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Lululemon (LULU) Stock Falls Amid Market Uptick: What Investors Need to Know
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Lululemon (LULU - Free Report) closed at $350.24 in the latest trading session, marking a -1.38% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 1.03%. Meanwhile, the Dow gained 0.46%, and the Nasdaq, a tech-heavy index, added 1.19%.
The athletic apparel maker's shares have seen a decrease of 0.48% over the last month, surpassing the Consumer Discretionary sector's loss of 4.02% and the S&P 500's loss of 1.57%.
The investment community will be paying close attention to the earnings performance of Lululemon in its upcoming release. On that day, Lululemon is projected to report earnings of $2.39 per share, which would represent year-over-year growth of 4.82%. Meanwhile, the latest consensus estimate predicts the revenue to be $2.2 billion, indicating a 9.96% increase compared to the same quarter of the previous year.
LULU's full-year Zacks Consensus Estimates are calling for earnings of $14.15 per share and revenue of $10.77 billion. These results would represent year-over-year changes of +10.81% and +11.92%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Lululemon. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.14% decrease. Right now, Lululemon possesses a Zacks Rank of #3 (Hold).
With respect to valuation, Lululemon is currently being traded at a Forward P/E ratio of 25.09. This indicates a premium in contrast to its industry's Forward P/E of 11.26.
We can additionally observe that LULU currently boasts a PEG ratio of 1.25. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LULU's industry had an average PEG ratio of 1.38 as of yesterday's close.
The Textile - Apparel industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 224, placing it within the bottom 12% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Lululemon (LULU) Stock Falls Amid Market Uptick: What Investors Need to Know
Lululemon (LULU - Free Report) closed at $350.24 in the latest trading session, marking a -1.38% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 1.03%. Meanwhile, the Dow gained 0.46%, and the Nasdaq, a tech-heavy index, added 1.19%.
The athletic apparel maker's shares have seen a decrease of 0.48% over the last month, surpassing the Consumer Discretionary sector's loss of 4.02% and the S&P 500's loss of 1.57%.
The investment community will be paying close attention to the earnings performance of Lululemon in its upcoming release. On that day, Lululemon is projected to report earnings of $2.39 per share, which would represent year-over-year growth of 4.82%. Meanwhile, the latest consensus estimate predicts the revenue to be $2.2 billion, indicating a 9.96% increase compared to the same quarter of the previous year.
LULU's full-year Zacks Consensus Estimates are calling for earnings of $14.15 per share and revenue of $10.77 billion. These results would represent year-over-year changes of +10.81% and +11.92%, respectively.
Investors should also pay attention to any latest changes in analyst estimates for Lululemon. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.14% decrease. Right now, Lululemon possesses a Zacks Rank of #3 (Hold).
With respect to valuation, Lululemon is currently being traded at a Forward P/E ratio of 25.09. This indicates a premium in contrast to its industry's Forward P/E of 11.26.
We can additionally observe that LULU currently boasts a PEG ratio of 1.25. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. LULU's industry had an average PEG ratio of 1.38 as of yesterday's close.
The Textile - Apparel industry is part of the Consumer Discretionary sector. At present, this industry carries a Zacks Industry Rank of 224, placing it within the bottom 12% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.