lululemon athletica inc.

LULU

Quality scores

Data as of Sep 5, 2026

4 / 9

Neutral

4/9 — middling fundamentals (neutral zone).

PassROA > 0 — ROA last year = 18.67 %
PassFCF > 0 — FCF last year = 921.68 mill.
FailFCF > net income (accrual quality) — FCF 921.68 vs. net income 1,579.18 (mill.)
FailRising ROA — ROA 18.67 % vs. prior year 23.87 %

FailLower long-term leverage — total debt (approx.)/assets 0.21 vs. prior 0.00
PassRising current ratio (more liquidity) — Current ratio 2.26 vs. prior 2.16
PassNo dilution (shares do not grow) — Shares 111.38 mill. vs. prior 116.17 mill.

Test 5: no long-term debt breakdown; approximated with total debt / assets.

Z-Score (original)

5.56

Safe zone

Z''-Score (non-manufacturing)

10.08

Safe zone

Ratio	Value
X1 — Working capital / Total assets	0.28
X2 — Retained earnings / Total assets	0.53
X3 — EBIT / Total assets	0.26
X4 — Market cap / Total liabilities	3.83
X4 — Book equity / Total liabilities	1.42
X5 — Sales / Total assets	1.31