LULU Forecast



Bearish<—>Bullish



80% Confidence




Bullish Case: Lululemon's expansion into Asian markets shows promising growth, coupled with strong brand loyalty and increased DTC sales, driving future profitability.




Bearish Case: Persisting competition, market saturation, and potential economic headwinds may hinder growth, leading to volatility and stock price declines.




Potential Outcomes:
  • 40% sustained growth driven by market expansion.
  • 35% stagnation due to competition and flat sales.
  • 25% decline sparked by economic downturns.




Trading Oracle: Engage a bullish long volatility strategy with a debit spread. Buy $370 calls, sell $390 calls expiring in June 2025. This exploits anticipated volatility spikes, especially with the contango trend, offering high reward:risk.



February 15, 2025


Lululemon Athletica inc. Forecast

LULU        Lululemon Athletica inc.











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