Published on 29 May 2024 on Motley Fool via Yahoo Finance
This Nasdaq-100 Growth Stock Just Hit a New 52-Week Low. Here's Why It's Worth Buying Now
Lululemon Athletica (NASDAQ: LULU) investors enjoyed a mostly uninterrupted upward trajectory in its stock price from 2018 till the end of 2021. But supply chain challenges and inflation threw a wrench into that narrative in 2022 and 2023. Still, by the end of last year, Lululemon had broken above $515 a share to make a fresh, all-time high.
Now, the athleisure brand is experiencing a brutal downturn once again. The stock is down over 41% year to date, vaporizing around $25 billion in market capitalization. The sell-off accelerated on May 22 on news that Lululemon's chief product officer was leaving the company. Unexpected upper-management departures during a fragile period can test already strained investor confidence.