Lululemon Athletica Stock: Recommended Buy in This Bear Market

US stock market analysts recommended the Lululemon Athletica stock to investors. They advised stock market risk-takers to take advantage of the slight decrease in the athletic apparel retailer’s security price following a sustained uptrend.

We understand that many of our followers are wondering about the stocks into which to pour their hard-earned investment funds in this bear market.

We want to share this informative article with them about the Lululemon Athletica stock to give them useful ideas.

According to the online discussion posted online by private investment and financial advice provider The Motley Fool, US stock market analysts view the Lululemon Athletica stock as among the unstoppable growth stocks investors will regret not purchasing on the dip. defined buying the dip as an investment tactic following the basic principle of “buy low, sell high.” US stock market analysts opined that the Lululemon Athletica stock is one high-growth and fantastic Nasdaq stock to avail of at this time.

Hence, they advised investors to grab the opportunity before this security’s price goes back up. Over the last five years, the Lululemon Athletica stock has soundly outperformed the broader market.

US stock market analysts believe there is every reason to anticipate this trend to carry on. Shares of the Lululemon Athletica stock are trading down 30 percent this 2022 at merely 35 times trailing 12-month earnings.

Lululemon Athletica has posted high sales for several years. US stock market professionals see this momentum as continuous and will not come to an end any time soon.

The American-Canadian athletic apparel retailer had a soft coronavirus or COVID-19 pandemic decline and a fast rebound as far as apparel firms are concerned. This development was partly because of Lululemon Athletica’s athleisure concentration as trends shifted that way.

Nonetheless, this athletic apparel retailer is still expanding impressively even as consumers return to office wear. Its trajectory is right on schedule as other players that attempted to break into casual wear are now trying to sell off inventory.

In the first quarter that ended last May 1, Lululemon Athletica sales surged 32 percent year over year to US$1.6 billion. Earnings per share or EPS climbed from US$1.11 last year to US$1.48.

Meanwhile, gross margin stayed at 53.9 percent, although operating margin diminished slightly in the pressured supply chain atmosphere. Lululemon Athletica was able to pull off this performance because of mixed factors favoring it.

They include the company’s robust omnichannel strategy, premium label and parallel pricing, and non-seasonal inventory not needing to get sold off for the next season’s landing.

Lululemon Athletica expects an uptick in its fiscal 2022 sales to roughly 22 percent year over year. It has developed a strategy to get to that point, encompassing quadrupling international sales and doubling digital and men’s sales.

We think the Lululemon Athletica stock is, indeed, a good buy in this bear market. We recommend investors purchase it while its price is momentarily low.

We also want to inform our followers, who are US stock market investors, that among the biggest mistakes they can make are not taking advantage of the dip or stocks’ falling prices and panic-selling in this bear market.

Stock market sell-offs are fantastic chances to load up on growth stocks like the Lululemon Athletica stock at inexpensive prices if an investor has a long time horizon for his stock portfolio to grow.

We recommend our readers buy the Lululemon Athletica stock and pounce on this great and rare opportunity sooner. In this manner, they will not miss the chance of getting an incredible deal as the US stock market may rise soon or enter the bull market again later this 2022.

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