Lululemon has been poised for a comeback; Wells Fargo analysts have stated that Lululemon has been improving its design, production, and supply chain.
But the company faces steep competition.
Over the past few years, the athleisure market has become incredibly popular. Everyone is trying to cash on it, from Dick's Sporting Goods to Nike.
And Lululemon still has its troubled history; customers were furious when founder Chip Wilson commented in 2013 that his pants didn't work for everyone.
These companies could make it harder for the company to hold such a large portion of the market share.
Some companies, like Gap's Athleta and Nike, are huge. Others are more niche brands that can be ordered online.
Under Armour
Under Armour is arguably Lululemon's biggest threat. The company has explicitly stated that it wants to focus on growing its women's business. CEO Kevin Plank said that he wanted to make its women's business bigger than its men's, which would thereby make the company completely usurp Lululemon's stronghold on women's athletic apparel.
Under Armour also has the added benefit of having supermodel Gisele Bundchen and star ballerina Misty Copeland as faces of the brand.
Nike
Nike has been making huge efforts to boost its women's business. Its #BetterForIt campaign has been paying off.
With its ubiquitous store presence and its status as the biggest apparel retailer in the United States, Nike has the opportunity to hook customers who Lululemon can't even reach yet.
Yogasmoga
Yogasmoga was founded by brother-sister pair Rishi and Tapasya Bali. Although the company's clothes have high price points similar to Lululemon's, the company prides itself on being a more authentic yoga apparel company.
"While other companies use Yoga as a marketing tool, we are yoga company that makes things for life, and this difference in philosophy makes us operate at a much higher level than any of our competition and have a deeper connection with our customer," Bali told Business Insider's Maya Kosoff in April. "Our authentic connection to yoga helps us understand the needs of our customers and make a very luxurious product that stands up to the demands of the consumer."
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