Lululemon Athletica (LULU) Stock Price: $500 Target By Raymond James

By Amit Chowdhry ● December 9, 2020
  • The shares of Lululemon Athletica Inc (NASDAQ: LULU) has received a stock price target increase from $400 to $500 by Raymond James. These are the details.

The shares of Lululemon Athletica Inc (NASDAQ: LULU) has received a stock price target increase from $400 to $500 by Raymond James. And Raymond James analyst Matthew McClintock is also keeping a “Strong Buy” rating on the company shares.

In the research report, McClintock reported he has “a difficult time conceptualizing the potential challenges to the underlying Lululemon story” according to Barron’s. Even though Lululemon is trading at about 60 times the earnings, McClintock noted that this is not an insurmountable obstacle. Under Armour was trading at similar metrics between 2014 to 2016.

Lululemon is expected to see an accelerating top-line and same-store sales growth in 2021. Plus Lululemon’s acquisition of Mirror has a proven business model.

Disclosure: I have a small LULU position in my stock portfolio.