Lululemon Athletica Inc (NASDAQ: LULU posted upbeat results for its third quarter, but issued weak holiday-quarter guidance.
Lululemon’s quarterly revenue increased 28% year-over-year to $1.86 billion, which beat average analyst estimates of $1.81 billion. The company reported quarterly earnings of $2 per share, which beat estimates of $1.96 per share.
Lululemon said it sees Q4 revenue to be between $2.605 billion and $2.655 billion versus estimates of $2.65 billion. The company sees full-year revenue in a range of $7.944 billion to $7.994 billion versus estimates of $7.96 billion.
Lululemon shares dropped 13.3% to trade at $324.77 on Friday.
These analysts made changes to their price targets on Lululemon after the company released quarterly results.
- Morgan Stanley raised the price target on Lululemon from $343 to $387. Morgan Stanley analyst Alex Straton maintained an Overweight rating on the stock.
- Wells Fargo boosted Lululemon price target from $345 to $360. Wells Fargo analyst Ike Boruchow maintained an Equal-Weight rating on the stock.
- Baird raised the price target on the stock from $430 to $435. Baird analyst Mark Altschwager maintained the stock with an Outperform.
- Goldman Sachs increased Lululemon price target from $383 to $431. Goldman Sachs analyst Brooke Roach maintained the stock with a Buy, but removed from Conviction Buy List.
- Piper Sandler raised the price target on Lululemon from $350 to $390. Piper Sandler analyst Abbie Zvejnieks maintained the stock with an Overweight.
- UBS, however, cut Lululemon price target from $395 to $390. UBS analyst Jay Sole maintained a Neutral rating on the stock.
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