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Stephanie Link Looks for Restructuring Trades and Lululemon Is Her Latest Pick

Lululemon stock still has room to go, Stephanie Link, Co-Portfolio Manager of Action Alerts Plus tells TheStreet’s Jill Malandrino.

Lululemon stock still has room to go, Stephanie Link, Co-Portfolio Manager of Action Alerts Plus tells TheStreet’s Jill Malandrino. Link and Jim Cramer sold out of Macy’s to raise some cash to build a position in the athletic apparel retailer because of the restructuring story that sets up Lululemon well for 2015. The management team can show better results now that the heavy investment spend is over. In addition, Advent International, a private equity group that was involved in the IPO, is now back in the name as of August, taking an $845 million stake at a price of $42, limiting some of the downside. The LULU story reminds Link more a Panera Bread-type restructuring story, a name Actions Alerts Plus also owns, by aggressively spending to fix some of the operational problems, setting up for longer-term growth ahead.

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