|Bid||0.00 x 800|
|Ask||0.00 x 1300|
|Day's Range||192.12 - 194.90|
|52 Week Range||110.71 - 204.44|
|Beta (3Y Monthly)||1.27|
|PE Ratio (TTM)||47.77|
|Earnings Date||Dec 4, 2019 - Dec 9, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||209.65|
Among retail stocks to watch, Lululemon is back below its buy point, feeling for direction after a Sept. 6 breakout. What should investors be watching for?
Dow Jones giant Walmart and Lululemon Athletica are in buy zones, while TJX, eBay and Zumiez are just below buys as retail stocks lead.
lululemon (LULU) gains from robust women's business as well as expansion in new categories and product lines, including men's wear. This places it ahead of peers in the competitive apparel space.
Millennials are one of the largest generations in history, and yet they continue to get a bad rap for either being fiscally irresponsible or for failing to keep certain industries alive as their parents did. However, according to CB Insights, Generation Y are expected to receive $30 trillion in wealth over the next couple of decades, and this transfer of wealth is going to transform many industries that will benefit from their increased spending power. While many tend to point to millennials' focus on experiences, it's also true that they like many of the same things that baby boomers and Gen X's before them do. InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe companies that will win in the next 10-20 years are those that reprioritize around Generation Y. By embracing new technology to provide affordable products in a customized manner, companies can benefit from the spending habits of millennials. * 10 Battered Tech Stocks to Buy Now CB Insights has identified 12 industries that should benefit from Gen Y. Here are seven stocks to buy from seven of those industries identified as winners. Camping Stocks, Thor Industries (THO)Source: Shutterstock Millennials are driving the growth in camping, literally and figuratively. In 2018, almost 80 million Americans went camping, many of them millennials. "Last year, 56% of all new campers were millennials (up from 51% in 2017), and 41% of total reported campers were millennials," CB Insights report on millennials stated. "Part of millennials' enthusiasm for camping springs from the fact that many of them are entering their prime spending years and starting families of their own."Millennials are looking for relatively inexpensive forms of relaxation. Many are opting for recreational vehicles rather than good old fashioned camping in a tent. One company that continues to benefit from the millennials attraction to camping is Thor Industries (NYSE:THO), who manufactures trailers and motor coaches under many different brand names including Air Stream, the classic silver trailer that Americans know and love. In 2018, RV shipments were 483,672, the second-largest number since the Recreational Vehicle Industry Association's been tracking sales. Only 2017 was better. To meet the demand of younger campers, Airstream offers the Nest, a compact trailer that costs just $46,000 to buy, making the open road a more cost-effective alternative to buying a cabin or staying at a five-year hotel on every vacation. Stocks to Buy: Fitness Stocks, Lululemon (LULU)Source: Richard Frazier / Shutterstock.com You can call millennials a lot of things but don't call them lazy. According to CB Insights' report, 76% of millennials exercise at least once a week, more than Gen Xers at 70% and boomers at 64%. Millennials are dropping close to $7 billion each year on gym memberships, double what Gen Xers and boomers do. Naturally, you'd think I'd recommend a fitness club chain such as Planet Fitness (NYSE:PLNT), whose stock's done well since going public in 2015. However, the capital requirements of fitness facilities make them terrible investments when the economy sours. So, I'd rather bet on a company like Lululemon (NASDAQ:LULU), that's making sure millennials not only are dressed to perform while exercising, but they look good doing it. Lululemon reported Q2 2019 results September 5 that were off-the-charts good. "Exceptional" 2Q results further demonstrate that Lulu is the "premiere retailer in our (and likely any) coverage universe and is deserved of a premium valuation," wrote Susquehanna analyst Sam Poser. "Best-in-class" execution and customer engagement, including a new loyalty program which has so far only launched in four North American cities, and innovative product offerings should continue to drive "top-tier results." * 10 Healthcare Stocks to Buy Despite the Headlines With the company expecting double-digit earnings gains each year until at least 2023, the sky is the limit for LULU stock. Travel Stocks, Booking Holdings (BKNG)Source: Shutterstock While it can be stereotyping to say all millennials thrive on experiences rather than buying stuff, they do indeed like to travel. "An Airbnb study from 2016 showed that many millennials prioritize saving for their next trip over paying off debts or saving to purchase their first home," CB Insights report stated. "Another found that 21% of millennials would accept a lower salary if it meant they could travel more frequently." However, just because they want to travel, doesn't mean they want to do it in the same manner as their parents. Therefore, for travel companies to be successful, they've got to provide a combination of unique experiences, budget prices, and excellent customer service; three things that aren't easy to deliver.Booking Holdings (NASDAQ:BKNG), which used to be known as Priceline, increased its roster of available homes and apartments on its Booking.com website in 2018 by 47% to 1.75 million. At the same time, Booking.com's hotel portfolio increased by just 10% to 436,000. The push toward a pre-pay business model where alternative accommodations are paid for ahead of time as opposed to at the time of hotel stay, is in large part being driven by the millennials desire to stay somewhere more authentic or local.While it makes Booking's business a little trickier, it's the wave of the future, and much better for cash flow. Fast Casual Dining, Shake Shack (SHAK)Source: JHENG YAO / Shutterstock.com If you want to please millennials and you operate in the restaurant industry, you've got to be fast because Gen Y is always on the go. According to the CB Insights report, 40% of millennials eat on the go, significantly higher than either Gen Xers at 26% and boomers at 19%. Not only that, but millennials want a good deal with that tasty burger to go. One of the biggest trends in the restaurant industry at the moment is plant-based meat, also known as Meat 2.0. Shake Shack (NYSE:SHAK), whose stock is up 114% year to date through September 10, is one of the fast-casual dining establishments to jump on meatless burgers. It's sold the Shroom Burger for years, a fried portobello mushroom stuffed with cheese and served on a bun. That said, it still hasn't embraced the Beyond Meat (NASDAQ:BYND) movement as other concepts have. But it's working on it. "I think we're going to keep an eye on that, but the meat substitute is not as interesting to us right now," Shake Shack CMO Jay Livingston told Ad Age in August. "We're really interested in creating, like a veggie experience that people are super excited about. We're kind of figuring out what that might look like right now.Business is good at Shake Shack. * 10 Stocks to Sell in Market-Cursed September It is the 90th largest restaurant chain in the U.S. Its same-store sales rose 3.6% in the second quarter with overall revenues growing by 31% due to more store openings. It plans to open as many as 60 locations in 2019, which should help keep SHAK stock moving higher in 2020. Coffee Stocks, Starbucks (SBUX)Source: monticello / Shutterstock.com On the one hand, the fact that millennials love coffee is excellent news for Starbucks (Nasdaq:SBUX), whose U.S. stores had seen several quarters of slower than average same-store sales growth before breaking out in the third quarter with a 7% increase in U.S. comps. On the other hand, millennials are predisposed to try boutique coffee roasters, which Starbucks is not. To make matters worse, Starbucks released revised 2020 guidance September 4, that suggests its earnings growth next year won't meet its "ongoing growth model of 10%."However, much of the slowdown has to do with one-time tax benefits in 2019. The company itself continues to do just fine. "I would say that we're firing on all cylinders from an operating performance perspective with the focus and discipline necessary to drive growth at scale for a company like Starbucks and our long-term double-digit EPS growth model is fully intact," CFO Pat Grismer stated recently while speaking at the Goldman Sachs' Global Retailing Conference. Furthermore, as a result of its stock generating a year to date total return of 42% through September 10, Starbucks has made $2 billion in share repurchases this fiscal year instead of next year so that it can deliver on its promise of share repurchases delivering 2% EPS growth in 2019. While SBUX stock might get knocked around from time to time, it's operationally one of the best companies in America. Oh, and millennials love their cold drinks. Frozen Foods, Kellogg (K)Source: DenisMArt / Shutterstock.com The global frozen food market is projected to grow to $290 billion by 2021. Two stats suggest that millennials are driving a frozen food renaissance: First, millennials spent 9% more on frozen foods per trip to the grocery store in 2017 than other demographics. Furthermore, frozen food sales in the U.S. in 2018 grew for the first time in five years, thanks in large part to millennials. Frozen foods meet the millennials desire to eat healthy, fast, and relatively inexpensively. One company that's benefiting from the resurgence in both frozen foods and plant-based meats is Kellogg (NYSE:K), the company better known for Special K and Frosted Flakes. However, between its Eggo and Morningstar Farms brands, Kellogg's managed to increase frozen sales by 3.2% in the second quarter ended June 29, only 50 basis points less than its snacks division, which counts Pringles and Pop-Tarts amongst its brands. On September 4, the company introduced Incogmeato by MorningStar brands, a portfolio of products that are both ready-to-cook and frozen including a plant-based burger and Chik'n tenders and nuggets. "We know that about three-fourths of Americans are open to plant-based eating, yet only 1 in 4 actually purchase a plant-based alternative," said Sara Young, General Manager, MorningStar Farms, Plant-Based Proteins. "We know the number one barrier to trying plant-based protein is taste. These consumers are still seeking the amazing taste, texture, and sizzling qualities of meat but want a better alternative for themselves and the planet." * Take Buffett's Advice: 5 Vanguard Funds to Buy They're expected to be available early in 2020. Personal Finance Stocks, Intuit (INTU)Source: dennizn / Shutterstock.com Millennials have the highest student loan debt of any previous generation. Combine this with the fact the cost of living is rising faster than it has in the past decade, and it's no wonder millennials are willing to try personal finance apps that help them save money that they can use to pay down debt."One of the most popular verticals for personal finance tech is banking. In one survey, 71% of millennials said that they would rather go to the dentist than listen to what a bank has to tell them -- a sentiment driven largely by poor customer service and poor technological integration," stated the CB Insights report on millennials.However, rather than recommend a bank that uses technology, I'm going to suggest Intuit (NASDAQ:INTU), the granddaddy of fintech companies. Most investors are probably familiar with Intuit's main products: QuickBooks and TurboTax. The former focused on small businesses and the latter on taxpayers of all sizes. In fiscal 2019, it generated $2.2 billion in free cash flow from $6.8 billion in revenue. I love companies that grow their free cash flow each year by double digits. Intuit does this by investing in R&D. In fiscal 2019, it spent $1.2 billion on new products and innovation, approximately 18% of its annual revenue. It plans to spend most of this money improving its existing products. One free Intuit product that millennials use quite frequently is Mint, and while other apps get higher ratings, the fact that a $69 billion company develops it ought to be comforting to most.Long term you can't go wrong with INTU.At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Battered Tech Stocks to Buy Now * 7 Strong-Buy Stocks Hedge Funds Are Buying Now * The 7 Best Penny Stocks to Buy The post 7 Stocks to Buy Benefiting From Millennial Money appeared first on InvestorPlace.
While the broader stock market is expected to move higher, momentum investing will likely take charge as investors seek higher returns in a short span.
The US has a consumer driven economy and taking a broad view, the consumers are happy. Per the Labor Department August jobs report, unemployment, at 3.7%, remains at 50-year low levels, wages are up 3.2% year-over-year, and overall GDP growth, at 2%, continues to outpace the estimates. Earlier US Commerce Department data showed an acceleration in consumer spending for July. In this environment, it makes sense to look for investment opportunities in the companies catering to consumer desires. We’ve used TipRanks’ Trending Stocks tool to find three such openings for investors. We set the filters on the Trending Stocks tool to show us only companies in the Consumer Goods category. These retailers offer a wide variety of products on the open market: from high-end electronics to athletic apparel to discount home goods. We selected three stocks that hold Buy ratings from the consensus, have shown sustained growth so far this year, and boast recent gains in double digits. Wall Street’s top analysts have taken notice of them, as should we. Apple, Inc. (AAPL)Yesterday, CEO Tim Cook hosted his company’s new product release event, and his presentation shows that Apple (AAPL – Get Report) is fully committed to pushing its Services division for higher revenues. The company announced that its new Arcade game subscription service will be priced at just $4.99 per month and will include a free one-month trial. Apple TV, soon to launch as a competitor to Netflix (NFLX – Get Report) in the streaming space, will be priced at just $5.99, raising the possibility that Apple intends to ignite a price war among content streamers. And finally, Cook announced that the TV streaming service will be offered free for one year with new purchases of Apple hardware – a clear move toward monetizing the company’s 900 million strong installed user base.On the hardware front, the new iPhone 11 models include faster processors, updated cameras, and lower pricing. Taken with the Services push, the conclusion is that Apple is serious about shifting its marketing strategies to maintain high profits as iPhone sales decline.Since AAPL’s steep losses in last year’s second-half downturn, Apple has faced and beaten a number of headwinds. Falling sales in China, the ongoing US-China tariff disputes, and the lengthening smartphone replacement cycles have taken their toll on the company’s sales and revenues. To fight the difficult market environment, Apple has relied on a shift in strategy backed by over $200 billion in cash on hand. Deep pockets and smart management have given confidence to investors.The confidence can be seen in share appreciation. Apple is up 41.7% year to date, 16.6% in the last 3 months, and 12.5% in the last 30 days. AAPL shares are currently trading just $4 below its all-time high value (adjusting for the 7:1 split in June 2014). Optimism in the company can also be seen in the analyst coverage.Michael Walkley, of Canaccord Genuity, set the tone with this simple statement: “The Apple launch event met expectations as the company unveiled attractively priced products to drive its installed base growth.” His $240 price target suggests a 7.3% upside potential.Needham’s Laura Martin went into greater detail, writing, “The company is continuing its transition to becoming an integrated content owner with captive hardware by driving more revenue per member and extending the life-span in its iOS ecosystem. The event also helped underscore Apple's efforts in creating an on-ramp into that ecosystem. Apple's broader range of iPhone prices, monthly payment plans, value in bundling Arcade and Apple TV offerings, as well as creating a content "price war" by pricing AppleTV+ at just $5 per month will put pressure on the competition.” Her price target of $250 indicates a potential 11.8% upside.It’s important to note that Apple’s price surge, both before and after the launch event, has pushed the stock’s trading value above its average price target of $224. Since September 7, AAPL has gained 5.7% in price. The stock has a Moderate Buy from the analyst consensus, based on 32 ratings including 17 buys, 13 holds, and 2 sells. Lululemon Athletica, Inc. (LULU)The popular athletic wear manufacturer Lululemon (LULU – Get Report) has become a hot seller, boosted by smart social media marketing and a solid online presence. Its success is underlined by its Q2 earnings report, in which the company reported 96 cents EPS, beating the 89-cent forecast by 7.8%. Revenues were up by 4.6%, at $883.35 million. It was the fourth quarter in a row that LULU had beaten EPS and revenue estimates.Lululemon’s strong sales performance, maintained over time, matches its share price gains. LULU is up 11% in the last 30 days, capping a 61.5% year-to-date gain. Fast growth has been powered by moves into new categories, including men’s wear. The company’s men’s line gained 35% in the quarter.Writing from Oppenheimer, analyst Brain Nagle said, “Better sales combined with further expansion in gross margins and tighter expense controls helped to fuel meaningful upside to earnings per share. By all measures, we view fundamental momentum at Lululemon as solidly intact.” Nagle’s price target of $225 suggests additional upside of 14% for the stock.Also bullish on LULU is Michael Binetti, of Credit Suisse. He raised his price target by 18%, to $235, and wrote, “We are significantly impressed that Lululemon accelerated comps in an increasingly volatile macro environment and feel implied Q4 revenue guidance will prove very conservative.” Binetti’s new price target implies a 19% upside for LULU.LULU’s analyst consensus is a Moderate Buy, derived from 17 buys and 9 holds set in the last three months. The $205 average price target suggests a 3.3% upside from the current share price of $198. Dollar General Corporation (DG)The increased tariff tensions between the US and China are making life hard for retailers, but Dollar General (DG – Get Report) has shown that even heavily impacted retailers can cope. The company is a highly profitable discount retailer with a strong presence in rural areas. It sees over $25 billion in annual revenues.Like Lululemon, Dollar General is gaining on a strong second quarter. The company’s Q2 earnings, released on August 29, showed a 10% EPS beat and an 8.4% year-over-year revenue gain. The final numbers were $1.74 in EPS, based on $6.98 billion in revenues. DG shares gained over 10% immediately after the earnings report, fitting for the fourth quarter in a row of above-forecast revenues.The post-earnings gains put DG’s 30-day gain at 16.5%. The company’s year-to-date gain is 44.3%. Momentum is clearly on Dollar General’s side going into the fall. Investors and analysts are clearly confident in the company’s ability to continue performing.Barclay’s Karen Short showed her upbeat view by raising her price target on DG to from $141 to $180. She wrote, “The company beat a high Q2 bar with a strong beat and raise, underscoring its industry leading execution and positioning in the dollar space.” Her new price target implies an upside potential of 15.3%.From KeyBanc, Bradley Thomas also set a $180 price target. His comments on the stock are detailed and upbeat: “DG remains one of our top picks, positioning investors for growth and defensiveness. 2Q EPS was ahead of expectations, driven by better-than-expected sales, gross margin, and expense leverage. Management raised 2019 guidance, even considering elevated tariffs. We remain positive on the near-term and long-term opportunity ahead for DG, supported by generally consistent execution, numerous initiatives to drive growth, and management’s long-term focus.”Overall, DG holds a Strong Buy from the analyst consensus, based on 15 recent buys and 3 holds. Shares are selling for $157 and the average price target of $168 suggests room for 7.1% upside.Visit the Trending Stocks tool now, and see what else the Street’s top analysts are talking about.This author is long on AAPL.
Stock futures: Apple stock and Lululemon stock moved into buy zones amid a solid stock market rally. Oracle fell late as sales missed and CEO Mark Hurd is taking leave for health reasons.
High-end athletic wear company Lululemon is now offering its luxury streetwear label Lab in wide release online and in 45 stores. The Lab brand, which was previously only available in limited editions at a few Lab stores in New York City and Vancouver, will continue to expand as a separate brand from Lululemon Athletica, Inc. (NASDAQ:LULU), Fast Company reported. “As we grow internationally, we know that exclusivity is something that is very important in Asia and Europe.” Items in the Lab collection, which have an unconstructed, unisex vibe different from the tight-fitting compression athletic and athleisure wear Lululemon is known for, are priced at approximately 30 percent higher than Lululemon’s typical products, ranging from $80 to more than $500.
Nike (NKE) is set to release its Q1 2020 earnings and revenue results on September 24. Is now the time to buy NKE stock amid Lululemon (LULU) & Adidas (ADDYY) competition?
Lululemon stock (LULU), up nearly 60% in 2019, was down 0.7% to $193.04 on Tuesday morning, in line with the decline in the S&P 500. UBS analyst Jay Sole reiterated a Neutral rating on the shares while boosting his price target by $25 to $210, late on Monday. Sole raised his estimate for 2019 earnings to $4.81 per share, 7 cents above the consensus among Wall Street analysts, from $4.65.
Breaking down Lululemon's (LULU) Q2 2019 financial results that wowed Wall Street last week. And why Lulu stock looks like a buy as it expands its digital, international, and menswear businesses to further challenge Nike (NKE) - Full-Court Finance.
Data from the trade researcher Panjiva show that the apparel retailer has been well ahead of the curve as companies scramble to reduce their exposure to tariffs on imports from China.
Looking for stocks to buy? Get analysis of large-cap stocks like Amazon, Alibaba and Dow Jones stocks GE and Microsoft to see if it's time to buy — or sell.
Lululemon (LULU) is at a 52-week high, but can investors hope for more gains in the future? We take a look at the company's fundamentals for clues.