Better Growth Stock to Buy: Lululemon vs. Nike
Nike (NYSE: NKE) and (NASDAQ: LULU) are each growing sales at a solid clip these days. But investors haven't rewarded the two stocks with similar capital gains in 2023. Lululemon shares are up significantly and beating the 18% rally in the S 500 through early September, while Nike is currently stuck in negative territory.
That performance gap can be explained by a tough selling environment in the footwear industry right now. But this challenge could lay the foundation for better returns for investors buying Nike today. With that prospect in mind, here's a look at the two investments to see which one is the better growth stock for your portfolio.
Nike's sales gains are being overshadowed by Lululemon's expansion rate through mid-2023. The footwear giant's revenue was up 16% in the most recent quarter after adjusting for currency-exchange rate shifts. Lululemon's growth clocked in at a meatier 20%.
Source Fool.com
Lululemon Athletica Inc. Stock
Currently there is a rather positive sentiment for Lululemon Athletica Inc. with 67 Buy predictions and 5 Sell predictions.
With a target price of 463 € there is a hugely positive potential of 54.98% for Lululemon Athletica Inc. compared to the current price of 298.75 €.
