Lululemon has been stung by another product recall, though thankfully for the apparel retailer, this time it isn’t because its pants were deemed too see-through.
The yoga and running gear maker is recalling a women’s top that it sold for six years beginning in 2008 due to a hazard tied to the top’s elastic draw cord. The cord has a hard tip in the hood area of the top that can be pulled or caught on something and when released, it can snap back and result in injury, according to the U.S. Consumer Product Safety Commission.
Lululemon (LULU) sold about 133,000 of the tops in the U.S. and 185,000 in Canada. There have been seven reported injuries to customers face and eyes, the CPSC said. Details about the recall, and who to contact at Lululemon if a consumer wants to learn more about the tops affected by the recall, can be found here.
The recall is a small hiccup for the retailer as it aims to move away from quality concerns for its gear after some yoga pants were deemed too see-through. That product recall led to the firing of Lululemon’s chief product officer and after only a few months, the exit of the company’s then-CEO Christine Day.
But since then, sales have been consistently jumping and analysts have praised Lululemon as one of the key “winners” in the activewear market. Many Wall Street observers say that even with heightened competition from Nike (NKE), Under Armour (UA), and Gap’s (GPS) Athleta brand in the women’s apparel arena, Lululemon is still outpacing its competitors.
“The recall may result in some negative press in the near term, but fundamentally LULU is strong and aiding the gap versus competitors,” said Sterne Agee analyst Sam Poser. He said the recall wouldn’t materially affect the retailer’s financial results.
