The company's Q2 earnings and Q3 guidance both were above Street expectations.
Straton said the company's performance demonstrates its ability to outperform in a challenging environment.
She noted that raised FY guidance stood out in a sea of Softlines Retail cuts and even embedded 2H22 performance deceleration.
Straton added that the stock could see more growth, having bounced more than 10%, reversing nearly all of its declines since mid-August.
She cited that Lululemon's inventory is the only thing to pick at, but she isn't raising alarm bells.
Price Action: LULU shares are trading higher by 7.95% at $317.86 on the last check Friday.
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