Lululemon shares touch a fresh all-time high on Friday as quarterly results beat, company boosts full-year earnings forecast

Shares of Lululemon Athletica Inc (LULU) touched a record high on Friday, after the Vancouver-based company reported better-than-anticipated first-quarter results and also revised up its full-year earnings forecast, as customer traffic at its renovated stores kept increasing in the mid-single digit range.

Lululemon shares closed higher for the first time in the past five trading sessions on NASDAQ on Friday. It has also been the sharpest daily surge since October 30th 2008. The stock went up 16.32% ($17.14) to $122.19, after touching an intraday high at $123.84 and also a fresh all-time high.

Shares of Lululemon Athletica have risen 55.48% so far in 2018, after surging another 20.93% in 2017.

Direct-to-consumer revenue, including on-line sales, grew 62% year-on-year to $649.71 million during the first quarter, which bolstered the companys earnings to $0.55 per share. In comparison, analysts on average had anticipated earnings of $0.46 per share on revenue of $615.11 million.

According to Stuart Heselden, Lululemons Chief Operating Officer, the companys revenue may reach $4 billion in 2020.

Meanwhile, Lululemon said it now expected to earn between $3.10 and $3.18 per share for the full year, a revision up from a profit range of $3.00-$3.08 per share, as forecast previously.

After the earnings report, at least 14 brokerage firms revised up their price target on Lululemon Athletica. Barclays turned out to be the most bullish, as the firm raised its price target to $150 from $100 previously. Barclays said its team of analysts was “hard-pressed to find anything negative” in Lululemons first-quarter results.

According to CNN Money, the 28 analysts, offering 12-month forecasts regarding Lululemon Athletica Incs stock price, have a median target of $93.50, with a high estimate of $114.00 and a low estimate of $53.00. The median estimate is a 23.48% decrease compared to the closing price of $122.19 on June 1st.

The same media also reported that 17 out of 33 surveyed investment analysts had rated Lululemon Athletica Inc’s stock as “Buy”, while 14 – as “Hold”. On the other hand, 1 analyst had recommended selling the stock.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Lululemon stock are presented as follows:

R1 – $123.17
R2 – $124.14
R3 (Range Resistance – Sell) – $125.12
R4 (Long Breakout) – $128.04
R5 (Breakout Target 1) – $131.46
R6 (Breakout Target 2) – $133.67

S1 – $121.21
S2 – $120.24
S3 (Range Support – Buy) – $119.26
S4 (Short Breakout) – $116.34
S5 (Breakout Target 1) – $112.92
S6 (Breakout Target 2) – $110.71

By using the traditional method of calculation, the weekly levels of importance for Lululemon Athletica Inc (LULU) are presented as follows:

Central Pivot Point – $116.61
R1 – $129.42
R2 – $136.65
R3 – $149.46
R4 – $162.27

S1 – $109.38
S2 – $96.57
S3 – $89.34
S4 – $82.11