Lululemon AthleticaNASDAQ: LULU

Users of Zacks.com have been paying a lot of attention to Lululemon (LULU) lately. Therefore, it's important to understand the key information that could influence the stock's future.

I still recommend buying Lululemon (LULU) because I believe the stock is about 10% undervalued, even though the technical indicators are mixed. While consumer spending is predicted to be strong this holiday season, international sales growth is uncertain due to poor economic conditions in Europe and China. LULU's Q2 results showed good earnings per share, but they fell short of revenue expectations, which has led to a decrease in their guidance for the fiscal year 2024 and possible risks for earnings and revenue.

LULU may face difficulties in the second half of fiscal 2024, but its plans and actions show promise for growth in the long run.

The Zacks Earnings ESP is an excellent tool for identifying possible earnings surprises. Investors should consider using it right now.

Investors interested in the Textile - Apparel sector may want to look at Ralph Lauren (RL) or Lululemon (LULU). However, which of these two stocks is more appealing for value investors?

Lululemon (LULU) has a strong track record of surprising with its earnings and currently has the right mix of factors that suggest it may exceed expectations in its upcoming quarterly report.

Investors who want to discover stocks likely to exceed quarterly earnings predictions should consider using the Zacks Earnings ESP.

Lululemon's stock has started to recover after disappointing earnings in the second quarter. Sales in the Americas fell, mainly due to a slowdown in the women's segment, and growth in China also decreased. The company believes the main reason for this decline is the fewer new product launches and seasonal updates compared to previous years.

Lulu Retail Holdings, which operates one of the largest hypermarket chains in the Middle East, aims to raise up to 5.27 billion dirhams ($1.43 billion) in what is expected to be the largest initial public offering in the UAE this year.