Latest news with #NeutralRating
Yahoo
2 hours ago
- Business
- Yahoo
Piper Sandler Reduces PT on lululemon athletica (LULU) Stock
lululemon athletica inc. (NASDAQ:LULU) is one of the Reddit Stocks with the Highest Upside Potential. On July 29, Piper Sandler reduced the price target on the company's stock to $200 from $270, while keeping a 'Neutral' rating, as reported by The Fly. As per the firm, the fall in lululemon athletica inc. (NASDAQ:LULU)'s shares this year was because of a correction in the multiple. In Q1 2025, the company achieved growth throughout its channels, categories, and markets, including the US, demonstrating the continued strength and agility of its business model. A store employee in an athletic apparel store restocking merchandise. Amidst the dynamic macro environment, lululemon athletica inc. (NASDAQ:LULU) plans to leverage its robust financial position and competitive advantages to play offense, while it continues to invest in growth opportunities. In Q1 2025, its net revenue rose 7% to $2.4 billion, or 8% on a constant dollar basis, with the Americas net revenue rising 3% and the International net revenue increasing 19%. For Q2 2025, lululemon athletica inc. (NASDAQ:LULU) anticipates net revenue of between $2.535 billion – $2.560 billion, reflecting growth of 7% – 8%. RGA Investment Advisors, an investment management company, released its Q1 2025 investor letter. Here is what the fund said: 'Late in the quarter, we purchased shares in Lululemon athletica inc. (NASDAQ:LULU), despite uncertainty about the tariff situation. Many of you are familiar with the brand. Lulu is a leading athleisure brand and though competition has increased from upstart offerings like Vuori, Alo and Fabletics, the company has continued to maintain relevance and perform admirably. These upstarts have varied approaches, but in aggregate, they have won share with a combination of faster, more tasteful fashion and cheaper prices. Importantly, this share has predominantly come from Nike–the 10,000 pound gorilla of the industry that continues to see negative topline growth. Even within the competitive landscape, it is notable that Vuori and Alo enthusiasts still consider Lulu core to their wardrobe, given the demonstrable quality advantage of the company's proprietary fabrics. Although Lulu has benefited from dominance in fashion, its core calling has been performance and that segment of the market remains unquestioned. While we acknowledge the potential of LULU as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 13 Cheap AI Stocks to Buy According to Analysts and 11 Unstoppable Growth Stocks to Invest in Now Disclosure: None. This article is originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
PhillipCapital Upgrades Airbnb (ABNB) to Neutral, Raises Price Target
Airbnb, Inc. (NASDAQ:ABNB) is one of the 11 Best Under-the-Radar Stocks to Buy Right Now. On August 11, PhillipCapital upgraded the rating for Airbnb, Inc. (NASDAQ:ABNB) from Reduce to Neutral and increased the price target from $112 to $127. This decision follows the recent Airbnb, Inc. (NASDAQ:ABNB) price performance. However, PhillipCapital did not change its revenue estimates for fiscal year 2025. A vacation home luxury bedroom setup with stunning decor showing a desired getaway experience. The firm kept its weighted average cost of capital (WACC) the same at 7.0%. However, PhillipCapital raised the terminal growth rate from 3.0% to 3.5%. The firm said that travel demand seems to be stabilizing. PhillipCapital expects Airbnb, Inc. (NASDAQ:ABNB) to experience modest sales growth through 2025 because of steady demand for travel and strong growth in the Asia Pacific and Latin America regions. The firm's analysis suggests that new initiatives by Airbnb, Inc. (NASDAQ:ABNB), like local experiences, are not expected to scale and make meaningful contributions to revenue until fiscal year 2026. Airbnb, Inc. (NASDAQ:ABNB) operates an online marketplace for short-and long-term homestays, experiences, and services in over 220 countries and regions. Acting as a broker, it charges a commission from each booking. While we acknowledge the potential of ABNB as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 11 Best Revenue Growth Stocks to Buy Now and 14 Best Aggressive Growth Stocks to Buy According to Analysts. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
09-08-2025
- Business
- Yahoo
Fortinet (FTNT) Price Target Cut to $90 as UBS Warns of Low Double-Digit Growth Ahead
Fortinet, Inc. (NASDAQ:FTNT) is one of the . On August 6, UBS analyst Fatima Boolani lowered the price target on the stock to $90.00 (from $105.00) while maintaining a Neutral rating. The rating affirmation comes after Fortinet's second-quarter results. '2Q results looked decent, with billings/revenue 3%/2% ahead of consensus, 33% OpM (32% guide), and strong service billings growth of 17%.' Despite the positive results, the firm noted that Fortinet cut its second-half services revenue guidance by $50 million. It also revised down its assumptions for the 2026 End of Service Life refresh opportunity. A financial analyst pointing to a graph showing the MSCI EAFE Index market performance. Expected growth in the fourth quarter looks weaker than before, and the firm sees a tougher setup going into CY26. '2Q results now leave investors grappling with implied 4Q guidance for 11% billings growth in 4Q (below the company's 12% 3-5yr CAGR outlook) and ~13% service revenue growth (down from 20% in CY24). We now see a tougher setup into CY26, where success with newer products (SASE, SecOps, etc) will need to contribute more materially.' The stock seems fairly priced for a company with low double-digit growth, the firm stated, choosing to remain on the sidelines. 'While we continue to model 10% billings growth in CY26, we expect prior consensus for 12% y/y likely needs to come down. We'd argue that at 21x EV/FCF, shares appear more reasonable for what now appears to be a LDD growth story but come away with more questions than answers around CY26 and remain on the sidelines.' Fortinet, Inc. (NASDAQ:FTNT), a cybersecurity company, provides enterprise-level next-generation firewalls and network security solutions, leveraging artificial intelligence across its cybersecurity products. While we acknowledge the potential of FTNT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: and Disclosure: None. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
