Why Lululemon Stock Gained 15% in October
Athleisure king Lululemon Athletica's (NASDAQ: LULU) stock jumped 15% in October, according to data provided by S&P Global Market Intelligence. The company released a super earnings report in September, and it launched new products and other endeavors in October. After the stock price fell at the end of September due to broader market fears about inflation and supply chain problems, investors piled in to grab shares of the newly cheaper stock.
Lululemon has been a fantastic performer over its history, both as a company and as a stock. It bounced back quickly from the pandemic, with only one quarter of declines last year. That was a 17% year-over-year decrease in the first quarter, which was itself a much smaller decline than similar companies. Since then, it's been on a roll, and sales increased 61% in the 2021 second quarter (ended Aug. 1) after a 2% rise in Q2 2020.
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Source Fool.com
