We recently published 15 Stocks Jim Cramer Discussed As He Said CEOs Were Afraid Of Hiring. lululemon athletica inc. (NASDAQ:LULU) is one of the stocks Jim Cramer recently discussed.
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lululemon athletica inc. (NASDAQ:LULU)’s shares were among the stunners on Thursday after they sank by 18.6%. The shares were hit hard after the firm’s second-quarter earnings report. The results saw lululemon athletica inc. (NASDAQ:LULU) struggle to manage the impact of tariffs on its business as the firm guided its fiscal full-year midpoint earnings per share at $12.87, which was nowhere near analyst estimates of $14.45 per share. Cramer discussed why lululemon athletica inc. (NASDAQ:LULU) has struggled, with high prices playing a role behind the firm’s woes:
“Well, I mean, when I saw Costco, when Lulu was battling with Costco, of a knockoff of Lulu, that was to me, that said something. Lulu, that’s not the way it works in this country. Costco comes after companies that charge too much. It comes after Tito’s and it comes after Lulus. And it always wins. And it won again last night. And that stock’s been stuck at 52 times earnings for long enough, it may be time for that one to move up.
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Disclosure: None. This article is originally published at Insider Monkey.
