Oppenheimer Reiterates Outperform on lululemon athletica (LULU) Following 2Q
- Wall St. touches two-week high on deals, strong earnings
- Unusual 11 Mid-Day Movers 10/24: (UNIS) (MBVT) (ACCO) Higher; (TDW) (INO) (BCC) Lower
- AT&T (T) to Acquire Time Warner (TWX) for $107.50/Share
- Rockwell Collins (COL) to Acquire B/E Aerospace (BEAV) for $6.4B
- TD Ameritrade (AMTD) to Acquire Scottrade in $4B Cash & Stock Deal
News and research before you hear about it on CNBC and others. Claim your 2-week free trial to StreetInsider Premium here.
Oppenheimer reiterated an Outperform rating and $80.00 price target on Lululemon Athletica Inc. (NASDAQ: LULU) following the company's 2Q earnings report.
Analyst Anna Andreeva commented, "LULU's supply chain/efficiency initiatives finally bearing fruit with 2Q16 gross margins up 260 bps (beating guidance by 140 bps), first increase since 1Q14, paving the way for first year of much anticipated margin expansion in five years. Unlike most of our names, LULU's 2Q16 comps didn't improve vs. 1Q16 at just in line driven by continued traffic choppiness (decelerated vs. 1Q16) and offset by higher AUR/UPTs as product from new team is resonating (women's tops up LSD last two quarters). With shares down 8% AMC, we think some multiple reset necessary; with MSD comps, 10-12% sq. ft. growth and inventories in great shape (down 15%/sq. ft.), LULU still our favorite athletic play, with earnings growth accelerating into 2H16/'17."
Shares of Lululemon Athletica Inc. closed at $76.66 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Susquehanna Cuts Price Target on KLA-Tencor (KLAC) Following Strong 1Q
- Oppenheimer Raises Price Target on Microsoft (MSFT) to $65 Following 1Q Beat
- Two Reasons Alphabet (GOOG) Could Outperform After Earnings - Nomura
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst EPS View
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!