GoKawiilLululemon shares sink 20% on weak Q2 sales; Zscaler beats estimates
Lululemon reported a 4% revenue decline and 9% drop in comparable sales for its second fiscal quarter, sending shares down over 20%. Interim CEO Meghan Frank pointed to negative social media chatter and slower-than-expected demand for core products like leggings, ahead of incoming CEO Heidi O'Neill's start next week. Meanwhile, cybersecurity firm Zscaler topped fourth-quarter expectations with revenue up 25% year-over-year, though its stock has lagged industry peers despite rising AI-related security demand.
GoKawiil's interpretation of the reporting above, not reported fact.
Lululemon's steep slide signals mounting pressure on premium retailers as consumer sentiment and social media perception increasingly sway spending on discretionary apparel. Zscaler's results highlight how AI adoption is reshaping cybersecurity budgets, yet its underperformance versus peers shows investors remain selective even within booming sectors.
- Lululemon stock dropped over 20% after weak Q2 revenue and same-store sales figures.
- Zscaler beat Q4 estimates with 25% revenue growth, driven by AI-related cybersecurity demand.
- Leadership transitions loom for Lululemon as Heidi O'Neill takes over as CEO next week.
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See Lululemon Align Yoga Pants on Amazon → Affiliate link — we may earn a commission on purchases, at no extra cost to you. Product picked by AI based on this article; it is not a tested recommendation.Source: cnbc.com — Alex Harring, 2026-09-04
Published there as: “The jobs report, Lululemon earnings, the NFL heads to Australia and more in Morning Squawk”
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