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Lululemon stock falls on raised guidance

Key Points

  • Sports apparel maker Lululemon raised its fourth-quarter 2023 EPS and revenue guidance on stronger-than-expected holiday sales, but shares triggered a sell-the-news reaction.
  • Lululemon continued its margin expansion, raising Q4 2023 gross margin forecasts of 6% to 58.7%, up from 58.3% to 58.6%.
  • Lululemon is down 5.6% year-to-date (YTD) and trades at 39X forward earnings with a 3.24% short interest.
  • 5 stocks we like better than Lululemon Athletica

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Jea Yu
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Jea Yu

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Companies Mentioned in This Article

CompanyMarketRank™Current PricePrice ChangeDividend YieldP/E RatioConsensus RatingConsensus Price Target
Lululemon Athletica (LULU)
4.7422 of 5 stars
$317.86-1.6%N/A25.49Moderate Buy$437.74
Under Armour (UAA)
3.488 of 5 stars
$6.91-0.4%N/A12.80Reduce$7.32
NIKE (NKE)
4.0519 of 5 stars
$96.55+0.9%1.53%28.40Moderate Buy$116.26
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