Lululemon (LULU) PT Cut to $45 at Canaccord Geunity, Sees Red Flags

Cowen Sees New Cycle for Retail M&A in 2016

In an extensive research report on the Retail sector Wednesday, multiple Cowen analysts including John Kernan, Oliver Chen, and Jerry Gray discussed a new cycle of M&A in the retail sector starting in 2016. The analysts said sector dislocation and valuation contraction creates opportunities for M&A and LBOs in retail. Meanwhile, they believe the market is under-appreciating the opportunity for a select number of companies expected to participate.

Cowen highlights that the group now trades at an average of 9x FY1 EV/EBITDA versus 11x FY1 EV/EBITDA in January 2015 This... More

Lululemon (LULU) PT Trimmed to $40 at FBR Capital as Gross Margin Recovery Pushed Out

FBR Capital maintained an Underperform rating on Lululemon Athletica Inc. (NASDAQ: LULU), and cut the price target to $40.00 (from $42.00), following the company's 3Q earnings report. LULU reported adjusted EPS of $0.35, vs. consensus estimates of $0.37 and guidance of $0.35$0.37. The bigger issue was the 4Q guide down and continuation of higher inventory into 4Q15/1Q16. Management guided 4Q EPS to $0.75 to $0.78.

Analyst Susan Anderson commented,... More

Bernstein Downgrades Lululemon Athletica Inc. (LULU) to Market Perform

Bernstein downgraded Lululemon Athletica Inc. (NASDAQ: LULU) from Outperform to Market Perform with a price target of $50.00 (from $62.00).

For an analyst ratings summary and ratings history on Lululemon Athletica Inc. click here. For more ratings news on Lululemon Athletica Inc. click here.

Shares of Lululemon Athletica Inc. closed at $45.32 yesterday.

Market Wrap: Stocks Slide for Third Session; Yahoo! Snubs Alibaba Spin; lululemon Hit on Lowered Outlook

Market wrap for December 9th

End of the Day: S&P 500 down 16.0 to 2,047.62; Dow Jones down 75.7 to 17,492.30; Nasdaq down 75.4 to 5,022.87

Market Brief: Markets weak once again as crude prices continued to slide on Wednesday. This is the third-straight close lower for the major exchanges.

Yahoo! affirmed speculation that it would cease plans to spin its Alibaba stake and instead look at alternatives.

Wholesale inventories showed a surprise drop in October.

Freeport-McMoRan joined Kinder Morgan in cutting dividend payouts, though the... More

Cowen Lowers Price Target on lululemon (LULU) to $52 on Weak Print, But Still Reasons to Remain Bullish

Cowen maintained an Outperform rating on Lululemon Athletica Inc. (NASDAQ: LULU), and cut the price target to $52.00 (from $62.00), following the company's 3Q earnings report. Focus remains on GM, which suffered on airfreight & markdowns. lululemon's women's business remains strong, with an acceleration in pant & bra... More

Lululemon (LULU) PT Cut to $50 at Mizuho

Mizuho Securities analyst Betty Chen reiterated a Neutral rating and lowered her price target on Lululemon Athletica Inc. (NASDAQ: LULU) to $50.00 (from $58.00) as below consensus forward guidance suggests further margin pressure amidst ongoing inventory concern.

Chen commented, "While improved QTD comp momentum (we believe +MSD-HSD)... More

Unusual 11 Mid-Day Movers 12/9: (FSNN) (VRA) (TERP) Higher; (AEZS) (SIGM) (ONTY) Lower

Fusion (Nasdaq: FSNN) 63.6% HIGHER; announced that it has acquired Fidelity Voice and Data ("Fidelity"). Beachwood, Ohio-based Fidelity provides cloud voice, cloud connectivity, security, data center and cloud storage services to approximately 2,000 small, medium, and large business customers in the Midwest and throughout the U.S. Fusion expects to complete the integration of Fidelity by the end of the second quarter of 2016.

Vera Bradley (Nasdaq: VRA) 36.4% HIGHER; reported Q3 EPS of $0.27, $0.07 better than the analyst estimate of $0.20. Revenue for the... More

Pre-Open Stock Movers 12/09: (VRA) (SUNE) (CARA) Higher; (AEZS) (ONTY) (SIGM) Lower (more...)

Aeterna Zentaris Inc. (NASDAQ: AEZS) 27.9% LOWER; announced the pricing of its previously announced underwritten public offering (the Offering) of common shares and warrants with a public offering price of US$5.55 for one common share together with a warrant to purchase 0.7 of a common share for gross proceeds of US$16.65 million. A total of 3.0 million common shares and warrants to acquire 2.1 million common shares are expected to be... More

lululemon athletica (LULU) Gaining Traction in Men's, but Inventory, Supply Chain Will Add Quarters of Pressure - FBR

FBR & Co. affirmed its Underperform rating and $42 price target on lululemon athletica (NASDAQ: LULU) following the company's quarterly report issued earlier.

Analyst Susan Anderson commented, We think LULU is gaining traction in men's and its brand continues to resonate well with women; however,... More

lululemon athletica (LULU) Tops Q3 EPS by 1c; Trims FY15 Outlook

lululemon athletica (NASDAQ: LULU) reported Q3 EPS of $0.38, $0.01 better than the analyst estimate of $0.37. Revenue for the quarter came in at $479.7 million versus the consensus estimate of $481.78 million.

Total comparable sales, which includes comparable store sales and direct to consumer, increased... More

Lululemon shares pummeled after profit-margin warning

By Julie Gordon and Anet Josline Pinto

VANCOUVER/BENGALURU (Reuters) - Shares of Canadian yogawear retailer Lululemon Athletica Inc (NASDAQ: LULU) plunged on Wednesday after it warned that profit margins were unlikely to fully recover until 2017 and cut its full-year earnings forecast.

The Vancouver-based company, which reported a lower-than-expected third quarter profit, said it expects margins to improve gradually as it works through supply chain problems and an inventory build-up.

But Canaccord Genuity analyst Camilo Lyon said frustration over margin recapture being pushed back to 2017 was likely driving the sell-off, as shares... More

Trading Radar for 12/9: lululemon athletica (LULU), Vera Bradley (VRA), Men's Wearhouse (MW), Layne Christensen (LAYN) Report

The Trading Radar highlights key earnings and economic announcements for the next trading session:

Before Markets Open:
Economics:
7:00am EST

Earnings:

China Zenix Auto (NYSE: ZX) - no Street consensus... More