lululemon athletica Target of Unusually Large Options Trading (NASDAQ:LULU)

Key Points

• Stock traders significantly increased their activity in lululemon athletica put options, purchasing 173,041 contracts, which is up 174% from the typical volume.
• CEO Calvin McDonald sold 27,049 shares of the company's stock, a transaction valued at over $6.3 million, which reduced his ownership by 19.66%.
• Equities analysts have adjusted their price targets downward for lululemon, with Bank of America setting a new target of $210.00, indicating a cautious outlook on the stock.

lululemon athletica inc. (NASDAQ:LULU - Get Free Report) was the recipient of some unusual options trading on Thursday. Traders acquired 173,041 put options on the stock. This is an increase of 174% compared to the average volume of 63,060 put options.

Wall Street Analyst Weigh In

Several research analysts recently weighed in on LULU shares. Evercore ISI reissued an "in-line" rating and set a $180.00 price target (down from $265.00) on shares of lululemon athletica in a research report on Friday, September 5th. UBS Group lowered their target price on lululemon athletica from $240.00 to $185.00 and set a "neutral" rating on the stock in a research note on Friday, September 5th. Needham & Company LLC lowered their target price on lululemon athletica from $238.00 to $192.00 and set a "buy" rating on the stock in a research note on Friday, September 5th. Jefferies Financial Group lowered their target price on lululemon athletica from $160.00 to $150.00 and set an "underperform" rating on the stock in a research note on Tuesday, September 2nd. Finally, Citigroup lowered their target price on lululemon athletica from $220.00 to $190.00 and set a "neutral" rating on the stock in a research note 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 two have assigned a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and a consensus price target of $242.24.

Insiders Place Their Bets

In related 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 transaction of $6,375,178.81. Following the transaction, the chief executive officer directly owned 110,564 shares of the company's stock, valued at approximately $26,058,829.16. The trade was a 19.66% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.54% of the company's stock.

Institutional Investors Weigh In On lululemon athletica

Several hedge funds and other institutional investors have recently modified their holdings of LULU. N.E.W. Advisory Services LLC bought a new position in lululemon athletica during the first quarter valued at about $25,000. Cornerstone Planning Group LLC grew its holdings in shares of lululemon athletica by 506.3% during the 1st quarter. Cornerstone Planning Group LLC now owns 97 shares of the apparel retailer's stock worth $26,000 after purchasing an additional 81 shares in the last quarter. Flaharty Asset Management LLC acquired a new stake in shares of lululemon athletica during the 1st quarter worth approximately $29,000. Blue Trust Inc. grew its holdings in shares of lululemon athletica by 96.8% during the 2nd quarter. Blue Trust Inc. now owns 124 shares of the apparel retailer's stock worth $29,000 after purchasing an additional 61 shares in the last quarter. Finally, Trust Co. of Toledo NA OH acquired a new stake in shares of lululemon athletica during the 2nd quarter worth approximately $30,000. Institutional investors and hedge funds own 85.20% of the company's stock.

lululemon athletica Trading Down 3.6%

NASDAQ LULU traded down $5.91 during trading on Friday, hitting $159.87. 7,990,753 shares of the company traded hands, compared to its average volume of 6,675,882. lululemon athletica has a 12 month low of $159.75 and a 12 month high of $423.32. The business has a fifty day simple moving average of $204.62 and a 200 day simple moving average of $259.16. The company has a market capitalization of $19.16 billion, a P/E ratio of 10.87, a PEG ratio of 6.83 and a beta of 1.12.

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

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.