lululemon(US:LULU) Prnewswire·2024-09-17 16:25Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Lululemon Athletica Inc. due to allegations of federal securities law violations, particularly regarding misleading statements about the company's performance and inventory issues [2][3]. Group 1: Legal Investigation and Class Action - The firm is reminding investors of the October 7, 2024 deadline to seek the role of lead plaintiff in a federal securities class action against Lululemon [2]. - Investors who suffered losses exceeding $100,000 between December 7, 2023, and July 24, 2024, are encouraged to contact the firm to discuss their legal rights [1][2]. Group 2: Allegations Against Lululemon - The complaint alleges that Lululemon and its executives made false or misleading statements regarding inventory allocation and product performance, particularly the Breezethrough product launch [3]. - It is claimed that these issues led to stagnating sales in the Americas region, with net revenue growth of only 9% in the fourth quarter and 12% for the fiscal year 2023, significantly lower than the previous year's growth of 29% [4]. Group 3: Stock Price Impact - Following the announcement of stagnating sales, Lululemon's stock price fell by $75.65, or 15.80%, closing at $403.19 per share on March 22, 2024 [4]. - On July 24, 2024, further reports on inventory issues caused the stock price to drop by $9.31, or 3.3%, closing at $272.06 per share [5]. - After a decision to pause sales of the Breezethrough yoga wear, the stock price fell by $24.74, or 9.09%, closing at $247.32 per share on July 25, 2024 [5].