Lululemon Athletica Inc. ($LULU) Earnings (Q4 FY21)

 Lululemon Athletica Inc. ($LULU) Earnings and Opinion:


Lululemon Athletica ($LULU) is a company in the Consumer Cyclical sector and operates in the Apparel Retail industry. The company designs athletic apparel and accessories for men and women. The company was founded in 1998 and is currently headquartered in Vancouver, Canada. The company was first traded on the stock market in 2007. 

Lululemon Athletica EPS and Revenue (Q4 FY21):

  • EPS of $3.37 beating expectations of $3.27
  • Revenue of $2.13B in line with expectations of $2.13B
  • EPS was up 30.6% (YOY) and Revenue was up 23% (YOY)
Lululemon Athletica EPS and Revenue (FY21):
  • EPS of $7.79 compared to $4.70 last year
  • Revenue of $6.3B, up 42% from last year
Lululemon Athletica FY22 Outlook:
  • Revenue coming in between $7.49B and $7.62B
  • EPS coming in between $9.15 and $9.35
  • Revenue growth of around 20-22%
Opinion:
Lululemon popped off today after reporting earnings after the closing bell yesterday. This company has been a hot commodity, not only on the stock market, but in the general business as well. Lululemon sells high priced items, compared to competition, but sees itself atop the chain in this industry. A lot of it has to do with the quality of their product, and you can't forget the fact that the brand symbol is shown as a class symbol. You can give this company a lot of credit for its profit margin per product, because I know that its cost of inventory is nowhere near the revenue they generate per product. Lululemon reported a mixed earnings report to end this fiscal year, with Revenue coming in just shy of Wall Street expectations. EPS had a solid beat, and the overall outlook shows a nice increase from last year. I am happy to see that they are predicting a strong fiscal year in 2022, with growth around 20-22%. This is a stock that I am very high on and missed my opportunity to get in on this setback. I think it still has some question marks surrounding it, but overall seems to be heading in the right direction. If you are into high-risk, high-reward investing, this stock could be a gem for you.

*Information from Google, Lululemon Athletica, and Yahoo Finance

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