Lululemon Athletica Inc. (LULU) Rating Increased to Hold at Zacks Investment Research
Lululemon Athletica Inc. (NASDAQ:LULU) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research report issued on Monday.
According to Zacks, “Lululemon remains prone to unfavorable currency movements, which also played spoilsport in the fiscal second quarter 2016. Despite a heartening outlook for the fiscal and the third quarter, the persistence of currency woes can hurt future results. Moreover, the fading popularity of athleisure wear is likely to take a toll on the company’s performance as denims are back in vogue with new styles and patterns attracting shoppers. Intense competition from other players also remains a headwind. However, estimates have been stable lately, ahead of the company's third quarter earnings release. Also, Lululemon exhibits immense long-term growth opportunity based on its potential to expand square footage and enhance its business globally. The company’s new strategy that outlines four major areas of growth, aimed at doubling revenue and more than doubling earnings by 2020, also bodes well.”
Other equities research analysts have also recently issued reports about the company. MKM Partners reissued a “buy” rating and set a $90.00 price objective (up from $82.00) on shares of Lululemon Athletica in a research note on Tuesday, August 30th. Citigroup Inc. reduced their price objective on Lululemon Athletica from $89.00 to $85.00 and set a “buy” rating on the stock in a research note on Friday, September 2nd. Jefferies Group reissued a “buy” rating on shares of Lululemon Athletica in a research note on Monday, August 1st. Piper Jaffray Cos. raised Lululemon Athletica from a “hold” rating to a “buy” rating in a research note on Friday, September 9th. Finally, Wells Fargo & Co. reissued a “buy” rating on shares of Lululemon Athletica in a research note on Thursday, October 6th. Five research analysts have rated the stock with a sell rating, twelve have given a hold rating, twenty-two have assigned a buy rating and one has issued a strong buy rating to the company. Lululemon Athletica currently has an average rating of “Hold” and a consensus price target of $70.01.
Lululemon Athletica (NASDAQ:LULU) opened at 58.32 on Monday. The stock has a market cap of $7.99 billion, a PE ratio of 29.92 and a beta of 0.46. Lululemon Athletica has a 1-year low of $44.62 and a 1-year high of $81.81. The stock has a 50 day moving average price of $56.95 and a 200-day moving average price of $67.46.
WARNING: This piece was first published by Financial Market News and is the sole property of of Financial Market News. If you are viewing this piece on another publication, it was illegally stolen and reposted in violation of U.S. and international copyright and trademark laws. The correct version of this piece can be accessed at http://www.financial-market-news.com/lululemon-athletica-inc-lulu-rating-increased-to-hold-at-zacks-investment-research/1209855/.
A number of hedge funds have recently bought and sold shares of the stock. Jennison Associates LLC increased its stake in Lululemon Athletica by 761.4% in the second quarter. Jennison Associates LLC now owns 6,234,712 shares of the apparel retailer’s stock valued at $460,496,000 after buying an additional 5,510,939 shares during the period. Lone Pine Capital LLC increased its stake in Lululemon Athletica by 42.9% in the second quarter. Lone Pine Capital LLC now owns 7,410,304 shares of the apparel retailer’s stock valued at $547,325,000 after buying an additional 2,224,220 shares during the period. Two Sigma Advisers LP increased its stake in Lululemon Athletica by 410.1% in the third quarter. Two Sigma Advisers LP now owns 882,648 shares of the apparel retailer’s stock valued at $53,824,000 after buying an additional 709,600 shares during the period. Schroder Investment Management Group bought a new stake in Lululemon Athletica during the second quarter valued at $39,857,000. Finally, First Trust Advisors LP bought a new stake in Lululemon Athletica during the second quarter valued at $26,135,000. Hedge funds and other institutional investors own 91.36% of the company’s stock.
About Lululemon Athletica
Lululemon Athletica Inc is a designer, distributor and retailer of technical athletic apparel. The Company’s segments include Company-operated stores, Direct to consumer and Other. The Company offers a line of apparel and accessories for women, men and female youth. Its apparel assortment includes items, such as pants, shorts, tops and jackets designed for healthy lifestyle activities and athletic pursuits, such as yoga, running, other sweaty pursuits and athletic wear for female youth.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Lululemon Athletica Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Lululemon Athletica Inc. and related companies with MarketBeat.com's FREE daily email newsletter.