lululemon athletica (NASDAQ:LULU) Trading Up 2.2% - Here's What Happened

Key Points

• lululemon athletica's stock rose 2.2% on Monday, trading at $173.41 with a trading volume 95% above the average daily volume.
• Several analysts have downgraded lululemon's stock ratings recently, including Bank of America, which reduced its price target from $210.00 to $185.00.
• The company reported a quarterly EPS of $3.10, exceeding estimates, but its revenue of $2.53 billion fell short of expectations.

lululemon athletica inc. (NASDAQ:LULU - Get Free Report) rose 2.2% on Monday . The stock traded as high as $174.18 and last traded at $173.41. 6,307,649 shares changed hands during trading, an increase of 95% from the average daily volume of 3,242,441 shares. The stock had previously closed at $169.62.

Wall Street Analyst Weigh In

Several equities analysts have issued reports on LULU shares. Bank of America dropped their price objective on shares of lululemon athletica from $210.00 to $185.00 and set a "neutral" rating on the stock in a research note on Friday, September 12th. KeyCorp downgraded shares of lululemon athletica from an "overweight" rating to a "sector weight" rating in a report on Tuesday, September 9th. Hsbc Global Res downgraded shares of lululemon athletica from a "strong-buy" rating to a "hold" rating in a report on Thursday, September 11th. Zacks Research downgraded shares of lululemon athletica from a "hold" rating to a "strong sell" rating in a report on Monday, September 8th. Finally, Truist Financial downgraded shares of lululemon athletica from a "buy" rating to a "hold" rating and set a $170.00 target price on the stock. in a report on Friday, September 5th. One research analyst has rated the stock with a Strong Buy rating, six have assigned a Buy rating, twenty-three have given a Hold rating and three have assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, lululemon athletica has an average rating of "Hold" and an average price target of $235.67.

lululemon athletica Stock Performance

The stock's 50-day moving average price is $197.38 and its 200-day moving average price is $251.19. The company has a market capitalization of $20.56 billion, a price-to-earnings ratio of 11.79, a P/E/G ratio of 10.59 and a beta of 1.12.

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

Insider Buying and Selling at lululemon athletica

In other news, CEO Calvin Mcdonald sold 27,049 shares of the company's stock in a transaction 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 sale, the chief executive officer directly owned 110,564 shares in the company, valued at $26,058,829.16. This represents a 19.66% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.54% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the company. Sandler Capital Management acquired a new position in lululemon athletica in the 1st quarter valued at about $484,000. Twin Capital Management Inc. raised its stake in lululemon athletica by 58.3% in the 1st quarter. Twin Capital Management Inc. now owns 3,676 shares of the apparel retailer's stock valued at $1,041,000 after purchasing an additional 1,354 shares during the last quarter. Narwhal Capital Management raised its stake in lululemon athletica by 262.7% in the 1st quarter. Narwhal Capital Management now owns 18,777 shares of the apparel retailer's stock valued at $5,315,000 after purchasing an additional 13,600 shares during the last quarter. Sawgrass Asset Management LLC acquired a new position in lululemon athletica in the 1st quarter valued at about $9,209,000. Finally, WealthPlan Investment Management LLC raised its stake in lululemon athletica by 26.9% in the 1st quarter. WealthPlan Investment Management LLC now owns 7,647 shares of the apparel retailer's stock valued at $2,165,000 after purchasing an additional 1,622 shares during the last quarter. Institutional investors and hedge funds own 85.20% of the company's stock.

lululemon athletica Company Profile

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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