Lululemon Athletica (NASDAQ:LULU) Trading Down 1%

Lululemon Athletica Inc. (NASDAQ:LULU) fell 1% during trading on Tuesday . The company traded as low as $244.88 and last traded at $246.18. 378,869 shares were traded during mid-day trading, a decline of 82% from the average session volume of 2,133,327 shares. The stock had previously closed at $248.59.

Analyst Ratings Changes

Several brokerages have issued reports on LULU. Raymond James reduced their price target on shares of Lululemon Athletica from $350.00 to $325.00 and set an “outperform” rating on the stock in a report on Monday, September 2nd. Barclays reduced their target price on Lululemon Athletica from $263.00 to $261.00 and set an “equal weight” rating on the stock in a research note on Friday, August 30th. Sanford C. Bernstein cut their price target on Lululemon Athletica from $345.00 to $325.00 and set a “market perform” rating for the company in a report on Friday, August 30th. BMO Capital Markets dropped their price objective on Lululemon Athletica from $420.00 to $384.00 and set a “market perform” rating for the company in a research report on Thursday, June 6th. Finally, Guggenheim reduced their price objective on shares of Lululemon Athletica from $525.00 to $350.00 and set a “buy” rating on the stock in a research note on Friday, August 30th. Two research analysts have rated the stock with a sell rating, ten have issued a hold rating and twenty-one have assigned a buy rating to the company. According to MarketBeat.com, Lululemon Athletica has an average rating of “Moderate Buy” and a consensus price target of $354.94.

Lululemon Athletica Stock Performance

The business has a fifty day simple moving average of $263.45 and a 200 day simple moving average of $327.92. The company has a market cap of $31.88 billion, a P/E ratio of 20.47, a P/E/G ratio of 1.37 and a beta of 1.25.

Lululemon Athletica (NASDAQ:LULU) last released its earnings results on Thursday, August 29th. The apparel retailer reported $3.15 earnings per share for the quarter, beating the consensus estimate of $2.93 by $0.22. Lululemon Athletica had a net margin of 16.34% and a return on equity of 42.59%. The firm had revenue of $2.40 billion during the quarter, compared to analyst estimates of $2.41 billion. During the same quarter in the previous year, the firm earned $2.68 earnings per share. The firm’s revenue for the quarter was up 9.1% compared to the same quarter last year. Equities research analysts expect that Lululemon Athletica Inc. will post 14.03 EPS for the current year.

Lululemon Athletica declared that its board has approved a stock buyback plan on Wednesday, June 5th that authorizes the company to buyback $1.00 billion in shares. This buyback authorization authorizes the apparel retailer to purchase up to 2.5% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s management believes its shares are undervalued.

Insider Transactions at Lululemon Athletica

In related news, CEO Calvin Mcdonald acquired 4,000 shares of Lululemon Athletica stock in a transaction that occurred on Tuesday, September 3rd. The stock was acquired at an average price of $260.00 per share, for a total transaction of $1,040,000.00. Following the transaction, the chief executive officer now directly owns 89,922 shares of the company’s stock, valued at approximately $23,379,720. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders own 0.48% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. boosted its position in Lululemon Athletica by 1.6% during the 1st quarter. Vanguard Group Inc. now owns 9,847,954 shares of the apparel retailer’s stock worth $3,847,103,000 after acquiring an additional 154,985 shares during the period. Value Star Asset Management Hong Kong Ltd lifted its holdings in Lululemon Athletica by 19,890.3% in the second quarter. Value Star Asset Management Hong Kong Ltd now owns 4,653,746 shares of the apparel retailer’s stock worth $1,390,074,000 after purchasing an additional 4,630,466 shares during the period. American Century Companies Inc. grew its position in Lululemon Athletica by 4.9% in the 2nd quarter. American Century Companies Inc. now owns 1,769,096 shares of the apparel retailer’s stock valued at $528,429,000 after buying an additional 82,731 shares in the last quarter. Capital World Investors increased its stake in Lululemon Athletica by 0.9% during the 4th quarter. Capital World Investors now owns 1,547,793 shares of the apparel retailer’s stock valued at $791,371,000 after buying an additional 14,112 shares during the period. Finally, Bank of New York Mellon Corp raised its position in shares of Lululemon Athletica by 1.7% during the 1st quarter. Bank of New York Mellon Corp now owns 1,139,812 shares of the apparel retailer’s stock worth $445,268,000 after buying an additional 18,924 shares in the last quarter. 85.20% of the stock is owned by institutional investors and hedge funds.

Lululemon Athletica Company Profile

Lululemon Athletica Inc, together with its subsidiaries, designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. It offers pants, shorts, tops, and jackets for healthy lifestyle, such as yoga, running, training, and other activities. It also provides fitness-inspired accessories.