lululemon(US:LULU) ZACKS·2025-04-11 22:50Company Performance - Lululemon's stock closed at $261.03, reflecting a +1.72% change from the previous trading day's close, which lagged behind the S&P 500's gain of 1.81% [1] - Over the past month, Lululemon shares have decreased by 17.13%, while the Consumer Discretionary sector and the S&P 500 have lost 7.73% and 6.14%, respectively [1] Upcoming Earnings - Lululemon is expected to report earnings of $2.61 per share, representing a year-over-year growth of 2.76%, with projected revenue of $2.35 billion, indicating a 6.58% increase from the same quarter last year [2] - For the entire fiscal year, earnings are estimated at $14.98 per share and revenue at $11.22 billion, reflecting changes of +2.32% and +5.97% from the previous year [3] Analyst Estimates - Recent changes to analyst estimates for Lululemon are important as they reflect short-term business trends, with positive revisions indicating analyst optimism regarding the company's profitability [4] - The Zacks Rank system, which considers these estimate changes, currently ranks Lululemon at 3 (Hold), following a 3.53% decline in the Zacks Consensus EPS estimate over the past month [6] Valuation Metrics - Lululemon has a Forward P/E ratio of 17.13, which is a premium compared to the industry average of 11.27 [7] - The company also has a PEG ratio of 2.15, higher than the industry average PEG ratio of 1.58, indicating a higher expected earnings growth rate relative to its price [7] Industry Context - The Textile - Apparel industry, part of the Consumer Discretionary sector, holds a Zacks Industry Rank of 83, placing it in the top 34% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]