Lululemon Athletica Inc. (LULU): Today's Featured Consumer Non-Durables Loser - TheStreet

Lululemon Athletica

(

LULU

) pushed the Consumer Non-Durables industry lower today making it today's featured Consumer Non-Durables loser. The industry as a whole closed the day down 0.2%. By the end of trading, Lululemon Athletica fell 60 cents (-0.9%) to $63.86 on average volume. Throughout the day, 2.2 million shares of Lululemon Athletica exchanged hands as compared to its average daily volume of 2.6 million shares. The stock ranged in price between $62.97-$64.42 after having opened the day at $64.32 as compared to the previous trading day's close of $64.46. Other company's within the Consumer Non-Durables industry that declined today were:

Shiner International

(

BEST

), down 8.1%,

China Xiniya Fashion

(

XNY

), down 7%,

Quiksilver

(

ZQK

), down 6.5%, and

Cereplast

(

CERP

), down 5.8%.

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lululemon athletica inc., together with its subsidiaries, designs, manufactures, and distributes athletic apparel for women, men, and female youth. Lululemon Athletica has a market cap of $7.22 billion and is part of the

consumer goods

sector. The company has a P/E ratio of 47.6, equal to the average consumer non-durables industry P/E ratio and above the S&P 500 P/E ratio of 17.7. Shares are up 38.6% year to date as of the close of trading on Monday. Currently there are nine analysts that rate Lululemon Athletica a buy, one analyst rates it a sell, and nine rate it a hold.

TheStreet Ratings rates Lululemon Athletica as a

buy

. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, compelling growth in net income and good cash flow from operations. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the positive front,

Mannatech

(

MTEX

), up 7.3%,

Tufco Technologies

(

TFCO

), up 7.1%,

Summer Infant

(

SUMR

), up 4.9%, and

Nu Skin

(

NUS

), up 4.5%, were all gainers within the consumer non-durables industry with

Ecolab

(

ECL

) being today's featured consumer non-durables industry winner.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the consumer non-durables industry could consider

Consumer Staples Select Sector SPDR

(

XLP

) while those bearish on the consumer non-durables industry could consider

ProShares Ultra Sht Consumer Goods

(

SZK

).

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