lululemon athletica (NASDAQ:LULU) Stock Rating Lowered by KeyCorp

Key Points

• KeyCorp has downgraded lululemon athletica's stock rating from "overweight" to "sector weight," reflecting a more cautious outlook.
• Analysts from Jefferies Financial Group and BMO Capital Markets have also reduced their price targets for the stock, indicating growing concerns about its performance.
• Lululemon's recent quarterly earnings report showed a slight increase in revenue but a decline in earnings per share compared to last year, contributing to the negative sentiment among analysts.

lululemon athletica (NASDAQ:LULU - Get Free Report) was downgraded by investment analysts at KeyCorp from an "overweight" rating to a "sector weight" rating in a report released on Tuesday, MarketBeat Ratings reports.

A number of other equities research analysts have also issued reports on LULU. Jefferies Financial Group reduced their price target on lululemon athletica from $160.00 to $150.00 and set an "underperform" rating on the stock in a research report on Tuesday, September 2nd. BMO Capital Markets dropped their price objective on lululemon athletica from $302.00 to $250.00 and set a "market perform" rating on the stock in a report on Friday, June 6th. Truist Financial downgraded lululemon athletica from a "buy" rating to a "hold" rating and set a $170.00 price objective on the stock. in a report on Friday. William Blair downgraded lululemon athletica from an "outperform" rating to a "market perform" rating in a report on Friday. Finally, Sanford C. Bernstein dropped their price objective on lululemon athletica from $350.00 to $220.00 and set an "outperform" rating on the stock in a report on Friday. One analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, twenty-one have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of "Hold" and a consensus price target of $245.79.

lululemon athletica Stock Performance

Shares of LULU opened at $168.10 on Tuesday. The stock has a 50 day moving average price of $211.25 and a 200 day moving average price of $263.34. The stock has a market capitalization of $20.15 billion, a price-to-earnings ratio of 11.43, a PEG ratio of 1.60 and a beta of 1.12. lululemon athletica has a one year low of $162.80 and a one year high of $423.32.

lululemon athletica (NASDAQ:LULU - Get Free Report) last released its quarterly earnings data on Thursday, September 4th. The apparel retailer reported $3.10 earnings per share for the quarter, topping analysts' consensus estimates of $2.86 by $0.24. lululemon athletica had a return on equity of 42.05% and a net margin of 16.38%.The company had revenue of $2.53 billion for the quarter, compared to analyst estimates of $2.55 billion. During the same quarter in the previous year, the company posted $3.15 earnings per share. The firm's revenue for the quarter was up 6.5% compared to the same quarter last year. lululemon athletica has set its FY 2025 guidance at 12.770-12.970 EPS. Q3 2025 guidance at 2.180-2.230 EPS. On average, analysts predict that lululemon athletica will post 14.36 earnings per share for the current year.

Insider Buying and Selling at lululemon athletica

In other lululemon athletica news, CEO Calvin Mcdonald sold 27,049 shares of lululemon athletica stock in a transaction that occurred on Friday, June 27th. The stock was sold at an average price of $235.69, for a total value of $6,375,178.81. Following the transaction, the chief executive officer directly owned 110,564 shares in the company, valued at approximately $26,058,829.16. This trade represents a 19.66% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Company insiders own 0.54% of the company's stock.

Institutional Trading of lululemon athletica

Several hedge funds have recently modified their holdings of LULU. Norges Bank acquired a new stake in shares of lululemon athletica in the 2nd quarter valued at approximately $217,344,000. GAMMA Investing LLC raised its holdings in lululemon athletica by 37,062.1% during the first quarter. GAMMA Investing LLC now owns 563,006 shares of the apparel retailer's stock worth $159,364,000 after purchasing an additional 561,491 shares during the last quarter. T. Rowe Price Investment Management Inc. raised its holdings in lululemon athletica by 151.6% during the first quarter. T. Rowe Price Investment Management Inc. now owns 770,336 shares of the apparel retailer's stock worth $218,052,000 after purchasing an additional 464,186 shares during the last quarter. Nuveen LLC acquired a new position in lululemon athletica during the first quarter worth $123,894,000. Finally, Geode Capital Management LLC raised its holdings in lululemon athletica by 16.2% during the second quarter. Geode Capital Management LLC now owns 2,960,387 shares of the apparel retailer's stock worth $700,502,000 after purchasing an additional 413,062 shares during the last quarter. 85.20% of the stock is owned by institutional investors and hedge funds.

About lululemon athletica

Lululemon Athletica Inc, together with its subsidiaries, designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. It offers pants, shorts, tops, and jackets for healthy lifestyle, such as yoga, running, training, and other activities. It also provides fitness-inspired accessories.

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