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MKM Partners positve on Lululemon into earnings

Published 08/28/2017, 03:06 PM
© Reuters.  MKM Partners positve on Lululemon into earnings
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  • MKM Partners thinks Lululemon (LULU -0.5%) will post some solid numbers when it reports Q2 earnings on Friday.
  • "We see upside potential to LULU's 2Q (we are modeling a 4% comp, EPS of $0.35, in line with the Street), based on our favorable checks throughout the quarter (which pointed to product newness and controlled in-store promotional levels) and believe momentum has continued QTD, with results from our survey supporting our view," writes analyst Roxanne Meyer.
  • Meyer is also positive that the momentum will continue for the retailer. "We see meaningful opportunity in 2H across categories, but particularly in men's, jackets and accessories, which could support both AUR and margins," she adds.
  • Consensus estimates on Lululemon stand at revenue of $568M and EPS of $0.35.
  • Now read: YogaWorks: Beyond The Numbers


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