Will LULU beat earnings

Lululemon is expected to beat earnings, as the company's earnings per share (EPS) and revenue are projected to exceed the consensus estimates.

1. Analysts' Expectations: The estimated EPS for Lululemon in 2025 Q2 is $2.73, which represents a 7.91% increase from the same quarter of the previous year. The estimated revenue for the same period is $2.35 billion, indicating a 6.76% increase compared to the previous year's quarter.
2. Historical Performance: Lululemon's historical financials show strong net income growth, with a reported net income of $1.55 billion for 2024, a significant increase from the previous year. The company's diluted EPS for the quarter ending July 31, 2024, was $2.93, surpassing the previous year's EPS of $2.68.
3. Market Sentiment: Despite facing challenges such as competition and inventory issues, Lululemon's international growth and robust margins provide a positive market sentiment. The company's Power of Three ×2 growth plan and focus on international markets are expected to drive future growth.
4. Surprise Prediction: The Zacks Earnings ESP (Expected Surprise Prediction) is a tool that predicts the likelihood of a stock beating earnings estimates. Lululemon's Earnings ESP is currently not available, but the market's expectations for a positive EPS surprise suggest that the company is likely to beat expectations.

In conclusion, based on analysts' expectations, historical performance, and market sentiment, Lululemon is expected to beat earnings in 2025 Q2. Investors should monitor the company's international growth, product innovation, and inventory management as key factors that could influence future earnings.