Lululemon Athletica (NASDAQ:LULU) Shares Down 3.5% - What's Next?

Lululemon Athletica Inc. (NASDAQ:LULU - Get Free Report)'s share price was down 3.5% on Wednesday . The stock traded as low as $375.10 and last traded at $375.27. Approximately 949,949 shares traded hands during mid-day trading, a decline of 38% from the average daily volume of 1,526,299 shares. The stock had previously closed at $388.74.

Analyst Upgrades and Downgrades

A number of brokerages have issued reports on LULU. Telsey Advisory Group lifted their price objective on Lululemon Athletica from $430.00 to $445.00 and gave the company an "outperform" rating in a research note on Tuesday. Guggenheim lifted their price target on Lululemon Athletica from $350.00 to $415.00 and gave the stock a "buy" rating in a research report on Friday, December 6th. Robert W. Baird increased their price objective on shares of Lululemon Athletica from $380.00 to $440.00 and gave the company an "outperform" rating in a research report on Friday, December 6th. BMO Capital Markets upped their target price on shares of Lululemon Athletica from $265.00 to $302.00 and gave the stock a "market perform" rating in a research note on Friday, December 6th. Finally, Truist Financial upped their price objective on Lululemon Athletica from $420.00 to $460.00 and gave the company a "buy" rating in a research report on Friday, January 10th. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating and twenty have given a buy rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $390.33.

Lululemon Athletica Stock Performance

The stock has a 50-day moving average price of $361.31 and a two-hundred day moving average price of $304.04. The stock has a market capitalization of $45.51 billion, a PE ratio of 26.98, a PEG ratio of 2.71 and a beta of 1.18.

Lululemon Athletica (NASDAQ:LULU - Get Free Report) last posted its quarterly earnings results on Thursday, December 5th. The apparel retailer reported $2.87 earnings per share for the quarter, topping analysts' consensus estimates of $2.69 by $0.18. The business had revenue of $2.40 billion during the quarter, compared to analyst estimates of $2.36 billion. Lululemon Athletica had a net margin of 17.05% and a return on equity of 42.16%. The company's revenue was up 9.1% on a year-over-year basis. During the same period in the prior year, the business posted $2.53 earnings per share. As a group, equities analysts predict that Lululemon Athletica Inc. will post 14.18 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Nicole Neuburger sold 2,022 shares of the company's stock in a transaction on Thursday, December 26th. The shares were sold at an average price of $387.11, for a total transaction of $782,736.42. Following the completion of the transaction, the insider now owns 6,198 shares in the company, valued at approximately $2,399,307.78. This represents a 24.60 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Celeste Burgoyne sold 24,870 shares of the firm's stock in a transaction on Monday, December 9th. The shares were sold at an average price of $405.54, for a total transaction of $10,085,779.80. Following the transaction, the insider now directly owns 12,429 shares of the company's stock, valued at $5,040,456.66. The trade was a 66.68 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.48% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in LULU. Dimensional Fund Advisors LP grew its holdings in Lululemon Athletica by 38.2% during the 2nd quarter. Dimensional Fund Advisors LP now owns 737,872 shares of the apparel retailer's stock valued at $220,423,000 after buying an additional 203,882 shares in the last quarter. Citizens Financial Group Inc. RI grew its holdings in shares of Lululemon Athletica by 10.2% in the second quarter. Citizens Financial Group Inc. RI now owns 841 shares of the apparel retailer's stock valued at $251,000 after purchasing an additional 78 shares in the last quarter. Edgestream Partners L.P. bought a new stake in Lululemon Athletica in the second quarter worth $2,751,000. Axxcess Wealth Management LLC raised its stake in Lululemon Athletica by 52.3% during the second quarter. Axxcess Wealth Management LLC now owns 1,467 shares of the apparel retailer's stock valued at $438,000 after purchasing an additional 504 shares in the last quarter. Finally, Amalgamated Bank lifted its position in Lululemon Athletica by 1.5% during the second quarter. Amalgamated Bank now owns 25,040 shares of the apparel retailer's stock valued at $7,479,000 after purchasing an additional 367 shares during the last quarter. Institutional investors own 85.20% of the company's stock.

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.

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