Oppenheimer Believes Lululemon Athletica Inc (NASDAQ: LULU) Still Has Room to Grow

By Carrie Williams

Oppenheimer analyst Brian Nagel reiterated a Buy rating on Lululemon Athletica Inc (LULUResearch Report) today and set a price target of $225. The company’s shares closed yesterday at $176.35, close to its 52-week high of $179.50.

Nagel wrote:

“We reiterate our Outperform rating on Lululemon (LULU) and lift our 12- to 18-month price target on shares to $225 (from $190). In Sept. 2018, as part of a significant refreshment of our research universe, we re-launched coverage of Lululemon (and identified LULU as one of the most compelling growth opportunities in consumer). Shares are now approaching our prior price objective. We closely reviewed LULU and the key tenets of our positive call on shares. We come away with the view that the underlying growth engine at the company remains solidly intact and that continued outsized top- and bottom-line expansion should help to at least support the premium multiple at which shares trade.”

According to TipRanks.com, Nagel is a 5-star analyst with an average return of 10.0% and a 67.4% success rate. Nagel covers the Services sector, focusing on stocks such as Weight Watchers International, Capri Holdings Limited, and Dick’s Sporting Goods.

Lululemon Athletica Inc has an analyst consensus of Moderate Buy, with a price target consensus of $184.67, implying a 4.7% upside from current levels. In a report issued on April 22, Robert W. Baird also maintained a Buy rating on the stock with a $185 price target.

See today’s analyst top recommended stocks >>

The company has a one-year high of $179.50 and a one-year low of $95.39. Currently, Lululemon Athletica Inc has an average volume of 2.19M.

Based on the recent corporate insider activity of 43 insiders, corporate insider sentiment is negative on the stock.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

lululemon athletica, Inc. engages in the designing, distributing and retail of athletic apparel and accessories. It company operates through the following segments: Company-Operated Stores, Direct to Consumer. The Company-Operated Stores segment comprises of lululemon and ivivva brands; and specialize in athletic wear for female youth.