Lululemon IPO
Lululemon IPO
What's you opinion on Lululemon coming up IPO. Did anybody look into it in detail?
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“The more the state 'plans' the more difficult planning becomes for the individual.”
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“The more the state 'plans' the more difficult planning becomes for the individual.”
F.A. Hayek
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Clothier Lululemon shrinks planned offering
Fri Jul 13, 2007 1:30 PM EDT
"It could be that there isn't as much of an appetite on the stock," said one analyst, who asked not to be named. The "pretty richly priced" offering has enjoyed a "hype factor," he added.
http://ca.today.reuters.com/news/newsAr ... ived=False
Fri Jul 13, 2007 1:30 PM EDT
"It could be that there isn't as much of an appetite on the stock," said one analyst, who asked not to be named. The "pretty richly priced" offering has enjoyed a "hype factor," he added.
http://ca.today.reuters.com/news/newsAr ... ived=False
- investor99
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I find the company intriguing. I am going to give it a serious look as a speculative investment; not usually my style however I may indulge. It will probably be a difficult one to buy without overpaying though. I am thinking anywhere around $8 is reasonable, while $10 is very expensive.
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Sounds like a good idea after reading the following in today's G&M. If Lululemon is such a great investment why are the current owners so keen to monetize there investment?lilbit wrote:I'm going to wait until after the IPO - sometimes there's a nice retreat in the share price.
"In all, existing Lululemon shareholders will account for nearly 14.1 million of the 16.4 million shares to be sold in the IPO."
http://www.theglobeandmail.com/servlet/ ... y/Business
I have shopped there for my daughter's xmas gifts.Looks like a one trick pony to me very dependant on the current trend towards yoga and..pilates. This trend could bottom out very quickly imo.
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I was chatting with someone significant last night and I mentioned how it was "trendy" and a current "fad" (all us boomers with chronic pain) and I couldn't see how they'd have a lock on competition.
He pointed out there are 2 competitors entering the field now.
He, himself, as a Tai Chi teacher couldn't see spending $100 on yoga pants.
OB
He pointed out there are 2 competitors entering the field now.
He, himself, as a Tai Chi teacher couldn't see spending $100 on yoga pants.
OB
But remember that their most significant target market is young women 18-35. There is a very passionate brand loyalty among that group and they've shown a willingness to pay a premium for the product. For a person who works in a female dominated workplace, I can accurately suggest that 75% of my coworkers & past classmates owned at least 1 piece of apparel, with university campuses the largest hotspot for the products.
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For those interested according to RBC LuluLemon (LLL) has "...increased its IPO range by 50% from US $10-$12 to US $15-$17 per share. The anticipated market cap for the company is $1.3 billion, and the shares are expected to come to market on Thursday, July 26th.
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Lululemon prospects bright after IPO, analyst says
http://ca.today.reuters.com/news/newsAr ... ived=False
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Lululemon prospects bright after IPO, analyst says
http://ca.today.reuters.com/news/newsAr ... ived=False
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LLL jumped over 50% this morning in it's IPO debut.
http://www.globeinvestor.com/servlet/st ... 7/GIStory/
http://www.globeinvestor.com/servlet/st ... 7/GIStory/
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Barnum's Law — You’ll never go broke underestimating the intelligence of the American public. Named for P. T. Barnumbrad911 wrote:But remember that their most significant target market is young women 18-35. There is a very passionate brand loyalty among that group and they've shown a willingness to pay a premium for the product. For a person who works in a female dominated workplace, I can accurately suggest that 75% of my coworkers & past classmates owned at least 1 piece of apparel, with university campuses the largest hotspot for the products.
Now where is my pair of Reebok Princess and those leg-warmers I have to go and do my 20 Minute Workout. Don't forget to breath. lol
- bubbalouie
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Shawn Allen of Investorsfriend newsletter certainly agrees with you.bubbalouie wrote:It's the year 2000 all over again....
Think about this folks. Would you pay $34 million for a small retail store? Remember, I estimated above that sales were about $3.7 million per store in 2006. No-doubt, $3.7 million per year in sales is excellent for a small store. But it can not come anywhere close to justifying a price of $34 million per store.
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This is as bad as many of the dot-com fiasco's of the late 90's and early 2000's.
Re: Lululemon IPO
In an apparent resurgence, LULU is again heading towards it all-time peak of $80+ with at least one firm predicting that. LULU renewal.
There was also a piece on BNN today that, if they can withstand an attempt by Amazon to knock them off, they might become a target acquisition like Whole Foods was.
There was also a piece on BNN today that, if they can withstand an attempt by Amazon to knock them off, they might become a target acquisition like Whole Foods was.
For the fun of it...Keith
Re: Lululemon IPO
I bought 1 men's hoodie and 1 men's yoga pants in 2010 and they are still going strong - I am very impressed with the circa 2010 quality of their products. At this pace, I'm not going to need to purchase those items again for at least another half decade.
I've anecdotally heard over the years that the quality isn't the same anymore.
They also basically created the yoga-athle-leisure market and had a monopoly for a while. There's much competition now with Nike, Under Armour, Adidas, etc. offering similar items.
I've anecdotally heard over the years that the quality isn't the same anymore.
They also basically created the yoga-athle-leisure market and had a monopoly for a while. There's much competition now with Nike, Under Armour, Adidas, etc. offering similar items.
Re: Lululemon IPO
Yes we know some loyalists who still get great value from buying their products. I see the Amazon initiative as the greatest threat/opportunity to LULU yet. Their stock could go to $90 or collapse once again.
For the fun of it...Keith