Jefferies Maintains a 'Hold' on Lululemon Athletica (LULU); 2Q Recap

Jefferies maintains a 'Hold' on Lululemon Athletica (NASDAQ: LULU) price target raised $3 to $59.

Jefferies analyst says, "Using one word to describe this morning's call, we would call it "fine". Inventories continue to restrain sales, more than we originally anticipated, but are close to achieving a better balance to demand. On that point, all indications point to continued global strength in market demand for LULU branded goods despite increased competition and macro headwinds. Think today's -7% move is a fair valuation correction." (Jefferies analyst raises FY11 EPS estimate from $1.11 to $1.18 and FY12 from $1.48 to $1.58)

For more ratings news on Lululemon Athletica Inc. click here and for the rating history of Lululemon Athletica Inc. click here.

Shares of Lululemon Athletica Inc. closed at $55.06 yesterday.

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