lululemon shares are trading lower after the company last week issued Q1 guidance below estimates. Barclays maintained its Overweight rating on the stock but lowered its price target from $610 to $546.
Portfolio Pulse from Benzinga Newsdesk
Lululemon's stock is trading lower following the company's issuance of Q1 guidance that fell below estimates. Despite this, Barclays has maintained its Overweight rating on Lululemon but reduced its price target from $610 to $546.
March 25, 2024 | 7:02 pm
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NEGATIVE IMPACT
Lululemon's shares are trading lower due to disappointing Q1 guidance, although Barclays maintains an Overweight rating but lowers the price target.
The negative short-term impact on Lululemon's stock price is primarily due to the company's Q1 guidance not meeting expectations, which typically leads to a decrease in investor confidence and stock price. However, the impact is somewhat mitigated by Barclays' continued support, as evidenced by maintaining an Overweight rating, albeit with a reduced price target. This shows some level of continued investor confidence in the company's long-term prospects despite the short-term setback.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100