Lululemon Athletica

Under Calvin McDonald, revenue roughly tripled since 2018, but FY2025 U.S. softness and product execution issues prompted a leadership transition. The board named interim co‑CEOs and expanded repurchases while launching a CEO search focused on product‑led growth.

We credit execution discipline and transparency on tariffs, but score management slightly below Lululemon’s business quality until a permanent CEO delivers a clear reacceleration in the U.S. core.