Today we released our weekly "Not So Deep Dive" with
@stockmarketnerd joining us for this episode. We covered Lululemon
$LULUGiven anecdotal stories and seeing the long-term stock chart, I wasn't surprised at how impressive the business looked when finally getting some context on its financials. At a fairly reasonable trailing earnings multiple, there seems to be a clear path to this stock providing solid returns over the next decade.
However, one question keeps nagging at me. How much of a COVID beneficiary was Lululemon? Athleisure definitely got a boost because of the change in work culture. Does that mean we are overestimating revenue growth for the next five years? Or is athleisure such a secular growth category it doesn't matter?
Something to chew on for bulls or anyone thinking of buying shares