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Lululemon (LULU) Sees a More Significant Dip Than Broader Market: Some Facts to Know
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Lululemon (LULU - Free Report) ended the recent trading session at $347.16, demonstrating a -1.64% swing from the preceding day's closing price. This change lagged the S&P 500's 0.02% loss on the day. On the other hand, the Dow registered a loss of 0.21%, and the technology-centric Nasdaq increased by 0.29%.
Prior to today's trading, shares of the athletic apparel maker had gained 5.01% over the past month. This has outpaced the Consumer Discretionary sector's loss of 1.98% and the S&P 500's gain of 1.29% in that time.
The investment community will be closely monitoring the performance of Lululemon in its forthcoming earnings report. The company is expected to report EPS of $2.39, up 4.82% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $2.2 billion, reflecting a 9.96% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $14.15 per share and a revenue of $10.77 billion, signifying shifts of +10.81% and +11.92%, respectively, from the last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Lululemon. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Lululemon presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Lululemon currently has a Forward P/E ratio of 24.94. This represents a premium compared to its industry's average Forward P/E of 11.4.
Meanwhile, LULU's PEG ratio is currently 1.25. 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. By the end of yesterday's trading, the Textile - Apparel industry had an average PEG ratio of 1.36.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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) Sees a More Significant Dip Than Broader Market: Some Facts to Know
Lululemon (LULU - Free Report) ended the recent trading session at $347.16, demonstrating a -1.64% swing from the preceding day's closing price. This change lagged the S&P 500's 0.02% loss on the day. On the other hand, the Dow registered a loss of 0.21%, and the technology-centric Nasdaq increased by 0.29%.
Prior to today's trading, shares of the athletic apparel maker had gained 5.01% over the past month. This has outpaced the Consumer Discretionary sector's loss of 1.98% and the S&P 500's gain of 1.29% in that time.
The investment community will be closely monitoring the performance of Lululemon in its forthcoming earnings report. The company is expected to report EPS of $2.39, up 4.82% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $2.2 billion, reflecting a 9.96% rise from the equivalent quarter last year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $14.15 per share and a revenue of $10.77 billion, signifying shifts of +10.81% and +11.92%, respectively, from the last year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Lululemon. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed an unchanged state. Lululemon presently features a Zacks Rank of #3 (Hold).
Digging into valuation, Lululemon currently has a Forward P/E ratio of 24.94. This represents a premium compared to its industry's average Forward P/E of 11.4.
Meanwhile, LULU's PEG ratio is currently 1.25. 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. By the end of yesterday's trading, the Textile - Apparel industry had an average PEG ratio of 1.36.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 158, which puts it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in 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.