Investopedia: Bonkers Expectations May Still Be lululemon athletica's Biggest Challenge

It looks like the momentum trade is back "on" for lululemon athletica (Nasdaq:LULU) as investors cheered a solid second quarter and encouraging third quarter guidance. With lululemon's comps remaining in the double-digits and demand continuing to outstrip supply, the biggest challenge for this company may simply be living up to expectations. Although this remains one of the strongest-growing and most productive stories in retailing, valuation and expectations look more than a little breathless.

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