Lululemon Gets Pantsed
MarketFoolery
The Motley Fool
4.7 • 1.7K Ratings
🗓️ 30 March 2017
⏱️ 18 minutes
🧾️ Download transcript
Summary
Shares of Lululemon Athletica fall more than 20% after a bad 4th-quarter report and weak guidance. Simon Erickson analyzes the damage and shares why he’s optimistic about the company’s future. Plus we discuss Toyota’s recall of nearly 3 million vehicles and give a sneak preview of Simon’s free investing report from SXSW.
Transcript
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| 0:15.1 | It's Thursday March 30th. |
| 0:18.9 | Welcome to market foolery. |
| 0:20.3 | I'm Chris Hill joining me in studio today from Motley Fool Explorer Simon Ericsson. |
| 0:24.4 | Thanks for being here. |
| 0:25.2 | Chris, it's always a pleasure. |
| 0:27.0 | We've got some news. |
| 0:28.2 | Holy cow do we have some news, particularly if you are one of the millions of people who owns and drives a Toyota vehicle, we've got some news. |
| 0:37.2 | But we're also going to, we're going to have to start with Lulu Lemon in Athletica. |
| 0:41.6 | Holy cow shares of Lulu Lemon getting whacked today down 22%. |
| 0:47.2 | They had a fourth quarter report that wasn't good and they followed that up with some pretty weak |
| 0:52.2 | guidance for their fiscal quarter, the one that they're in right |
| 0:57.0 | now, Q1 and combined, I don't know man, 22 percent, is that an overreaction or is that a perfectly logical |
| 1:05.6 | reaction seems to be stretching a little thin to me Chris you know the I think the |
| 1:10.0 | big news was that the upcoming quarter they were expecting a decline in cops |
| 1:14.8 | which is a big deal for Lulu lemon because that's the first time since 2009 |
| 1:18.9 | that they would have had a negative same store sales globally and they address this they gave the reasons that they |
| 1:25.1 | expected why this would be most of it was because a hiccup that they've done |
| 1:29.6 | operationally on their |
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