Saturday, March 23, 2013

Investopedia: Have See-Through Pants Created An Opportunity In lululemon Shares?

For a stock with a take-no-prisoners valuation, the reaction to Lululemon Athletica's (Nasdaq:LULU) sizable product recall has been quite restrained. Even with a defective batch of the company's top product taking steam out of the first quarter's comp growth, this company is still growing and seeing good success in broadening its product offerings. While there is a limit to how many missteps customers will tolerate from a company selling premium-priced products, Lululemon has been relatively proactive and upfront in dealing with the issue. Although I still believe the growth expectations here are still pretty aggressive, investors who believe otherwise could see this as an opportunity to pick up shares.

Please follow the link for more:

No comments: