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Lululemon’s forecast sinks shares, amid ‘ongoing macro uncertainties’ - MarketWatch

1. Lululemon forecasts 2023 sales below analysts’ expectations. 2. Shares dropped 7.8% in after-hours trading. 3. Fourth-quarter sales reached $3.61 billion, a 13% increase year-over-year. 4. CEO highlights product innovation, CFO notes macroeconomic uncertainties. 5. Company stock down 12.6% over the past year.

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FAQ

Why Bearish?

The downward sales forecast signals financial challenges. Historically, lower guidance often triggers stock price drops.

How important is it?

The sales forecast and stock reaction directly impact investor perception and trading strategies.

Why Short Term?

Immediate reactions in after-hours indicate rapid price sensitivity to earnings guidance. Same-day or next-day trading may reflect continued bearish sentiment.

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