Lululemon Athletica stock has been on a tear lately. The athletic apparel leader's sales have been strong this year, and could get stronger as the postholiday, get-in-shape vibe grabs consumers.
On Monday, Lululemon stock hit an important performance benchmark, seeing its Relative Strength (RS) Rating jump into the 80-plus percentile with an improvement to 82, up from 74 the day before.
The 82 RS Rating shows that Lululemon bested 82% of stocks for price performance this past year. Market research reveals that the best stocks typically have an RS Rating north of 80 as they begin their biggest price moves.
Lululemon Stock A Favorite Of Big Funds
Among its other ratings Lululemon has an outstanding 95 EPS Rating out of 99. It also boasts an A- Accumulation/Distribution Rating on an A+ to E scale. The A- rating shows that big funds like ETFs and mutual funds are eager buyers of LULU stock.
Additionally, it holds a 90 Composite Rating. IBD's Composite Rating combines five separate proprietary ratings of fundamental and technical performance into one easy-to-use rating. The best growth stocks have a Composite Rating of 90 or better.
Looking For The Best Stocks To Buy And Watch? Start Here
Lululemon stock struggled in the first half of 2024, then it found its legs. From a 226.01 low on Aug. 5 it soared about 86% to a nine-month high at 420.21 on Dec. 9 amid strong earnings. LULU stock shot up 15.9% on Dec. 6 after the company reported better than expected earnings.
Its stock consolidated after that, although it closed higher for a third up day in a row Monday. It closed up 1% to 383.49, up 69% since August.
Vancouver, B.C.-based Lululemon reported 13% higher EPS to $2.87 last quarter, on 9% higher revenue to $2.397 billion. The prior three innings it recorded 20%, 11% and 18% EPS advances on sales gains of 16%, 10% and 7%.
Among Top 5 In Industry Group
While the stock is not near a proper buying range right now, see if it manages to form and break out of a proper chart pattern.
Lululemon earns the No. 4 rank among its peers in the 30-stock Retail-Apparel/Shoes/Accessories industry group. Abercrombie & Fitch is the No. 1-ranked stock within the group.
IBD's proprietary Relative Strength Rating identifies market leadership with a 1 (worst) to 99 (best) score. The rating shows how a stock's price behavior over the last 52 weeks holds up against all the other stocks in our database.
Please follow James DeTar on Twitter @JimDeTar
RELATED:
Get Full Access To IBD Stock Lists And Ratings
Why Should You Use IBD's Relative Strength Rating?
How Relative Strength Line Can Help You Judge A Stock
Ready To Grow Your Investing Skills? Join An IBD Meetup Group!
See Stocks On The List Of Market Leaders With IBD Leaderboard
