Lululemon Athletica Inc. (NASDAQ:LULU) Receives Average Recommendation of “Moderate Buy” from Analysts

Lululemon Athletica Inc. (NASDAQ:LULU) has received a consensus rating of “Moderate Buy” from the thirty-two ratings firms that are currently covering the stock, Marketbeat Ratings reports. Two equities research analysts have rated the stock with a sell rating, six have given a hold rating and twenty-four have assigned a buy rating to the company. The average 1 year price target among brokers that have issued ratings on the stock in the last year is $433.06.

LULU has been the topic of a number of research reports. Robert W. Baird cut their target price on shares of Lululemon Athletica from $555.00 to $505.00 and set an “outperform” rating on the stock in a research note on Friday, April 19th. Bank of America raised their target price on shares of Lululemon Athletica from $430.00 to $440.00 and gave the company a “buy” rating in a research note on Thursday, June 6th. Wells Fargo & Company dropped their price target on shares of Lululemon Athletica from $425.00 to $350.00 and set an “equal weight” rating on the stock in a research note on Thursday, June 6th. Telsey Advisory Group dropped their price target on shares of Lululemon Athletica from $550.00 to $470.00 and set an “outperform” rating on the stock in a research note on Thursday, June 6th. Finally, HSBC raised shares of Lululemon Athletica from a “hold” rating to a “buy” rating and lifted their price target for the stock from $405.00 to $425.00 in a research note on Thursday, June 6th.

Lululemon Athletica Stock Down 0.5 %

Shares of LULU opened at $306.01 on Friday. The company’s fifty day moving average is $334.65 and its two-hundred day moving average is $418.73. Lululemon Athletica has a fifty-two week low of $293.03 and a fifty-two week high of $516.39. The firm has a market cap of $38.56 billion, a PE ratio of 24.54, a price-to-earnings-growth ratio of 1.41 and a beta of 1.27.

Lululemon Athletica (NASDAQ:LULU) last issued its earnings results on Wednesday, June 5th. The apparel retailer reported $2.54 EPS for the quarter, beating analysts’ consensus estimates of $2.38 by $0.16. Lululemon Athletica had a net margin of 16.09% and a return on equity of 42.64%. The business had revenue of $2.21 billion for the quarter, compared to the consensus estimate of $2.20 billion. During the same quarter last year, the firm posted $2.28 EPS. The business’s revenue for the quarter was up 10.4% compared to the same quarter last year. As a group, equities research analysts anticipate that Lululemon Athletica will post 14.29 earnings per share for the current year.

Lululemon Athletica announced that its board has approved a share repurchase program on Wednesday, June 5th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the apparel retailer to purchase up to 2.5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s board of directors believes its shares are undervalued.

Insider Buying and Selling

In other news, Director Martha A. M. Morfitt purchased 700 shares of the business’s stock in a transaction dated Tuesday, March 26th. The shares were acquired at an average price of $389.29 per share, for a total transaction of $272,503.00. Following the completion of the acquisition, the director now directly owns 500 shares of the company’s stock, valued at $194,645. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.48% of the company’s stock.

Institutional Investors Weigh In On Lululemon Athletica

Large investors have recently made changes to their positions in the company. Valley National Advisers Inc. increased its stake in Lululemon Athletica by 600.0% in the 4th quarter. Valley National Advisers Inc. now owns 49 shares of the apparel retailer’s stock valued at $25,000 after buying an additional 42 shares during the period. Tidemark LLC acquired a new position in Lululemon Athletica in the 4th quarter valued at approximately $26,000. Scarborough Advisors LLC acquired a new position in Lululemon Athletica in the 4th quarter valued at approximately $26,000. Benjamin Edwards Inc. increased its stake in Lululemon Athletica by 176.0% in the 1st quarter. Benjamin Edwards Inc. now owns 69 shares of the apparel retailer’s stock valued at $27,000 after buying an additional 44 shares during the period. Finally, Riverview Trust Co acquired a new position in Lululemon Athletica in the 1st quarter valued at approximately $29,000. Institutional investors and hedge funds own 85.20% of the company’s stock.

Lululemon Athletica Company Profile

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.