This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

See-Through Yoga Pants, Then the Noise: Buy LULU Stock

Stocks in this article: LULU AAPL SBUX WFM MCD WMT

NEW YORK ( TheStreet) -- My first reaction to the Lululemon (LULU) story that transcended business and finance:

Holy crap!

As a media hack, I love when stories like this take off. For as big as Lululemon is in certain circles of affluence, it's not a brand most people think about on a daily basis. While it shares some of the attributes that help comprise Apple's (AAPL) image, I stop quite a ways short of calling Lululemon a household name.

But, hey, produce a few pairs of yoga pants you can see through and, look out, the world notices. Your image gets kicked up a notch. And, as TheStreet's Laurie Kulikowski explains in an absolutely fantastic article ( You can link to it via TheStreet's Facebook page), it's most likely a net positive.

Laurie's story took off across platforms. With everything else happening in the world -- from the Fed to more Apple noise to news out of Europe -- it was No. 1 with a bullet on TheStreet for Wednesday. Why? Because people care about this sort of thing. And can you blame them?

Look, I live in LULU land. Santa Monica, Cali. You cannot walk three paces without seeing a beautiful person -- usually female, but sometimes male -- sporting something from Lululemon. It's this sort of high-end market where LULU can sell $150 yoga pants. And, as a living, breathing human who admires beauty, you can't help but look twice at a pair of Lululemon yoga pants, no matter how sheer they are.

This story opens the picture of LULU as the retailer of choice for hot and sporty people to the world and only reinforces it where the company already dominates. Like Laurie reported, just brilliant. Lululemon could not have pull this off any better if it was all a hoax.

As an investor, you should probably up your reaction from holy crap! to something else. This is a major buying opportunity.

I group LULU with names such as Starbucks (SBUX), Whole Foods Market (WFM) and even McDonald's (MCD). If you're a long-term investor, any controversy -- a hacked Twitter account, a bad quarter, a recall, some other flavor of noise -- represents, in most cases, a buying opportunity.

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,778.15 +421.28 2.43%
S&P 500 2,061.23 +48.34 2.40%
NASDAQ 4,748.3960 +104.0840 2.24%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs