Lululemon Athletica led the decline, with its stock plummeting 18% to $99.48. The company cited ongoing stagnation in core product sales, marking the second time this year it has lowered its guidance. This trend of cooling demand extended to Oxford Industries, which saw its shares drop 15% to $31.25 following a notable sales slump in its Lilly Pulitzer brand.

Software firm eGain also faced investor scrutiny after issuing a fiscal-year forecast that failed to meet Wall Street expectations, causing shares to slide 23% to $5.47. Conversely, American Outdoor Brands served as an outlier in the market. Its shares surged 24% to $12.45 after the company reported quarterly sales figures that comfortably exceeded analyst projections.