Lululemon shares plunge as Trump tariffs bite
Lululemon shares have plunged by more than 20% after it cut its annual profit forecast, as the company navigates tariffs and fears about the US economy slowing.
"We experienced lower store traffic in the Americas, partially reflective of economic uncertainty, inflationary pressures, lower consumer confidence, and changes in discretionary spending," Lululemon said in a statement.
The athleisure brand joins a growing list of big companies to warn about the impact of US President Donald Trump's trade policies.
The Trump administration's approach to tariffs has triggered concerns over rising prices and a weakening economy.
"We are planning to take strategic price increases... on a small portion of our assortment, and they will be modest in nature," Lululemon's finance chief Meghan Frank said.
The company also said it will cut costs and negotiate with its vendors.
Last year, 40% of its products were made in Vietnam, and 28% of its fabrics came from mainland China.
Clothing and footwear brands are among the businesses hit hardest by tariffs as they make goods in Asian countries, which have faced steep levies from the US.
In April, sportswear giant Adidas warned that import taxes imposed by Trump will lead to higher prices in the US for popular trainers including the Gazelle and Samba.
"Since we currently cannot produce almost any of our products in the US, these higher tariffs will eventually cause higher costs for all our products for the US market," chief executive Bjorn Gulden said.
Also in April, footwear maker Skechers withdrew its annual results forecast, citing economic uncertainty.
"The current environment is simply too dynamic from which to plan results with a reasonable assurance of success," Skechers' chief operating officer, David Weinberg, told investors in a post-earnings call.
Last month, Nike said it would raise prices on some trainers and clothing in the US from early June.
The sportswear giant did not name US tariffs explicitly as a reason for the increase, saying it regularly made "price adjustments".
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
33 minutes ago
- Yahoo
NGL Energy Partners (NGL): Among the Energy Stocks that Gained This Week
The share price of NGL Energy Partners LP (NYSE:NGL) surged by 12.73% between May 29 and June 5, 2025, putting it among the Energy Stocks that Gained the Most This Week. Let's shed some light on the development. A pipeline stretching through a desert valley, a symbol of the companies transportation infrastructure. NGL Energy Partners LP (NYSE:NGL) is a diversified midstream MLP that provides multiple services to producers and end-users, including transportation, storage, blending, and marketing of crude oil, NGLs, refined products/renewables, and water solutions. NGL Energy Partners LP (NYSE:NGL) received a boost after posting strong results for its Q4 2025 last week, highlighting strong performance in its Water Solutions segment and successful asset sales that have led to significant debt reduction. The company reported an income from continuing operations of $65 million for FY 2025, compared to a loss from continuing operations of $157.7 million the previous year. NGL's adjusted EBITDA for FY 2025 came in at $622.9 million, surpassing its previous guidance of $620 million. NGL Energy Partners LP (NYSE:NGL) recently executed the sale of 18 natural gas liquids terminals and monetized several other non-core assets, helping the company optimize its asset portfolio and strengthen its balance sheet. While we acknowledge the potential of NGL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 10 Cheap Energy Stocks to Buy Now and Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
San Francisco Chronicle
34 minutes ago
- San Francisco Chronicle
Points of Light, founded by the Bush family, aims to double American volunteerism by 2035
NEW ORLEANS (AP) — The Bush family's nonprofit Points of Light will lead an effort to double the number of people who volunteer with U.S. charitable organizations from 75 million annually to 150 million in 10 years. The ambitious goal, announced in New Orleans at the foundation's annual conference, which concluded Friday, would represent a major change in the way Americans spend their time and interact with nonprofits. It aspires to mobilize people to volunteer with nonprofits in the U.S. at a scale that only federal programs like AmeriCorps have in the past. It also coincides with deep federal funding cuts that threaten the financial stability of many nonprofits and with an effort to gut AmeriCorps programs, which sent 200,000 volunteers all over the country. A judge on Wednesday paused those cuts in some states, which had sued the Trump administration. Jennifer Sirangelo, president and CEO of Points of Light, said that while the campaign has been in development well before the federal cuts, the nonprofit's board members recently met and decided to move forward. 'What our board said was, 'We have to do it now. We have to put the stake in the ground now. It's more important than it was before the disruption of AmeriCorps,'' she said in an interview with The Associated Press. She said the nonprofit aims to raise and spend $100 million over the next three years to support the goal. Points of Light, which is based in Atlanta, was founded by President George H.W. Bush to champion his vision of volunteerism. It has carried on his tradition of giving out a daily award to a volunteer around the country, built a global network of volunteer organizations and cultivated corporate volunteer programs. Speaking Wednesday in New Orleans, Points of Light's board chair Neil Bush told the organization's annual conference that the capacity volunteers add to nonprofits will have a huge impact on communities. 'Our mission is to make volunteering and service easier, more impactful, more sustained," Bush said. "Because, let's be honest, the problems in our communities aren't going to fix themselves.' According to data from the U.S. Census Bureau and AmeriCorps, the rate of participation has plateaued since 2002, with a noticeable dip during the pandemic. Susan M. Chambré, professor emerita at Baruch College who studied volunteering for decades, said Points of Light's goal of doubling the number of volunteers was admirable but unrealistic, given that volunteer rates have not varied significantly over time. But she said more research is needed into what motivates volunteers, which would give insight into how to recruit people. She also said volunteering has become more transactional over time, directed by staff as opposed to organized by volunteers themselves. In making its case for increasing volunteer participation in a recent report, Points of Light drew on research from nonprofits like Independent Sector, the National Alliance for Volunteer Engagement and the Do Good Institute at the University of Maryland. Sirangelo said they want to better measure the impact volunteers make, not just the hours they put in, for example. They also see a major role for technology to better connect potential volunteers to opportunities, though they acknowledge that many have tried to do that through apps and online platforms. Reaching young people will also be a major part of accomplishing this increase in volunteer participation. Sirangelo said she's observed that many young people who do want to participate are founding their own nonprofits rather than joining an existing one. 'We're not welcoming them to our institutions, so they have to go found something,' she said. 'That dynamic has to change.' As the board was considering this new goal, they reached out for advice to Alex Edgar, who is now the youth engagement manager at Made By Us. They ultimately invited him to join the board as a full voting member and agreed to bring on a second young person as well. 'I think for volunteering and the incredible work that Points of Light is leading to really have a deeper connection with my generation, it needs to be done in a way that isn't just talking to or at young people, but really co-created across generations,' said Edgar, who is 21. Karmit Bulman, who has researched and supported volunteer engagement for many years, said she was very pleased to see Points of Light make this commitment. 'They are probably the most well known volunteerism organization in the country and I really appreciate their leadership,' said Bulman, who is currently the executive director of East Side Learning Center, a nonprofit in St. Paul. Bulman said there are many people willing to help out in their communities but who are not willing to jump through hoops to volunteer with a nonprofit. 'We also need to recognize that it's a pretty darn stressful time in people's lives right now,' she said. "There's a lot of uncertainty personally and professionally and financially for a lot of people. So we need to be really, really flexible in how we engage volunteers." ___
Newsweek
34 minutes ago
- Newsweek
Trump Responds To Elon Musk's Comments About A 'New Political Party'
Based on facts, either observed and verified firsthand by the reporter, or reported and verified from knowledgeable sources. Newsweek AI is in beta. Translations may contain inaccuracies—please refer to the original content. President Donald Trump weighed in Friday on billionaire Elon Musk's threat to form a new political party to challenge Democrats and Republicans. The Context Trump and Musk had a high-profile alliance during the 2024 campaign and during the first few months of Trump's second term, with Musk spending millions of dollars to help Trump get elected in November and Trump later tapping him to lead the Department of Government Efficiency (DOGE). But their relationship has devolved in the last several days, as Musk excoriated the Trump-backed "One Big Beautiful Bill Act" as "outrageous" and "pork-filled," adding that it's a "disgusting abomination." Trump hit back at his onetime close ally, saying Musk has gone "crazy," accusing him of having "Trump derangement syndrome" and threatening the cancel government contracts with Musk's companies. What To Know The SpaceX CEO on Thursday floated the idea of forming a "new political party in America that "actually represents the 80% in the middle." Fox News reported on Friday that Trump responded to Musk's comments in a phone call with Fox News host Bret Baier, saying he's not worried about the threat. "Trump is not interested in talking to Elon," Fox News host and Trump's former press secretary Kayleigh McEnany said on the network while summarizing the phone call. "Trump is not worried about threats of a third party ... President Trump also pointed to his favorable polls and his strong support among Capitol Hill Republicans." Fox is reporting that Bret Baier just spoke with Trump and Trump said he is not interested in speaking with Elon Musk. Trump also said: Elon Musk has totally lost it — Acyn (@Acyn) June 6, 2025 The White House confirmed Friday that Trump has no plans to contact Musk. Trump also plans to sell the Tesla he bought earlier this year, which was once showcased on the White House lawn as a symbol of the president's alignment with Musk. This story is developing and will be updated as more information becomes available.
