.72. Lululemon Athletica's value of 5.30 is 94.9% above this benchmark. Historically, Lululemon Athletica's own Altman Z-Score has ranged from 5.24 to 28.75 over the past decade. While the company's 10-year median is 16.53 vs. the industry median of 2.72, Lululemon Athletica has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Altman Z-Score for a Retail - Cyclical company?
The median Altman Z-Score among Retail - Cyclical companies is 2.72, based on 1,113 companies in the industry. Companies in the top quartile (top 25%) have a Altman Z-Score significantly above this median, while those in the bottom quartile fall well below. However, Altman Z-Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Lululemon Athletica's current Altman Z-Score of 5.30 is 94.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Altman Z-Score mean?
A high Altman Z-Score can signal that a stock is expensive relative to its fundamentals. The Altman Z-score measures a company's bankruptcy risk. View historical data on Lululemon Athletica and its competitors. For the Retail - Cyclical industry, the median Altman Z-Score is 2.72 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Lululemon Athletica's current Altman Z-Score is 5.30, which is 68% below median its own 10-year median of 16.53. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Lululemon Athletica stock overvalued right now?
Based on GuruFocus' analysis, Lululemon Athletica (XTER:33L) is currently considered Significantly Undervalued. The stock's GF Value™ is €308.03, compared to a current price of €102.00 — trading 66.9% below its estimated fair value. The current Altman Z-Score is 5.30, which is 68% below median its 10-year median of 16.53 and 94.9% above the Retail - Cyclical industry median of 2.72. Lululemon Athletica's overall GF Score™ is 85/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Altman Z-Score calculated?
Altman Z-Score is calculated from a company's financial statements. For Lululemon Athletica (XTER:33L), the current Altman Z-Score is 5.30 as of Jul. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Lululemon Athletica (XTER:33L) Overvalued in 2026?
Based on GuruFocus' analysis, Lululemon Athletica stock appears to be undervalued.
The current stock price of €102.00 is trading 66.9% below its estimated GF Value™ of €308.03.
GuruFocus considers Lululemon Athletica to be Significantly Undervalued.
Key valuation signals for XTER:33L:
Altman Z-Score: 5.30 (68% below median its 10-year median of 16.53)
GF Value™: €308.03 vs. price of €102.00 (66.9% below fair value)
Industry Position: 94.9% above the Retail - Cyclical median (#225 of 1113)
No single metric tells the full story. See the XTER:33L stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Lululemon Athletica designs, distributes, and markets athletic apparel, footwear, and accessories for women, men, and girls. The company offers pants, shorts, tops, and jackets for both leisure and athletic activities such as yoga and running. Lululemon also sells fitness accessories, such as bags, yoga mats, and equipment. It sells its products through digital channels, a small number of wholesale partners, more than 800 company-owned stores in about two dozen countries in North America, Asia, and Western Europe, and about 45 franchised locations in the Middle East and Europe. The company was founded in 1998 and is based in Vancouver, Canada.
85GF Score
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