Lululemon (LULU - Free Report) closed the most recent trading day at $251.41, moving -1.66% from the previous trading session. This change lagged the S&P 500's daily loss of 1.05%. Elsewhere, the Dow lost 1.59%, while the tech-heavy Nasdaq lost 0.54%.
Investors will be hoping for strength from LULU as it approaches its next earnings release. On that day, LULU is projected to report earnings of $0.30 per share, which would represent a year-over-year decline of 59.46%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $737.25 million, down 5.76% from the year-ago period.
LULU's full-year Zacks Consensus Estimates are calling for earnings of $4.71 per share and revenue of $4.22 billion. These results would represent year-over-year changes of -4.46% and +6.1%, respectively.
Investors should also note any recent changes to analyst estimates for LULU. 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.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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. Over the past month, the Zacks Consensus EPS estimate has moved 2.13% higher. LULU is currently a Zacks Rank #3 (Hold).
Investors should also note LULU's current valuation metrics, including its Forward P/E ratio of 54.31. This valuation marks a premium compared to its industry's average Forward P/E of 15.53.
Meanwhile, LULU's PEG ratio is currently 3.28. 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. LULU's industry had an average PEG ratio of 2.91 as of yesterday's close.
The Textile - Apparel industry is part of the Consumer Discretionary sector. This industry currently has a Zacks Industry Rank of 179, which puts it in the bottom 30% 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.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.