Lululemon Athletica (NASDAQ:LULU) Updates Q3 Earnings Guidance

Lululemon Athletica (NASDAQ:LULU) updated its third quarter earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of $2.68-$2.73 for the period, compared to the consensus estimate of $2.70. The company issued revenue guidance of $2.340-$2.365, compared to the consensus revenue estimate of $2.41 billion. Lululemon Athletica also updated its FY 2024 guidance to 13.950-14.150 EPS.

Analyst Ratings Changes

LULU has been the subject of several research reports. Guggenheim lowered their price objective on shares of Lululemon Athletica from $525.00 to $350.00 and set a buy rating for the company in a research note on Friday. BMO Capital Markets reduced their price target on shares of Lululemon Athletica from $420.00 to $384.00 and set a market perform rating for the company in a research note on Thursday, June 6th. Bank of America decreased their price objective on shares of Lululemon Athletica from $440.00 to $355.00 and set a buy rating for the company in a report on Friday. Wells Fargo & Company reduced their price objective on shares of 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. Finally, Piper Sandler boosted their target price on shares of Lululemon Athletica from $250.00 to $260.00 and gave the company a neutral rating in a research report on Friday. Two investment analysts have rated the stock with a sell rating, ten have given a hold rating and twenty-one have issued a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of Moderate Buy and an average price target of $355.84.

Lululemon Athletica Stock Performance

Lululemon Athletica stock traded up $0.46 during midday trading on Friday, reaching $259.47. 7,373,333 shares of the stock were exchanged, compared to its average volume of 2,135,763. Lululemon Athletica has a 52 week low of $226.01 and a 52 week high of $516.39. The firm has a market cap of $32.43 billion, a PE ratio of 20.81, a PEG ratio of 1.25 and a beta of 1.26. The company’s fifty day moving average is $272.61 and its 200-day moving average is $341.27.

Lululemon Athletica (NASDAQ:LULU) last released its earnings results on Thursday, August 29th. The apparel retailer reported $3.15 earnings per share for the quarter, beating analysts’ consensus estimates of $2.93 by $0.22. Lululemon Athletica had a net margin of 16.09% and a return on equity of 42.64%. The company had revenue of $2.40 billion for the quarter, compared to analysts’ expectations of $2.41 billion. During the same quarter in the previous year, the company earned $2.68 EPS. Lululemon Athletica’s revenue for the quarter was up 9.1% on a year-over-year basis. On average, sell-side analysts anticipate that Lululemon Athletica will post 14.22 earnings per share for the current fiscal year.

Lululemon Athletica declared that its board has approved a share buyback plan on Wednesday, June 5th that authorizes the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization authorizes the apparel retailer to reacquire up to 2.5% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

About Lululemon Athletica

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.