Lululemon Athletica (LULU)

All Comments on LULU

  • commenter
    jason
    schwarz
    Apr 21 12:17 PM
    Lululemon Athletica Discovers the Benefits of Staying Focused [view article]
    Thanks for the research, I'm always looking for early expansion retail plays. I was in LULU last year but sold out after the initial run. I'm thinking about getting back in. I'd be interested in any more info you have on this new management team. Reply
  • commenter
    Canuck
    Investor
    Apr 20 06:11 PM
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    I read the prospectus but didn't invest went it listed. It's more than just another retailer. It has a cult following and tremendous growth potential. It could become the Starbucks of fitness wear with a devout following and very high penetration. But high-flying retailers trade at crazy valuations. I tend to avoid retailers because I dislike losing money but LU does have some real potential. It's unfortunate that it probably will never trade at a valuation that would entice me to buy. Yes, the business will grow but much of the growth is already priced into the stock. Reply
  • commenter
    Martin
    Cloutier
    Apr 19 07:57 AM
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    This is a case of misunderstanding the business, but drawing the correct conclusion anyway.

    Lulu is a trend/lifestyle brand that is much more than yoga. It sells an active, healthy, socially responsible lifestyle - whatever that is - versus the performance, competitive edge that UA sells. I think you can compare those 2 companies, up to a point. They are certainly high growth, have great marketing targeting people that don't really need their stuff but will buy them anyway. I'm no athlete but I train in UA T-shirts and my wife in Lulu's.

    But at a PE of 71 and a market cap of 1.5B, I'm not a buyer of their stock. I've been eyeing UA stock for a while, but even at these valuations (PE 35, cap of 1.6B ) I'm still uncertain...But I believe they will continue to grow. How much, how long, how fast, that's the question, the answers would tell me if these valuations were worth it...     Reply
  • commenter
    kayin18
    Apr 18 11:26 PM
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    lulu's business isn't yoga wear, its active living and the promotion of social well being. walk into a lulu store and its speaks culture, not yoga. this is what sells the clothing. the majority of lulu outfitted individuals haven't even practiced yoga, but they want to be part of the culture that lulu has marketed so well. with only a handful of stores south of the canadian border, there is huge expansion opportunity and lots of reasons to believe they can continue to sustain this growth even in an economic slide. Reply
  • commenter
    podjo
    Apr 18 02:17 PM
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    hey knockout, put your wife or girlfriend in a pair of their pants and then ask that question. LU can make any woman's butt look good and that goes a long, long way. Reply
  • commenter
    Freddie
    Mertz
    Apr 18 10:54 AM
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    UA is a terrible comparison. Not a retailer so they must share margins with another party and already dramatically overdistrubuted. There are no retailers with any market cap that have the growth potential for stores and sales that LULU has. Comparative multiples is a wasted exercise as there is nobody who matches LULU on opportunity going forward. Reply
  • commenter
    seeksome
    Apr 18 07:19 AM
    My Website
    Will Someone Please Explain Lululemon's Outrageous Valuation? [view article]
    UA is definetly a better buy the valuation is more in line than lulu.Get your UA gear at bargain prices here:seeksomething.com Reply
  • commenter
    SeekingAlpha
    Editors
    Apr 06 05:22 AM
    My Website
    General Discussion on LULU
    Is this a buy or a sell? Reply
  • commenter
    Proud mother
    Apr 03 03:53 PM
    Is Lululemon Feeling the Lucy Effect? [view article]
    My daughter went to work at VFC over a year ago. I am proud that she did. I did some research on the company and found that VFC has been in business since 1899. It has weathered many storms over the years and today is prosperous due to it's leadership and that it stays up to date with todays economic needs of todays middle class. I am proud that it is growing in a much needed society of economic stress. There's not many companies left today within that time frame that can boast about it's accomplishemts. Go to VFC website and see for yourself. Reply
  • commenter
    user12345
    Apr 03 01:28 PM
    Is Lululemon Feeling the Lucy Effect? [view article]
    Herb, never heard of Lucy and I will do some research on it. The reason I bought Lulu stock is that even though at the time it had one store in So Cal my wife, daughters and all their friends knew about it and wanted the gear,my wife for Yoga and my daughter for dance. The store was always packed when I would stop by if I was in the LA area. I did not want to make the same mistake I did with Starbucks which I never bought, where by the way the new CEO at Lulu comes from. Not sure what your issue will be now that Meers is gone but to me this is still a big time growth opportunity Reply
  • commenter
    User 172234
    Apr 03 08:30 AM
    Is Lululemon Feeling the Lucy Effect? [view article]
    Hey Herb...give up the bashing and move to a new company. Its redundant. [Edited for abusive content] Reply
  • commenter
    punksgt
    Apr 02 03:23 PM
    UBS Analyst: Expect Significant Growth in Lululemon 4Q Earnings [view article]
    I'm really glad the previous person had great experience in the store! Congratulations. It has always been my experience to swing by an athletic store to relax.

    It's important to remember there is nothing proprietary about LULU product. It's nike / Underarmor with their logo on it. If Nike / Adidas / Underarm they can start making new products tomorrow. There are no barriers to entry. What is there sustainable competitive advantage? Can anybody really answer that question?

    In addition, I might not be the hippest person in the room, since when did Yoga become a 2 billion dollar industry? Has Yoga become the next big fitness craze? Not really... Unlike Starbucks, anybody can learn to drink coffee. Does this mean that all out of shape Americans are going to put down there Carls Jr. chili cheese burgers and start doing yoga?

    Obviously I’m short on this stock. I have seen new trends come and go. (KKD, CROX, UA) If your long and you keep acting like it will return $50. Hey good luck. In this economy that old t-shirt and sweat pants will do just fine.
    Reply
  • commenter
    Bohman
    Apr 02 12:33 PM
    UBS Analyst: Expect Significant Growth in Lululemon 4Q Earnings [view article]
    I think you are missing alot. You are like one of those people that didnt understand what Starbucks was. How could you make money selling coffee? Well Starbucks sells an experience, not just the coffee. The same goes with Lulu. Its a new unique clothing experience, and the clothing looks 100 times better than the "yoga" gear that any other store may sell. I see Lulu being as big as Nike in terms of athletic clothing and comfort gear. Remember, too many people think Lulu is solely Yoga gear. It isnt. Its comfortable clothing that looks good with an Athletic/Yoga appeal to it.

    Check out the numbers for the 4th quarter. keeps beating forecasts, and why is that?

    I went to the Seattle store at Xmas, the guy there said they did 4 times the expected sales, and they cant seem to keep jackets or certain gear in even. Lulu sells shirts ($65 each), pants ($100 each), jackets (both athletic and dressier $150 each), bags (150 each), and much much more. People go there and pay 100 for clothing just to get one of their cool bags!

    Thats why it is easily worth more than a market cap of 1.8 billion!!!!     Reply
  • commenter
    Former
    Retailer
    Says...
    Apr 01 05:16 PM
    UBS Analyst: Expect Significant Growth in Lululemon 4Q Earnings [view article]
    In 1988 I sold a 25 store specialty retail chain for 27 mil. This chain was doing about 27 mil in total revenue, that is an average of just over 1 mil per store, with a gross profit above 50%. How is LULU going to justify the market cap of almost 1.5 Billion? Let's say LULU gets to the point of having 300 stores, and each store does 2 mil. That is total revenue of 600 mil. So, perhaps the company will be worth 600 to 900 mil. That is a far cry from 1.5 Billion!! In addition, other manufactures, like GIII (all you have to do is listen to their last conference call of 3/31/08) are starting to manufacture yoga clothing for woman, which they sell to the major retailers. I also understand that Victoria's Secrets are selling yoga clothing for woman as well. There is nothing special that I can see about LULU, and for sure no barriers of entry. So, why is this stock selling at such a high multiple? In addition, when this company went public, a large percentage of the money went to the selling shareholders, therefore the company did not receive much of the cash.

    WHAT AM I MISSING???     Reply
  • commenter
    VirtualOptic
    s
    Apr 01 12:23 PM
    Jim Cramer's Mad Money Lightning Round, 3/25/08: Fly Like Agnico Eagle [view article]
    A comparison of AEM price with the PHLX Gold and Silver Commodity index shows that AEM is fluctuating almost in lock-step with the price of god and silver. This might be partially due to AEM's location of Toronto, CA and their improving exchange rate rel to the American dollar and because they have so much gold remaining in the ground in proven assets that will be extracted in the next 15 years. In any case, the potential for gold to increase in demand given the world's propensity for using war to solve issues and the shift of wealth from the US to Dubai partnerships, convinces me that that AEM is a good long term place for my measly bucks. Reply
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