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Lululemon (LULU) Gains As Market Dips: What You Should Know
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Lululemon (LULU - Free Report) closed at $310.45 in the latest trading session, marking a +0.38% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.88%. At the same time, the Dow lost 0.73%, and the tech-heavy Nasdaq lost 4.59%.
Coming into today, shares of the athletic apparel maker had lost 0.86% in the past month. In that same time, the Consumer Discretionary sector gained 8.19%, while the S&P 500 gained 5.83%.
Investors will be hoping for strength from Lululemon as it approaches its next earnings release. In that report, analysts expect Lululemon to post earnings of $4.24 per share. This would mark year-over-year growth of 25.82%. Our most recent consensus estimate is calling for quarterly revenue of $2.69 billion, up 26.14% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Lululemon. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.18% lower within the past month. Lululemon is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Lululemon is holding a Forward P/E ratio of 27.25. This represents a premium compared to its industry's average Forward P/E of 13.64.
It is also worth noting that LULU currently has a PEG ratio of 1.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Textile - Apparel was holding an average PEG ratio of 1.31 at yesterday's closing price.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Lululemon (LULU) Gains As Market Dips: What You Should Know
Lululemon (LULU - Free Report) closed at $310.45 in the latest trading session, marking a +0.38% move from the prior day. The stock outpaced the S&P 500's daily loss of 0.88%. At the same time, the Dow lost 0.73%, and the tech-heavy Nasdaq lost 4.59%.
Coming into today, shares of the athletic apparel maker had lost 0.86% in the past month. In that same time, the Consumer Discretionary sector gained 8.19%, while the S&P 500 gained 5.83%.
Investors will be hoping for strength from Lululemon as it approaches its next earnings release. In that report, analysts expect Lululemon to post earnings of $4.24 per share. This would mark year-over-year growth of 25.82%. Our most recent consensus estimate is calling for quarterly revenue of $2.69 billion, up 26.14% from the year-ago period.
Investors should also note any recent changes to analyst estimates for Lululemon. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.18% lower within the past month. Lululemon is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, Lululemon is holding a Forward P/E ratio of 27.25. This represents a premium compared to its industry's average Forward P/E of 13.64.
It is also worth noting that LULU currently has a PEG ratio of 1.36. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Textile - Apparel was holding an average PEG ratio of 1.31 at yesterday's closing price.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 105, which puts it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.