Investors Purchase Large Volume of Call Options on Lululemon Athletica (NASDAQ:LULU)

Lululemon Athletica Inc. (NASDAQ:LULU) saw unusually large options trading on Wednesday. Investors bought 38,342 call options on the company. This represents an increase of approximately 64% compared to the average daily volume of 23,384 call options.

Institutional Investors Weigh In On Lululemon Athletica

Hedge funds and other institutional investors have recently modified their holdings of the company. N.E.W. Advisory Services LLC bought a new stake in Lululemon Athletica during the first quarter worth $25,000. TCTC Holdings LLC bought a new stake in shares of Lululemon Athletica in the 4th quarter valued at about $26,000. Cornerstone Planning Group LLC raised its stake in Lululemon Athletica by 506.3% during the first quarter. Cornerstone Planning Group LLC now owns 97 shares of the apparel retailer’s stock worth $26,000 after buying an additional 81 shares during the last quarter. Flaharty Asset Management LLC acquired a new position in Lululemon Athletica in the first quarter valued at approximately $29,000. Finally, Anderson Financial Strategies LLC acquired a new stake in shares of Lululemon Athletica in the 4th quarter valued at about $30,000. Institutional investors and hedge funds own 85.20% of the company’s stock.

Lululemon Athletica Price Performance

Shares of NASDAQ LULU opened at $252.28 on Thursday. The business has a 50-day moving average of $285.28 and a 200-day moving average of $336.70. The stock has a market capitalization of $30.43 billion, a price-to-earnings ratio of 18.22, a PEG ratio of 2.22 and a beta of 1.26. Lululemon Athletica has a fifty-two week low of $226.01 and a fifty-two week high of $423.32.

Lululemon Athletica (NASDAQ:LULU) last posted its quarterly earnings results on Thursday, June 5th. The apparel retailer reported $2.60 earnings per share for the quarter, hitting the consensus estimate of $2.60. The firm had revenue of $2.37 billion for the quarter, compared to analyst estimates of $2.36 billion. Lululemon Athletica had a return on equity of 42.16% and a net margin of 17.05%. The business’s quarterly revenue was up 7.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.54 EPS. On average, sell-side analysts expect that Lululemon Athletica will post 14.36 EPS for the current year.

Wall Street Analyst Weigh In

LULU has been the topic of a number of recent research reports. Bank of America decreased their price target on shares of Lululemon Athletica from $400.00 to $370.00 and set a “buy” rating on the stock in a research note on Friday, June 6th. Morgan Stanley reiterated an “equal weight” rating and issued a $280.00 price objective (down from $346.00) on shares of Lululemon Athletica in a research note on Monday. Barclays decreased their price target on Lululemon Athletica from $276.00 to $270.00 and set an “equal weight” rating on the stock in a research note on Monday. JPMorgan Chase & Co. cut their price objective on Lululemon Athletica from $389.00 to $303.00 and set an “overweight” rating for the company in a report on Friday, June 6th. Finally, CICC Research reiterated a “market perform” rating and set a $280.49 target price on shares of Lululemon Athletica in a research report on Monday. One analyst has rated the stock with a sell rating, twelve have issued a hold rating, seventeen have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $340.26.

Lululemon Athletica Company Profile

Lululemon Athletica Inc, together with its subsidiaries, designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. It offers pants, shorts, tops, and jackets for healthy lifestyle, such as yoga, running, training, and other activities. It also provides fitness-inspired accessories.