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What's Next for Lululemon Stock & Buy Nike Ahead of Earnings?

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On today’s episode of Full Court Finance here at Zacks, Ben Rains dives into Lululemon (LULU - Free Report) stock to help investors decide what to do with the athleisure firm after its first quarter financial results. We then look ahead at what to expect from Nike’s (NKE - Free Report) upcoming quarterly earnings to help figure out if the sportswear giant is a buy despite coronavirus setbacks?

All three major U.S. indexes posted solid weekly gains last week, as Wall Street largely remains in don’t fight the Fed Mode. Investors have also remained relatively positive about the economic recovery from the coronavirus lockdowns despite reports of spikes in cases.  

Apple (AAPL - Free Report) recently announced it was closing stores in Florida, Arizona, and the Carolinas amid an uptick in reported coronavirus cases. But that hasn’t deterred investors, with AAPL stock trading at new highs as of Monday afternoon.

It’s also worth remembering that retail giants such as Target (TGT - Free Report) , Walmart (WMT - Free Report) , Kroger (KR - Free Report) , and other “essential” businesses have all remained open through the pandemic. And they all flexed their e-commerce muscles during this past earnings season, alongside Amazon (AMZN - Free Report) .

With this in mind, we dive into what might be next for Lululemon stock after its Q1 results highlighted how hard the coronavirus hurt “non-essential” businesses last quarter. The firm’s first quarter results, reported on June 11, might help us better understand how Nike’s upcoming report will shake out. The sportswear powerhouse is set to release its Q4 fiscal 2020 financial results after the closing bell on Thursday, June 25.

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