Lululemon Athletica Inc. cash flow to debt ratio of 89.10% indicates that the company generates enough cash to cover a substantial portion of its debt. This level indicates very strong financial health.

Lululemon Athletica Inc.'s free cash flow has decreased 41.79% from $1.58B last year to $921.67M, signaling decreasing performance

Lululemon Athletica Inc.'s debt to equity ratio is 0.44, which means that the company's assets are healthy financed, signaling financial stability.

Lululemon Athletica Inc.'s debt has increased relative to shareholder equity from 0.36 last year to 0.44 today, signaling weakened financials

Lululemon Athletica Inc. has a net cash position, so leverage is healthy.

Interest expense is not separately reported in Lululemon Athletica Inc.'s latest filing, so interest coverage cannot be calculated.

Lululemon Athletica Inc.'s profit margin has decreased (23.98%) in the last year from 17.14% to 13.03%, signaling decreasing performance

Lululemon Athletica Inc.'s short-term assets of $4.26B exceed its short-term liabilities of $1.89B

Lululemon Athletica Inc.'s return on assets of 17.11% is higher than the 5.00% threshold, indicating efficient asset utilization

Lululemon Athletica Inc.'s return on equity of 31.26%, is higher than 15.00%, indicating good performance

Lululemon Athletica Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Lululemon Athletica Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Lululemon Athletica Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Lululemon Athletica Inc. has a free cash flow yield of 6.35%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Lululemon Athletica Inc.'s yearly earnings has decreased 12.97% since last year from $1.81B to $1.58B, signaling decreasing performance

Lululemon Athletica Inc.'s yearly revenue has increased 4.86% since last year from $10.59B to $11.10B, signaling increasing performance

ROIC 20.23% (Source: FMP key-metrics). At or above the 10% threshold. Score: 2 of 2. The company is generating returns above the upper end of the typical US weighted-average cost of capital range under this definition of invested capital.

Lululemon Athletica Inc.'s 3-year revenue CAGR of 11.03% is positive, indicating growing revenue over the past 3 years

Lululemon Athletica Inc. had revenue growth in 5 out of 5 years, indicating consistent revenue performance

Lululemon Athletica Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Lululemon Athletica Inc. is undervalued relative to its fair value price of 139.14 based on Discounted Cash Flow model

Lululemon Athletica Inc. has an earnings yield of 9.90%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Lululemon Athletica Inc. is undervalued relative to its fair value price of 163.29 based on EBITDA multiple model

Lululemon Athletica Inc. has an EV/EBITDA ratio of 5.30x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Lululemon Athletica Inc. is undervalued relative to its fair value price of 341.55 based on Earnings Fair Value model

Lululemon Athletica Inc. has a PEG-ratio under 1 which is considered undervalued

Lululemon Athletica Inc. has a price-to-book ratio of 3.06x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Lululemon Athletica Inc. has a price-to-sales ratio of 1.32x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue