Lululemon shares rose 4.2% in after-hours trading following CEO Calvin McDonald's surprise resignation, sparking debate over whether the stock presents a buy opportunity despite executive turnover. The move marks a pivotal moment for the apparel retailer amid ongoing market scrutiny.
- LULU stock rose 4.2% in after-hours trading following CEO Calvin McDonald’s resignation announcement.
- McDonald’s tenure saw Lululemon’s annual revenue grow from $2.5 billion (2020) to $3.7 billion (2025).
- The CEO’s resignation is effective March 31, 2026, with no successor publicly named.
- Lululemon operates 750 stores across 17 countries, with a market cap of approximately $62 billion as of December 2025.
- The company reported a 12% year-over-year revenue increase in Q3 2025, driven by strong North American and Asian markets.
- Analyst sentiment remains divided, with some citing potential near-term volatility while others see undervaluation at current levels.
Lululemon Athletica Inc. (LULU) saw its stock climb 4.2% in extended trading on December 21, 2025, shortly after CEO Calvin McDonald announced his resignation, effective March 31, 2026. The announcement came without a successor named, leaving investors to assess the company’s leadership stability and strategic direction. McDonald, who joined in 2020, oversaw a 47% revenue increase over his tenure, growing annual sales from $2.5 billion to $3.7 billion, and expanded the brand’s global footprint to 750 stores across 17 countries.