Lululemon Athletica Inc. (LULU) PT Lowered to $360 at BTIG

BTIG analyst Janine Stichter lowered the price target on Lululemon Athletica Inc. (NASDAQ: LULU) to $360.00 (from $425.00) while maintaining a Buy rating.

The analyst commented: "We adjust our go forward estimates and price target. We move our Q2 EPS estimate to $2.92 from $2.97, at the lower end of guidance of $2.92-$2.97, to account for some additional sales and margin pressure toward the end of the quarter. We adjust '24 to $14.02 from $14.46, below guidance of $14.27-$14.47, now assuming a relatively steady trend in the Americas in H2 (vs. the slight acceleration we had previously embedded), and GM now down 30 bps YoY vs. guidance of flat to account for additional markdowns/product write-offs. Our revised price target of $360 (from $425) assumes shares trade at 23x P/E and 14x EV/EBITDA on our 2025 estimates (from 26x and 16x, respectively, previously) with the lower multiple to account for the increased uncertainty around execution risk. These multiples are a discount to historical levels, but a premium to current levels."

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