The firm reported an earnings beat and hiked its guidance
The shares of athleisure giant Lululemon Athletica Inc (NASDAQ:LULU) just hit a brand new all-time high of $182.89 today, after the firm's first-quarter earnings and revenue came in above analysts' estimates. Lululemon lifted its full-year guidance, too, and plans to double its online revenue during the next four years. LULU stock has surged 6.2% to $181.50 in early trading, with the shares vying for their biggest one-day jump since March.
In fact, its 14.1% surge on March 28 marked the equity's last earnings reaction. Since this bull gap, Lululemon stock has been bouncing between support in the $160 area and resistance around $178-$180.
Unsurprisingly, Lululemon's earnings blowout has analysts' ears perked. No fewer than 11 members of the brokerage bunch have already lifted their price targets, including Wells Fargo, which hiked its price target all the way to $210, and MKM Partners, which raised its target to $215. There could be more price-target boosts on the way; the consensus 12-month price target of $191.41 represents a relatively slim 5.5% premium to current levels. Likewise, upgrades could be on the horizon, as nine of 25 analysts still say "hold."
Short interest has been on the rise recently, which could add even more tailwinds on the charts, should some of these bearish bets begin to unwind. Short interest shot up 13.1% in the last reporting period, representing nearly 4% of the stock's available float.