RTO
Rentokil Initial plc
stock NYSE ADR

It will be an RTO, this is the whole reason for the cash war chest; it is a complicated process with a lot of moving parts, but smaller companies do buy bigger ones.
Obviously there will be a share deal and debt, and votes; but this deal totally makes sense for a myriad of reasons!

Take your pick:
1. If LULU clothes are well made, people need to buy replacements less often. If quality has declined, however, then fewer people will buy an inferior product at the same or higher prices. They’ll shop elsewhere. This was always going to be a factor causing a ceiling effect on the brand.
2. If LULU was a must have brand, LULU redditors wouldn’t be waiting on sales. The people who literally congregate in a clothing subreddit aren’t rushing to buy particular items, colors, styles, etc. They’re waiting for something really special or a deal. If your most loyal fans don’t even want to pay full price, good luck convincing anyone else. Them staying on the sidelines confirms nothing special is being made.
3. In a previous press release, LULU talked about how they needed to be innovative again. They were no longer making trendsetting clothes. They decided to sue Costco for their version of leggings, which ultimately backfired. People wanted to then buy the Costco leggings that were legitimized as good enough for a fraction of the price. Ultimately, LULU illustrated there is nothing premium about the brand anymore. Therefore people don’t want to pay premium prices.
4. Consumer discretionary and apparel sector is very cyclical and boom and bust. In a recession, people are not going to buy LULU if they can’t make ends meet. The return to office mandates are eating into a key demographic that caused them to soar during Covid. These office workers either have LULU already or don’t see the need to buy premium clothing to be comfy working from home. If they work out less/are less physically active because of RTO, then there’s less need to buy more LULU.
5. Margin and revenue hits. Tariffs, competition, changing consumer spending, higher wages, higher oil prices
,
1. and various other things have led to margins not being worth the stock price. This is especially true for investors who are bearish on the overall stock market. They don’t see a premium clothing brand being the safe haven if things get dicey.
LULU most likely won’t always be in a downtrend. But I don’t think you’ll ever see a new ATH out of them either.

RTO? You mean Return to Orifice?

It will be an RTO, this is the whole reason for the cash war chest; it is a complicated process with a lot of moving parts, but smaller companies do buy bigger ones.
Obviously there will be a share deal and debt, and votes; but this deal totally makes sense for a myriad of reasons!

Take your pick:
1. If LULU clothes are well made, people need to buy replacements less often. If quality has declined, however, then fewer people will buy an inferior product at the same or higher prices. They’ll shop elsewhere. This was always going to be a factor causing a ceiling effect on the brand.
2. If LULU was a must have brand, LULU redditors wouldn’t be waiting on sales. The people who literally congregate in a clothing subreddit aren’t rushing to buy particular items, colors, styles, etc. They’re waiting for something really special or a deal. If your most loyal fans don’t even want to pay full price, good luck convincing anyone else. Them staying on the sidelines confirms nothing special is being made.
3. In a previous press release, LULU talked about how they needed to be innovative again. They were no longer making trendsetting clothes. They decided to sue Costco for their version of leggings, which ultimately backfired. People wanted to then buy the Costco leggings that were legitimized as good enough for a fraction of the price. Ultimately, LULU illustrated there is nothing premium about the brand anymore. Therefore people don’t want to pay premium prices.
4. Consumer discretionary and apparel sector is very cyclical and boom and bust. In a recession, people are not going to buy LULU if they can’t make ends meet. The return to office mandates are eating into a key demographic that caused them to soar during Covid. These office workers either have LULU already or don’t see the need to buy premium clothing to be comfy working from home. If they work out less/are less physically active because of RTO, then there’s less need to buy more LULU.
5. Margin and revenue hits. Tariffs, competition, changing consumer spending, higher wages, higher oil prices
,
1. and various other things have led to margins not being worth the stock price. This is especially true for investors who are bearish on the overall stock market. They don’t see a premium clothing brand being the safe haven if things get dicey.
LULU most likely won’t always be in a downtrend. But I don’t think you’ll ever see a new ATH out of them either.

RTO? You mean Return to Orifice?

Certainly one way to get people on board with RTO

This is why Jamie Dimon was adamant about RTO. It’s so hard to sexually harass subordinates when everyone is remote. How else are their VPs supposed to get their rocks off if they force employees to fuck them?

"Sir, your speech must have worked. Everyone wants to RTO now."

Lean FIREd 3 years ago thanks to RTO, now in my late 30s. AMD initially doubled my retirement savings which allowed me to make bigger plays elsewhere, but kind of wish I was less diverse and just stuck with the 4k shares I had between 3 and 6 dollars. I took profits along the way. Actually holding when you're up big money is a lot harder than it looks!

Yes this is definitely the case for people who work fully onsite/in office and can’t be on their personal laptop during the day. I rely on the Fidelity app and trade frequently. Literally the entire trading period is spent going to, being at, coming from… work. It’s a shame that some companies are needlessly requiring employees to RTO five days a week….

Yeah HR dress coded me for my Jason mask
Seriously though if some corpo got in my face about wearing a mask at the office when I was sick under RTO mandate I would cough in his face, bleed in his eyes *Fight Club* style, and feed them my own shit

Voted best place to RTO