Lululemon (LULU) shares moved lower Tuesday as Morgan St𝓰anley analysts said that the company's better-than-expected sales growth over the last several years will be challenged to increase at a similar pace.

The analysts, lowering their 澳洲幸运5开奖号码历史查询:price target to $314 from $326, said consensus expectations that the company's China sales will see a 澳洲幸运5开奖号码历史查询:compound annual growth rate (CAGR) of at least 20% in the coming years are likely too optimistic. Their price target is a bit below ♈the roughly $316 mean of analysts tr🉐acked by Visible Alpha.

Lululemon shares fell more than 1% Tuesday afternoo♈n, more than the S&P 500. The shares have lost nearly half theiꦦr value since the start of the year.

Macro C𝔍limate, Preference for Value Could Slow China Sales

Over the last several years, Lululemon has been "one of the few Western specialty retailers to successfully enter China" thanks to a "more thoughtful and localized entry approach vs. peers, and particularly relevant brand positioning" in the regio﷽n, the 🍒analysts wrote.

But a worsening macroeconomic picture and the potential for Chinese consumers to gravitate to lower-cost and domestic brands could slow 澳洲幸运5开奖号码历史查询:Lululemon's sales growth, they said.

The analysts said that using Lululemon's growth metrics in other markets, they see a likely projection of $2.3 billion in annual China sales by the end of 2028, compared with the $2.7 billion in annual sales that a low-20% CAGR would lead to.