11/09/2013
Lululemon Yoga Pants Outlet Start Coverage
Citigroup start coverage of Lululemon Outlet with a buy rating. The yoga-wear company will release its fiscal second-quarter results on Thursday.Response to new fashion is positive, while demand is good for Lululemon Athletica Inc http://www.mykhawk.com/ appropriately priced vests and jackets," said Wedbush. The bank cites potentially better profit margins and sales going forward.
The investment bank added that in the wake of the spring's Luon recall, Lululemon "has expanded the range of fabrics used" in bottoms. lululemon athletica (NASDAQ: LULU ) will release its quarterly report on Thursday, and for the first time in a long while, investors aren't comfortable in their assessment of the company's future potential. Although most expect the yoga retailer's rapid sales growth to continue, Lululemon Outlet earnings could dip from year-ago levels due to some unusual circumstances that the company has faced recently.
For years, Lululemon Yoga Clothes capacity for unfettered growth seemed invulnerable to any obstacles. Yet with its infamous recall of its Luon yoga-pant line earlier this year, the company's sterling reputation took its first crack in its armor, and competitors have looked to take advantage by bolstering their own presence in the popular women's athletic apparel segment.
Let's take an early look at what's been happening with Lululemon Outlet over the past quarter and what we're likely to see in its report.The comments, ahead of Thursday's earnings report from Lululemon Yoga Pants, came as Citi started coverage of the yoga-wear firm at buy and set a $90 price target.Citigroup initiated coverage with a buy rating, saying that the yoga gear retailer is delivering strong consumer value despite high prices for its clothing and accessories.
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