Lululemon Athletica Inc. [LULU] Stock Is a Great Opportunity That’s a Little Too Jacked

Lululemon Athletica Inc. [LULU] shares are up more than 66.94% this year and recently increased 0.01% or $5.39 to settle at $377.99. Analysts expect LULU to grow earnings at a 17.00% annual rate over the next 5 years. LULU has a short ratio of 1.32. This implies that the market is currently less bullish on the outlook for LULU.

On 25, November 2020, lululemon athletica inc. Announces Third Quarter Fiscal 2020 Earnings Conference Call. According to news published on Yahoo Finance, lululemon athletica inc. (NASDAQ: LULU) today announced that its financial results for the third quarter fiscal 2020 will be released Thursday, December 10, 2020. The company will host a conference call at 4:30 p.m. Eastern time to discuss the financial results.

Analyst Birdseye View:

The most recent analyst activity for Lululemon Athletica Inc. [NASDAQ:LULU] stock was on October 26, 2020, when it was Reiterated with an Overweight rating from JP Morgan, which also raised its 12-month price target on the stock from $387 to $415. Before that, on October 28, 2020, Deutsche Bank Recapitulated a Buy rating and elevated its amount target to $396. On September 30, 2020, BofA Securities Resumed a Buy rating and boosted its price target on this stock to $390. On September 04, 2020, Citigroup Downgrade a Neutral rating and increased its price target from $340 to $400. On September 03, 2020, Telsey Advisory Group Reiterated an Outperform rating and increased its price target to $440. On August 27, 2020, Exane BNP Paribas Downgrade a Neutral rating and boosted its amount on this stock to $352. On August 24, 2020, Susquehanna Reiterated a Positive rating and boosted its target amount on this stock from $360 to $426. On June 12, 2020, Needham Reiterated a Buy rating and amplified its amount target to $345.

In the past 52 weeks of trading, this stock has oscillated between a low of $128.85 and a peak of $399.90. Right now, according to Wall Street analyst the average 12-month amount target is $377.45. At the most recent market close, shares of Lululemon Athletica Inc. [NASDAQ:LULU] were valued at $377.99. According to the average price forecast, investors can expect a potential return of 4.89%.

FUNDAMENTAL ANALYSIS

Lululemon Athletica Inc. [NASDAQ:LULU] most recently reported quarterly sales of 903.0 million, which represented growth of 2.20%. This publicly-traded organization’s revenue is $209,437 per employee, while its income is $33,979 per employee. This company’s Gross Margin is currently 55.30%, its Operating Margin is 19.40%, its Pretax Margin is +22.55, and its Net Margin is +16.22. Continuing to look at profitability, this corporation’s Return on Assets, Equity, Whole Principal & invested Principal is sitting at 24.06, 38.00, 43.04 and 32.20 respectively.

The Principal structure of this organization shows its whole liability to whole principal at 27.49 and the whole liability to whole assets at 22.55. It shows enduring liability to the whole principal at 22.71 and enduring liability to assets at 0.19 while looking for an extended time period.

Readers are usually of view to make a close observation to the indicators that support and make resistance before moving to any particular stock. As of now, the company’s stock is sitting at 369.00 points at 1st support level, the second support level is making up to 365.39. But as of 1st resistance point, this stock is sitting at 378.79 and at 384.97 for 2nd resistance point.

Lululemon Athletica Inc. [LULU] reported its earnings at $0.74 per share in the fiscal quarter closing of 7/30/2020. The Analysts for Wall Street were expecting to report its earnings at $0.55/share signifying the difference of 0.19 and 34.50% surprise value. Comparing the previous quarter ending of 4/29/2020, the stated earnings were $0.22 calling estimates for $0.23/share with the difference of -0.01 depicting the surprise of -4.30%.

Important Ratio’s To Watch

Meanwhile, turning our focus to liquidity, the Current Ratio for Lululemon Athletica Inc. [NASDAQ:LULU] is 2.00. Likewise, the Quick ratio is also the same, showing Cash ratio at 1.76. Now if looking for a valuation of this stock’s amount to sales ratio it’s 7.88, it’s amount to book ratio is 15.98 and showing 90.39 of P/E (TTM) ratio.

Insider Stories

The most recent insider trade was by Choe Michelle Sun, Chief Product Officer, and it was the sale of 4744.0 shares on Jul 02. BURGOYNE CELESTE, the EVP Americas Retail, completed a sale of 4723.0 shares on Jul 02. On Jul 01, BURGOYNE CELESTE, EVP Americas Retail, completed a sale of 9976.0 shares.