Elliott Management Takes $1 Billion Stake In Lululemon, Proposes Former Ralph Lauren Executive As New CEO: Report - BP (NYSE:BP), Lululemon Athletica (NASDAQ:LULU)

Group 1 - Activist investor Elliott Investment Management has acquired an over $1 billion stake in Lululemon Athletica and is proposing a new CEO to help the company recover from recent struggles [1][2] - Elliott is collaborating with Jane Nielsen, a former CFO and COO at Ralph Lauren, as a potential CEO candidate for Lululemon [2][3] - Lululemon's market value is approximately $25 billion, and Elliott is now one of the largest investors in the company [2] Group 2 - Lululemon recently announced the resignation of CEO Calvin McDonald after seven years, and the company is under pressure to address issues related to product quality and brand image [4] - Founder and largest shareholder Chip Wilson has criticized the board for failing to effectively plan for the company's future and succession [4] - Despite sluggish North American sales, Lululemon reported a strong Q3 earnings beat and raised its full-year outlook, driven by a 33% surge in international sales [5] Group 3 - Lululemon has faced criticism for moving away from its yoga-inspired roots, leading to a decline in comparable sales, which analysts warn could pose risks to the business [6] - Investor Michael Burry has identified Lululemon as a high-conviction contrarian pick, expressing confidence in its potential for significant growth in the coming years [7] - Benzinga's Edge Rankings place Lululemon in the 9th percentile for quality and the 78th percentile for growth, indicating mixed performance [7]