Lululemon Athletica (NASDAQ:LULU) Stock Price Expected to Rise, Morgan Stanley Analyst Says

by · The Markets Daily

Lululemon Athletica (NASDAQ:LULU – Get Free Report) had its price objective increased by analysts at Morgan Stanley from $314.00 to $345.00 in a note issued to investors on Tuesday,Benzinga reports. The firm presently has an “overweight” rating on the apparel retailer’s stock. Morgan Stanley’s target price points to a potential upside of 7.60% from the company’s previous close.

Several other equities analysts also recently weighed in on the stock. Guggenheim cut their price target on shares of Lululemon Athletica from $525.00 to $350.00 and set a “buy” rating on the stock in a report on Friday, August 30th. Stifel Nicolaus reduced their target price on shares of Lululemon Athletica from $416.00 to $370.00 and set a “buy” rating for the company in a report on Thursday, August 22nd. TD Cowen lowered their price target on shares of Lululemon Athletica from $420.00 to $375.00 and set a “buy” rating on the stock in a report on Tuesday, August 27th. Truist Financial lifted their price objective on Lululemon Athletica from $310.00 to $360.00 and gave the company a “buy” rating in a research note on Tuesday, November 5th. Finally, Wells Fargo & Company lowered their target price on Lululemon Athletica from $350.00 to $285.00 and set an “equal weight” rating on the stock in a research note on Friday, August 23rd. Two research analysts have rated the stock with a sell rating, ten have given a hold rating and nineteen have assigned a buy rating to the company. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $358.13.

Check Out Our Latest Report on Lululemon Athletica

Lululemon Athletica Stock Performance

Shares of LULU traded down $6.09 during mid-day trading on Tuesday, hitting $320.63. 477,470 shares of the stock were exchanged, compared to its average volume of 2,081,653. The firm has a 50-day moving average of $293.06 and a two-hundred day moving average of $287.86. Lululemon Athletica has a 52-week low of $226.01 and a 52-week high of $516.39. The company has a market cap of $39.37 billion, a PE ratio of 24.79, a price-to-earnings-growth ratio of 2.31 and a beta of 1.24.

Lululemon Athletica (NASDAQ:LULU – Get Free Report) last issued its quarterly earnings results on Thursday, August 29th. The apparel retailer reported $3.15 EPS for the quarter, topping analysts’ consensus estimates of $2.93 by $0.22. The company had revenue of $2.40 billion during the quarter, compared to analysts’ expectations of $2.41 billion. Lululemon Athletica had a return on equity of 42.59% and a net margin of 16.34%. The firm’s revenue was up 9.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.68 EPS. On average, sell-side analysts predict that Lululemon Athletica will post 14.02 EPS for the current year.

Insiders Place Their Bets

In other news, CEO Calvin Mcdonald purchased 4,000 shares of Lululemon Athletica stock in a transaction dated Tuesday, September 3rd. The shares were purchased at an average price of $260.00 per share, with a total value of $1,040,000.00. Following the transaction, the chief executive officer now owns 89,922 shares in the company, valued at $23,379,720. This represents a 4.66 % increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Nicole Neuburger sold 486 shares of the company’s stock in a transaction that occurred on Thursday, September 26th. The shares were sold at an average price of $269.59, for a total value of $131,020.74. Following the completion of the transaction, the insider now owns 6,198 shares in the company, valued at $1,670,918.82. This represents a 7.27 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 0.48% of the company’s stock.

Institutional Trading of Lululemon Athletica

A number of hedge funds and other institutional investors have recently modified their holdings of LULU. Value Star Asset Management Hong Kong Ltd increased its holdings in Lululemon Athletica by 19,890.3% in the 2nd quarter. Value Star Asset Management Hong Kong Ltd now owns 4,653,746 shares of the apparel retailer’s stock valued at $1,390,074,000 after purchasing an additional 4,630,466 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of Lululemon Athletica by 1.8% in the 3rd quarter. Geode Capital Management LLC now owns 2,474,828 shares of the apparel retailer’s stock valued at $669,036,000 after buying an additional 44,294 shares during the period. American Century Companies Inc. raised its holdings in shares of Lululemon Athletica by 4.9% in the 2nd quarter. American Century Companies Inc. now owns 1,769,096 shares of the apparel retailer’s stock valued at $528,429,000 after buying an additional 82,731 shares during the period. Legal & General Group Plc lifted its stake in Lululemon Athletica by 3.7% during the 2nd quarter. Legal & General Group Plc now owns 1,040,384 shares of the apparel retailer’s stock worth $310,763,000 after acquiring an additional 37,239 shares in the last quarter. Finally, International Assets Investment Management LLC boosted its holdings in Lululemon Athletica by 74,856.2% during the 3rd quarter. International Assets Investment Management LLC now owns 895,726 shares of the apparel retailer’s stock valued at $243,055,000 after acquiring an additional 894,531 shares during the period. 85.20% of the stock is owned by institutional investors and hedge funds.

Lululemon Athletica Company Profile

(Get Free Report)

Lululemon Athletica Inc, together with its subsidiaries, designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. It offers pants, shorts, tops, and jackets for healthy lifestyle, such as yoga, running, training, and other activities. It also provides fitness-inspired accessories.

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