Stock Movers Closing Bell: Cannabis Stocks Fall, Birkenstock Drops, Lululemon Surges
Dec 18, 2025
Cannabis stocks dipped after Trump's executive order reclassifying marijuana, but it didn't legalize recreational sales. Birkenstock's shares dropped due to sluggish sales growth predictions linked to a weak dollar and tariffs. In contrast, Lululemon's stock soared after Elliott Investment Management acquired a significant stake, hinting at leadership changes. The hosts also highlighted strong demand for Micron driven by AI and discussed broader market reactions to economic data, including potential gains for the S&P.
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Episode notes
AI Demand Fuels Micron's Surge
- Micron's upbeat forecast reflected surging demand for AI computing components and tight supply.
- The stock jumped as revenue growth and margin expansion signaled strong appetite for memory chips.
Activist Stake Sparks Lululemon Rally
- Elliott's >$1B stake in Lululemon signals activist pressure and potential leadership change.
- The market responded with a sharp rally as investors priced in strategic overhaul and a CEO replacement possibility.
Lululemon Faces Growth Pressure
- Lululemon faces slowing growth and heavy short interest despite the activist stake.
- Competition and a roughly 50% year-to-date decline frame why Elliott may seek management changes.