LULU - Lululemon Athletica Inc.

NasdaqGS - NasdaqGS Real Time Price. Currency in USD
141.13
+1.40 (+1.00%)
At close: 4:00PM EST

141.00 -0.13 (-0.09%)
After hours: 6:28PM EST

Stock chart is not supported by your current browser
Previous Close139.73
Open139.36
Bid140.85 x 800
Ask141.33 x 1300
Day's Range138.51 - 141.65
52 Week Range74.90 - 164.79
Volume2,599,412
Avg. Volume2,584,026
Market Cap18.686B
Beta (3Y Monthly)0.64
PE Ratio (TTM)49.47
EPS (TTM)N/A
Earnings DateN/A
Forward Dividend & YieldN/A (N/A)
Ex-Dividend DateN/A
1y Target EstN/A
Trade prices are not sourced from all markets
  • InvestorPlace7 hours ago

    Macy’s Stock Is Stuck Between Brick-and-Mortar and Cyberspace

    Last time I traded Macy's (NYSE:M) was off the price action before and after the May 2018 earnings reports. I won on two trades. First I went long on a dip to $29 per share which was then support. Then another long bet off the earnings beat that management delivered soon thereafter. Now Macy's stock is in trouble with is a completely different outlook. Today's I will argue against the rush to own the stock even after such a big fall. Before you send me your hate mail, let me explain. My issue is with the the company prospects, not the shorter term stock action. Those who want to trade it for the short term need not be bothered by my comments. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Even though the retail sector had a strong holiday season, somehow Macy's failed to capitalize on a U.S. consumer who is fully employed and on a spending spree. The stock collapsed last week when the company downgraded its own forecast. Since then it has not yet found footing. Usually candles of the size of that one from Jan. 10 are rarely a one day event. Those who tried to catch the falling machete lost some digits. So is now a better time to try and invest in Macy's stock? The short answer is No, there is no hurry yet. * 8 Dividend Stocks With Growth on the Horizon But to elaborate, I'd say that there are better opportunities to risk my money elsewhere -- even within the retail sector. I fail to see the catalyst that would turn Macy's into a must-own undervalued stock. Not after what management just told us. Even if it bounced now, M stock will not rally on its own so. It will need the general markets to be also rallying for it to move. It does happen that out-of-favor stocks can rebound alone, but not when the company basically told us that for the short term things are tough. I'd rather be long markets than risk my money on Macy's. The $29 prior support zone is likely to become forward resistance for months to come. Let me explain the reasons why I think that Macy's stock has a tough slog ahead of it before it becomes a viable long term risk. ### Reasons to Beware Macy's Stock Brick-and-mortar retailers like Macy's have never recovered from the decimation that Amazon (NASDAQ:AMZN) inflicted on them over the past decade. Last summer, experts in the media wrongly assumed that they had figured AMZN out. But I took issue to that then, and this downgrade is proof. Macy's management may be growing their online sales but I argue that it's actually killing them faster. Why? They are not taking back sales that they lost to AMZN, they are merely migrating their own foot traffic online. So in essence they are contributing to making their stores even more obsolete than they currently are. Moreover, bringing the sales online is one thing but doing it profitably is another. AMZN and Walmart (NYSE:WMT) before it both built their empires on thin margins so they are experts at it. M is still a novice and hence is inefficient. Macy's still hasn't figured out how to compete profitably with AMZN online. They are stuck between a brick and a hard place. So something has to change, because whatever they are doing is not yet working. Those take time; hence the non-urgency to invest in it for the long term. Not all retail is the same. Yesterday morning we got more proof from Lululemon (NASDAQ:LULU) that this is not a general retail problem, it's a disaster unfolding in the traditional physical centers like Macy's and JC Penny (NYSE:JCP) to name two. LULU raised its outlook and the stock soared 5.73% on the headline. Macy's and JCP stocks fell -1.34% and -1.52% on the same day. Technically and up until last week, M stock had been performing better than the SPDR S&P Retail ETF (NYSEARCA:XRT). But now it's no longer a contest. Macy's stock is still sliding off last week news. LULU and stocks like Nike (NYSE:NKE) which control their own product lines are by far the most attractive to investors these days. Those two are up 80% and 20% respectively in the past year. I have nothing against Macy's the company. But I truly think that they have a big hole from which to dig out to compete in the new online trend at equal levels with AMZN, and they are doing it with a spoon. The stock could catch a bounce, but there is a good chance it falls closer to $22 per share -- especially if the indices decide to retest the February lows. They need to change their strategy. Meanwhile, the good news is that the long term charts show that price is approaching prior long-term pivot levels and those tend to lend support. So if I am already long Macy's it's probably too late to sell. But I am not in a hurry to buy it or add to a position here. Those who absolutely want to better do partial orders in case I am right about this. Click here and enjoy a free video and more of my market thesis and get an ongoing free copy of my weekly newsletters. Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. You can follow him as @racernic on Twitter and Stocktwits. Compare Brokers The post Macya€™s Stock Is Stuck Between Brick-and-Mortar and Cyberspace appeared first on InvestorPlace.

  • Company News For Jan 15, 2019
    Zacks9 hours ago

    Company News For Jan 15, 2019

    Companies in the news are: LULU, PCG, NEM, GG and C

  • lululemon (LULU) in Focus: Stock Moves 5.7% Higher
    Zacks10 hours ago

    lululemon (LULU) in Focus: Stock Moves 5.7% Higher

    lululemon (LULU) saw a big move last session, as its shares jumped nearly 6% on the day, amid huge volumes.

  • Why Lululemon Stock Is Now a Long
    InvestorPlace10 hours ago

    Why Lululemon Stock Is Now a Long

    Don't let a hot forecast from Lululemon (NASDAQ:LULU) and stretchy reaction by Wall Street make you sweat. Instead, relax like a yogi master and prepare to buy LULU stock as it takes one of two righteous paths to higher ground. Let me explain. Shares of Lululemon jumped higher by 5.73% Monday to kick off the trading week. Behind the move in LULU stock, Wall Street found itself reacting favorably to the athleisure, yoga-centric apparel outfit's upwardly revised and above-views sales and profit guidance. By the numbers, LULU stock is forecasted to earn $1.72-$1.74 per share for the fourth quarter on sales of $1.14 billion-$1.15 billion. That compares favorably to consensus views of $1.70 and $1.125 billion in revenues. Along with upbeat color from LULU's management, analysts at Stifel weighing in favorably and a broader market proving quite limber, it's time for LULU stock investors to put shares on the radar for buying. InvestorPlace - Stock Market News, Stock Advice & Trading Tips ### LULU Stock Price Chart As I've stated before, even in healthier market environments, stocks like LULU aren't immune to corrective activity. And given the broader average's own brief taste of a bear market late last month, Lululemon's 33% correction was far from surprising. Now and following a fairly strong rally off a double-bottom formation, Monday's jump to two-month highs has confirmed a new uptrend is underway. This is supported by a couple confirmed higher highs and higher lows in LULU stock, as well as last week's breakout of a downtrend line. The overall price action appears quite bullish. Still, the quick move higher has put Lululemon shares into an overbought challenge of the 50% and 62% resistance levels. As such, I'd expect shares could pull back by as much as 10% into trend-line and moving average support before moving to higher ground. But there's no guarantees that's how it will play it in LULU stock. Bottom line, while I see a pullback as the favored path for LULU shares, overbought situations in a growth name like Lululemon can and often do beget more of the same. And with the broader market looking healthier after its correction, the chance for a momentum-style entry above Monday's highs has definitely increased. For investors agreeable with our bullish point of view, I'd keep Lululemon shares on the radar for buying on either type of entry. Regardless, I'd also strongly suggest using either a money or technical stop loss. If investors have the opportunity to buy on weakness, an initial stop below $124 and slightly underneath technical support looks appropriate. Under more enthusiastic circumstances, I'd say don't sweat buying the momentum in LULU stock either. Just remember to size the risk accordingly. At the end of the day, working out in Lululemon is fine, but getting worked being long LULU shares during an extended downward dog move in shares is another thing altogether. Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Key Emerging-Market Stocks to Buy for Contrarian Investors * 7 Stocks at Risk of the Global Smartphone Slowdown * 7 Pharmaceutical Stocks That Just Raised Prices This Year Compare Brokers The post Why Lululemon Stock Is Now a Long appeared first on InvestorPlace.

  • TheStreet.com10 hours ago

    2 Retail Stocks to Buy Right Now

    Let's look at two retail stocks that might look good in your portfolio right now. On Monday, the athletic apparel retailer raised its guidance for fourth-quarter earnings and revenue, igniting a 5.73% gain. In a statement, Lululemon cited "the ongoing success of our product offerings," and referenced the strong connection between the business and its loyal customers.

  • The Zacks Analyst Blog Highlights: Lululemon, Macy???s, Kohl???s, Nike and Adidas
    Zacks11 hours ago

    The Zacks Analyst Blog Highlights: Lululemon, Macy???s, Kohl???s, Nike and Adidas

    The Zacks Analyst Blog Highlights: Lululemon, Macy???s, Kohl???s, Nike and Adidas

  • lululemon (LULU) Ups Q4 View on Robust Holiday Performance
    Zacks11 hours ago

    lululemon (LULU) Ups Q4 View on Robust Holiday Performance

    lululemon's (LULU) solid momentum this holiday season is encouraging. As a result, management raises its earnings and sales guidance for the fourth quarter of fiscal 2018.

  • Prestige Consumer Stock Down 9% on Soft Preliminary Results
    Zacks11 hours ago

    Prestige Consumer Stock Down 9% on Soft Preliminary Results

    Prestige Consumer's (PBH) unimpressive preliminary revenue numbers for the third quarter compels management to trim fiscal 2019 view.

  • Barrons.com14 hours ago

    ‘This Is Just the Future.’ How a Data Firm Whose Stock Picks Beat the Market Does It.

    Alap Shah, co-founder and CEO of the research analytics firm Sentieo, discusses the predictive power of its trend-spotting tool.

  • InvestorPlace22 hours ago

    InvestorPlace Roundup: The Top Stocks in the Market Today, Including CGC Stock

    When you log in to InvestorPlace, you come for perspective. It's our mission to provide high-quality, opinionated analysis to guide you on your stock-picking journey. Please see our publishing guidelines here. Below you'll find some of the best stock market analysis, commentary and insights from myriad InvestorPlace writers. Please check back often, as this post will be continuously updated with the day's hottest takes on the top stocks to invest in and the stocks to avoid. ### InvestorPlace's Top Stocks Today Canopy Growth (NYSE:CGC) added 11% Monday, a day where the S&P 500 Index gave back 53 basis points, on news that New York state has granted the pot company a license to establish a "Hemp Industrial Park." InvestorPlace writer and IPO expert Tom Taulli outlined three reasons people are excited about CGC stock: "For the most part, cannabis is likely to be a massive growth opportunity. Canada will certainly be a factor but the U.S. is also rapidly moving toward legalization (a recent positive was the passage of the farm bill, which took industrial hemp off the controlled substance list). So how big will the market get? Well, according to Cowen analyst Vivien Azer, it will reach a whopping $80 billion in the U.S. by 2030." InvestorPlace - Stock Market News, Stock Advice & Trading Tips Tilray (NASDAQ:TLRY), another Canadian cannabis company, eeked out a 4.3% gain (and an additional 1.55% after-hours) as TLRY stock continues to crush its short-sellers: "You might be asking yourself why Privateer doesn't take advantage of the upcoming lock-up expiration and start dumping stock at around five times the IPO price … [Because] Privateer is probably making a fortune from short sellers. Short sellers have to pay a so-called rebate to borrow stock from its owners. Normally this is a nominal fee, a couple percent or less. Recently, however, this has surged to 500% or more annually for TLRY stock. Take a second to think about that … A short seller is paying 500% per year, 40% per month, otherwise stated as more than 1% per day, to stay short Tilray. The stock needs to collapse, and pretty much immediately, for short sellers to get paid." While Lululemon Athletica (NASDAQ:LULU) popped 5.73% today, it didn't register a blip on the radar from InvestorPlace readers. That's a shame, considering Lululemon is on track to becoming "a mini Nike," according to Luke Lango, who ascertains his own buy case based on LULU's positive earnings revision: "One, the outstanding momentum that the Lululemon brand generated in early 2018 didn't lose any steam … Through the first three quarters of the year, comparable sales were growing in the mid- to high-teens range. Management shocked the world in early December by saying that fourth-quarter comparable sales growth would slow dramatically to ~10%. Lululemon stock dropped. As it turns out, management just sandbagged that guide. Instead, [comparable sales growth] will be almost exactly what it has been all year (15%-plus), and that's proof that this brand's operational momentum is more than just a flash in the pan. Two, Lululemon is generating high quality, high margin sales growth acceleration. Lululemon management hiked the revenue guide by 2%. The company hiked the earnings-per-share guide by 4%, and they also kept the expected tax rate and share count constant. The implication is that margins progressed much better than expected during the quarter. That means this sales momentum is not promotion driven. Instead, it's demand driven, and that bodes well for continued success in 2019." In anticipation of its earnings report before the bell Tuesday, JPMorgan Chase (NYSE:JPM) gained 1%, and 47 bps after hours. And InvestorPlace Feature Writer James Brumley believes JPM has a chance to stand out Tuesday: "While most banks became more profitable over the course of 2018 against a backdrop of rising interest rates that didn't crimp the economy, most banks also hit a revenue headwind during the fourth quarter. Wells Fargo (NYSE:WFC), which will also report its fourth quarter results on Tuesday morning, is expected to post a 1.4% dip in revenue. Citigroup's top line last quarter rolled in at $17.1 billion, down roughly 2% and falling well short of the $17.6 billion analysts had modeled. Citigroup topped earnings estimates, and Wells Fargo along with JPMorgan will likely do the same, In the current environment, however, investors may leave little room for anything less than reaching targets." ### Top Stocks in the Hot Seat Welcome to the earnings season kickoff! Now it's about to get rough. At least, that's what Josh Enomoto thinks, as he explores ten companies that could disappoint on earnings, including Bank of America (NYSE:BAC), Apple (NASDAQ:AAPL) and Ford (NYSE:F): "According to the latest report from The Wall Street Journal, a string of downgraded profitability expectations has worried analysts. Prior headwinds that began to impact sentiment last year, unfortunately, stuck around longer than corporate leaders anticipated. Further, few indicators suggest that the markets can rise above the doldrums anytime soon. Primarily, the upcoming earnings reports mostly have a China problem. The ongoing trade war between the top two economies in the world have rattled both corporate executives and shareholders. An initial thawing in relations turned out to be a head-fake when controversies like the Huawei arrest returned an icy chill to the narrative." Speaking of China, we come back to Luke Lango, who believes Apple's China warning is trouble for Starbucks (NASDAQ:SBUX): "It's not all bad news in China, though. This is still a 6%-plus growth economy. And, while Apple recently issued a big warning about slowing growth in China, Nike (NYSE:NKE) announced two weeks prior that its China business was red hot. My fear, however, is that Starbucks is on the Apple path in China, not the Nike path. From this perspective, the present situation for Starbucks in China is most likely one defined by slowing growth. That's a big problem. Growth everywhere else is all dried up due to rising competition and saturation. Comparable sales growth in the U.S. has dropped from 5% and up a few years back, to 2% last year, with transaction volume actually down year-over-year. Europe, Middle East, and Africa comps have followed a similar trajectory, also with negative transaction volume growth last year." Year-to-date, Amarin (NASDAQ:AMRN) stock is up 40% on its treatment Vascepa showing positive trial data and also due to Pfizer (NYSE:PFE) buyout chatter. Such a buyout, however, is unlikely, explains Ian Bezek: "Biotech journalist and Twitter heavyweight Adam Feuerstein weighed in on the Pfizer rumors, tweeting: 'Help me with the logic here: $AMRN CEO John Thero just spent 4 days in [San Francisco] meeting face to face with investors while ALSO negotiating a $PFE takeout? People, please …' It's not uncommon for biotech management teams to pull out of conferences when they are about to be acquired. Particularly if Amarin already knew that Pfizer or someone else would bid for the company, why bother with in-person investor relations? There'd be more important business to attend to." But concludes on a more positive note: "That said, Amarin finds itself in a decent position nonetheless. It had $249 million in cash as of the latest report, suggesting that it has time to ramp up its sales operations as a separate company. Amarin lost $98 million on $205 million in revenues last year, suggesting it isn't especially close to profitability. Analysts forecast a much smaller, but still negative, net income figure for this year as well. Regardless, with that cash position, Amarin isn't desperate to find a suitor and can wait for an attractive offer. For now, I see AMRN as a solid trading stock. When there are short-term rips, such as the 22% pop on the Pfizer rumors, it is a good time to take profits. When the stock dips, say on weaker than expected earnings or prescription fills data, you can buy back in at a better price." That's it for today's stock market commentary roundup. Please feel free to drop us a note at feedback@investorplace.com to let us know what we got right and what we got wrong. Happy investing! John Kilhefner is the Deputy Managing Editor of InvestorPlace.com. As of this writing, he did not hold a position in any of the aforementioned securities. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 A-Rated Stocks to Buy That The Smart Money Is Piling Into * The 5 Biggest Tech Trends at CES 2019 * 7 Stocks to Buy That Are Run By Billionaires Compare Brokers The post InvestorPlace Roundup: The Top Stocks in the Market Today, Including CGC Stock appeared first on InvestorPlace.

  • The Wall Street Journal23 hours ago

    [$$] Lululemon Raises Fourth-Quarter Guidance for Profit, Revenue

    Lululemon Athletica Inc. on Monday raised its revenue and earnings guidance for the fourth quarter. The athletic-wear retailer said it expects fourth-quarter revenue to be between $1.14 billion and $1.15 billion, up from its old guidance of between almost $1.12 billion and nearly $1.13 billion. The new revenue guidance is based on comparable sales on a constant-dollar basis increasing in the mid to high teens, whereas the company’s old guidance was based on comparable sales on a constant-dollar basis increasing in the high single to low double digits, the company said.

  • Morningstaryesterday

    Improved Outlook for Lululemon, but Shares Rich

    The narrow-moat firm raised its revenue and profitability outlook for the fourth quarter.

  • Stock Market Down But Not Out; Can Apple Get Back On Track?
    Investor's Business Dailyyesterday

    Stock Market Down But Not Out; Can Apple Get Back On Track?

    Major market indexes fell for a second straight session in the stock market today, though they pared steep early losses to close near their intraday highs.

  • TheStreet.comyesterday

    Lululemon Rises After Raising Fourth-Quarter Guidance

    Previously, Lululemon had guided for a range between $1.115 billion and $1.125 billion. Lululemon expects diluted earnings per share to be between $1.72 to $1.74, higher the the initially anticipated $1.64 to $1.67. Stifel isn't just pricing in the added earnings Lululemon now expects for the quarter, the firm is now even more positive on the future.

  • Lululemon Stock Heads Toward Buy Point On Strong Holiday Earnings
    Investor's Business Dailyyesterday

    Lululemon Stock Heads Toward Buy Point On Strong Holiday Earnings

    Lululemon stock popped after the yoga-gear firm raised its guidance due to strong holiday sales. It was a bright spot as retail stocks posted mixed figures.

  • 5 Top Stock Trades for Tuesday: Citigroup Earnings, Lulu Guidance
    InvestorPlaceyesterday

    5 Top Stock Trades for Tuesday: Citigroup Earnings, Lulu Guidance

    It was a mellow day on Wall Street, with stocks giving up just some of the gains from over the past few weeks. Overall though, bulls have to be satisfied with the way the market has held up since its post-Christmas lows. With earnings season just beginning, there are plenty of top stock trades to keep an eye on. ### Top Stock Trades for Tomorrow #1: Citigroup Banks are the unofficial start to earnings season and this month, the sector led off with Citigroup (NYSE:C). Shares jumped 4% in response to the company's earnings beat, despite missing on revenue expectations as sales decline 2.2% year-over-year (YoY). InvestorPlace - Stock Market News, Stock Advice & Trading Tips The stock's cheap but the action's been ugly. It's my opinion that the sector came under too much heat unless we're heading for a recession, which doesn't seem to be the case at the moment. More than 20% off its lows right now and running right into the 50-day moving average, C stock is in a precarious spot. Bulls will want to see it push through the 50-day as well prior downtrend support to keep the rally going. Should C fail, they want to see the 21-day hold as support and at the very least, they cannot see Citi make new lows. * 7 Stocks to Buy That Are Run By Billionaires Above resistance and $66 is on the table. ### Top Stock Trades for Tomorrow #2: Lululemon Athletica Shares of Lululemon Athletica (NASDAQ:LULU) saw a nice 5.5% bump on Monday after the company raised guidance. However, its gains were cut down dramatically from the session high. (Is it heading it $200 now?) On the plus side, LULU has put in a couple of higher lows (purple arrows) since its December low. Further, the stock jumped over downtrend resistance (blue line). However, after a quick rally through the $140 level, LULU stock is now having trouble with that mark. For the bulls to stay in control, the stock needs to stay above prior downtrend resistance and ideally see shares rally over $140. Over $140 and $150 is on the table. Above $150 and the highs near $165 are possible. Below $135 (downtrend resistance) and that second higher low is on deck. That would be bearish to see LULU fall below it, especially after it updated guidance on Monday. ### Top Stock Trades for Tomorrow #3: PG&E Shares of PG&E (NYSE:PCG) are plunging on Monday, down more than 50% after reports hit about the company's plan to file for bankruptcy. Throwing around the "B-word" is obviously a big negative catalyst for a stock price. It goes without saying, please don't bottom fish this one. PCG is bad news and even if it doesn't end up bankrupt, there are plenty of other better utility stocks to choose from. Or plenty of other stocks in general to choose from. Avoid PG&E. ### Top Stock Trades for Tomorrow #4: Nio Nio (NYSE:NIO) popped early on the day, but is struggling to hold onto its gains, up just 3.5% on the day. The stock pushed through its 21-day and 50-day moving averages as well as downtrend resistance before pulling back. The stock is now only holding over the 21-day moving average. It would be bullish to see Nio stock push back through the 50-day moving average and downtrend resistance this week, giving it a shot to rally up to $8. Should Monday's rally fail to hold and Nio stock pulls back, look to see $6 hold as support. ### Top Stock Trades for Tomorrow #5: New Age Beverages For those that were in that New Age Beverages (NASDAQ:NBEV) long trade from last week, it didn't take long to get our big move. Shares are up 18% on Monday. * 10 A-Rated Stocks the Smart Money Is Piling Into I am comfortable booking profits, but for those that want to let it run, let's use a ~$7.00 stop-loss. Just don't let this big winner turn into a loser. Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Key Emerging-Market Stocks to Buy for Contrarian Investors * 7 Stocks at Risk of the Global Smartphone Slowdown * 7 Pharmaceutical Stocks That Just Raised Prices This Year Compare Brokers The post 5 Top Stock Trades for Tuesday: Citigroup Earnings, Lulu Guidance appeared first on InvestorPlace.

  • Lululemon (LULU) Stock Looks Like a Buy & It Just Raised Its Q4 Guidance
    Zacksyesterday

    Lululemon (LULU) Stock Looks Like a Buy & It Just Raised Its Q4 Guidance

    Shares of Lululemon (LULU) soared as high as 8% in morning trading Monday after the yoga apparel powerhouse raised its Q4 earnings and revenue guidance.

  • InvestorPlaceyesterday

    Holiday Sales Update Confirms Lululemon Stock Is Heading to $200

    The market struggled for gains on Monday, Jan. 14, but one stock that strongly bucked the broader market trend was Lululemon (NASDAQ:LULU). The athletic apparel company provided a positive update on fourth-quarter numbers following a strong holiday season. Management lifted their fourth-quarter comparable sales growth, revenue and profit guides. Lululemon stock jumped nearly 10% in response. In the big picture, the holiday sales update confirms that the Lululemon brand isn't losing any momentum, and that the company does have a medium to long-term opportunity to continue to grow sales at a rapid rate and transform into a mini Nike (NYSE:NKE) or mini Adidas (OTCMKTS:ADDY) for a higher price point audience. That outlook is favorable for Lululemon stock. Even after this 10% pop, the market cap on Lululemon stock is still under $20 billion. Adidas has a $40 billion-plus market. Nike's market cap is up over $120 billion. Thus, if Lululemon can sustain its present operational momentum, Lululemon stock will continue on an upward path. InvestorPlace - Stock Market News, Stock Advice & Trading Tips Having said that, the stock now seems fairly valued. Upside in the near term may be capped by valuation. But, longer term, this will be a $200-plus stock, meaning there's no reason to sell for long-term investors. ### High Quality Holiday Update From head to toe, Lululemon's fourth-quarter guidance update was a healthy one with no glaring negatives. Based on strong holiday sales, Lululemon upped its comparable sales, revenue and earnings guides for the fourth quarter. Comparable sales were supposed to be up ~10%. Now, they are supposed to rise in mid- to high-teens range. Revenues were supposed to grow just over 20%. Now, the company is guiding for 23% revenue growth. Earnings were supposed to come in at $1.66. Now, they are expected at $1.73. From all those updates, there are two big takeaways. * 10 Companies That Could Post Decelerating Profits One, the outstanding momentum that the Lululemon brand generated in early 2018, didn't lose any steam by the end of the year. Through the first three quarters of the year, comparable sales were growing in the mid- to high-teens range. Management shocked the world in early December by saying that fourth-quarter comparable sales growth would slow dramatically to ~10%. Lululemon stock dropped. As it turns out, management just sandbagged that guide. Comparable sales growth isn't going to slow all that much in the fourth quarter. Instead, it will be almost exactly what it has been all year (15%-plus), and that's proof that this brand's operational momentum is more than just a flash in the pan. Two, Lululemon is generating high quality, high margin sales growth acceleration. Lululemon management hiked the revenue guide by 2%. The company hiked the earnings-per-share guide by 4%, and they also kept the expected tax rate and share count constant. The implication is that margins progressed much better than expected during the quarter. That means this sales momentum is not promotion driven. Instead, it's demand driven, and that bodes well for continued success in 2019. ### A $200 Stock In the Long Term In the big picture, Lululemon's holiday sales update confirms that this company remains a big revenue growth, big margin expansion company with big long-term potential. Putting numbers to those words, this is most likely a 10-15% revenue growth company over the next several years as growth slows from tougher laps and with bigger scale. During that stretch, gross margins should continue to expand due to pricing power from huge demand, and opex rates should fall thanks to steady double-digit revenue growth. All together, this is a 10-15% revenue growth company with healthy long-term margin drivers. Modeling that out, I believe Lululemon has the opportunity to grow EPS to $8.50 by fiscal 2023, on a sales base of nearly $6 billion by then and operating margins north of 25%. At that point in time, Lululemon stock should trade at a Nike-type multiple. Nike normally trades around 25 forward earnings. A 25 forward multiple on $8.50 implies a fiscal 2022 price target of over $210. Discounted back by 10% per year, that equates to fiscal 2018 price target of $145. * 7 Pharmaceutical Stocks That Just Raised Prices This Year Thus, in the near term, Lululemon stock seems fairly valued. But, in the long run, this stock will march above $200 within the next four to five years. ### Bottom Line on LULU Stock Lululemon continues to execute flawlessly on its opportunity to go from niche, yoga-focused retailer, to broad, athletic apparel retailer. That opportunity is huge, and paves the path for Lululemon stock to march above $200 in the long run. In the near term, valuation friction may create some turbulence. That turbulence is just noise, and should be largely ignored by long-term investors. As of this writing, Luke Lango was long LULU and NKE. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Key Emerging-Market Stocks to Buy for Contrarian Investors * 7 Stocks at Risk of the Global Smartphone Slowdown * 7 Pharmaceutical Stocks That Just Raised Prices This Year Compare Brokers The post Holiday Sales Update Confirms Lululemon Stock Is Heading to $200 appeared first on InvestorPlace.

  • Big Banks Kick Off Earnings Season & Today's Trending Stocks: LULU, ACB
    Zacksyesterday

    Big Banks Kick Off Earnings Season & Today's Trending Stocks: LULU, ACB

    Ryan McQueeney discusses weak economic data from China as well as news involving Lululemon and Aurora Cannabis. He also recaps Citigroup's earnings results and previews the upcoming reports of JPMorgan and Wells Fargo.

  • Lululemon Call Volume Pops on Strong Holiday Guidance
    Schaeffer's Investment Researchyesterday

    Lululemon Call Volume Pops on Strong Holiday Guidance

    The retailer raised its fourth-quarter profit and revenue forecasts

  • Lululemon News: LULU Stock Sprints Higher on Impressive Holiday Sales
    InvestorPlaceyesterday

    Lululemon News: LULU Stock Sprints Higher on Impressive Holiday Sales

    Recent Lululemon news is giving LULU stock a boost on Monday with an update to its guidance. Source: Shutterstock Lululemon (NASDAQ:LULU) is providing an update to its guidance for the fourth quarter of 2018. This includes the company now expecting revenue for the quarter ranging from $1.140 billion to $1.150 billion. The previous outlook was for revenue between $1.115 billion to $1.125 billion. This Lululemon news is good for LULU stock as Wall Street is looking for revenue of $1.13 billion. According to Lululemon, the increase to its revenue guidance for the fourth quarter of 2018 is due to stronger comparable sales. The company says that it was previously expecting a comparable sales increase from high-single to low-double digits for the quarter. Now it expects comparable sales for the period to be up in the mid-to-high teens. InvestorPlace - Stock Market News, Stock Advice & Trading Tips The Lululemon news today also includes an update to its earnings per share guidance for the fourth quarter of the year. LULU is now expecting earnings per share for the quarter to come in between $1.72 to $1.74. The athletic apparel retailer's previous earnings per share guidance ranged from $1.64 to $1.67. This is a boon to LULU stock as analysts are expecting earnings per share of $1.71 for the fourth quarter of 2018. * 10 A-Rated Stocks the Smart Money Is Piling Into "The momentum in our business remained strong throughout the holiday season, reflecting the ongoing success of our product offerings and our connection with guests around the globe," Calvin McDonald, CEO of Lululemon, said in a statement. "I speak for the entire leadership team in thanking all our teams around the world for delivering a strong 2018." LULU stock was up 6% as of Monday afternoon. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Key Emerging-Market Stocks to Buy for Contrarian Investors * 7 Stocks at Risk of the Global Smartphone Slowdown * 7 Pharmaceutical Stocks That Just Raised Prices This Year As of this writing, William White did not hold a position in any of the aforementioned securities. Compare Brokers The post Lululemon News: LULU Stock Sprints Higher on Impressive Holiday Sales appeared first on InvestorPlace.

  • Dow Stocks Keep Losses Small; Citigroup Stages Bullish Reversal
    Investor's Business Dailyyesterday

    Dow Stocks Keep Losses Small; Citigroup Stages Bullish Reversal

    Blue chips showed the smallest losses Monday morning  even as Apple weighed among Dow stocks. In the meantime, Citigroup staged a positive reversal. The Dow Jones industrial average dropped 0.4%, while the Nasdaq and the S&P 500 fell 0.8% and 0.6% respectively.

  • Barrons.comyesterday

    Lululemon Stock Surges 9% Because People Still Love Its Yoga Pants

    The upscale athletic-apparel maker raised its fourth-quarter guidance on Monday following a strong holiday-shopping season.

  • Bloombergyesterday

    Lululemon Jumps as Wall Street Says Holiday Sales Stand Out

    The move follows a series of holiday sales misses last week and prompted a chorus of praise from analysts. "In what is turning out to be a more mixed holiday for retailers, we view these results as industry leading," a MKM Partners analyst wrote. The company said comparable-store sales increased in the high-single to low-double digits for the current quarter, which ends Feb. 3.

  • Lululemon a small, innovative company fighting to be a bi...
    CNBC Videosyesterday

    Lululemon a small, innovative company fighting to be a bi...

    Jan Kniffen of J-Rogers Kniffen WWE and Brian Nagel of Oppenheimer and Company debate whether now is the time to invest in Lululemon stock.