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Lululemon (LULU) Outpaces Stock Market Gains: What You Should Know
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Lululemon (LULU - Free Report) closed at $342.90 in the latest trading session, marking a +1.43% move from the prior day. This change outpaced the S&P 500's 0.68% gain on the day.
Coming into today, shares of the athletic apparel maker had gained 10.22% in the past month. In that same time, the Consumer Discretionary sector gained 0.4%, while the S&P 500 gained 5.41%.
LULU will be looking to display strength as it nears its next earnings release. On that day, LULU is projected to report earnings of $0.90 per share, which would represent year-over-year growth of 309.09%. Meanwhile, our latest consensus estimate is calling for revenue of $1.11 billion, up 70.98% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $6.49 per share and revenue of $5.66 billion, which would represent changes of +38.09% and +28.5%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for LULU. Recent revisions tend to reflect the latest near-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. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.61% lower. LULU is currently a Zacks Rank #4 (Sell).
Valuation is also important, so investors should note that LULU has a Forward P/E ratio of 52.13 right now. This valuation marks a premium compared to its industry's average Forward P/E of 23.77.
Meanwhile, LULU's PEG ratio is currently 2.84. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Textile - Apparel was holding an average PEG ratio of 2.5 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 55, which puts it in the top 22% of all 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.
To follow LULU in the coming trading sessions, be sure to utilize Zacks.com.
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Lululemon (LULU) Outpaces Stock Market Gains: What You Should Know
Lululemon (LULU - Free Report) closed at $342.90 in the latest trading session, marking a +1.43% move from the prior day. This change outpaced the S&P 500's 0.68% gain on the day.
Coming into today, shares of the athletic apparel maker had gained 10.22% in the past month. In that same time, the Consumer Discretionary sector gained 0.4%, while the S&P 500 gained 5.41%.
LULU will be looking to display strength as it nears its next earnings release. On that day, LULU is projected to report earnings of $0.90 per share, which would represent year-over-year growth of 309.09%. Meanwhile, our latest consensus estimate is calling for revenue of $1.11 billion, up 70.98% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $6.49 per share and revenue of $5.66 billion, which would represent changes of +38.09% and +28.5%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for LULU. Recent revisions tend to reflect the latest near-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. 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 ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.61% lower. LULU is currently a Zacks Rank #4 (Sell).
Valuation is also important, so investors should note that LULU has a Forward P/E ratio of 52.13 right now. This valuation marks a premium compared to its industry's average Forward P/E of 23.77.
Meanwhile, LULU's PEG ratio is currently 2.84. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Textile - Apparel was holding an average PEG ratio of 2.5 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 55, which puts it in the top 22% of all 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.
To follow LULU in the coming trading sessions, be sure to utilize Zacks.com.