Lululemon (LULU - Free Report) closed the most recent trading day at $183.87, moving -1.17% from the previous trading session. This change lagged the S&P 500's 0.45% gain on the day. At the same time, the Dow added 0.29%, and the tech-heavy Nasdaq gained 0.75%.
Coming into today, shares of the athletic apparel maker had gained 8.4% in the past month. In that same time, the Consumer Discretionary sector gained 3.74%, while the S&P 500 gained 3.84%.
Wall Street will be looking for positivity from LULU as it approaches its next earnings report date. On that day, LULU is projected to report earnings of $0.88 per share, which would represent year-over-year growth of 23.94%. Our most recent consensus estimate is calling for quarterly revenue of $840.55 million, up 16.18% from the year-ago period.
LULU's full-year Zacks Consensus Estimates are calling for earnings of $4.70 per share and revenue of $3.79 billion. These results would represent year-over-year changes of +22.4% and +15.37%, respectively.
Investors might also notice recent changes to analyst estimates for LULU. These revisions help to show the ever-changing nature of 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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.12% higher. LULU currently has a Zacks Rank of #2 (Buy).
Digging into valuation, LULU currently has a Forward P/E ratio of 39.61. This valuation marks a premium compared to its industry's average Forward P/E of 14.96.
Meanwhile, LULU's PEG ratio is currently 2.15. 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. Textile - Apparel stocks are, on average, holding a PEG ratio of 1.39 based on yesterday's closing prices.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 189, which puts it in the bottom 27% 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.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.