Lululemon Athletica inc. PEG Ratio

Lululemon Athletica inc. posts a PEG ratio of -24.35. That is below the Consumer Discretionary sector average of 19.97. Comparing that reading with peers and prior periods is usually more useful than looking at the number in isolation.

For Consumer Discretionary stocks, a PEG ratio near 19.97 is typical. Lululemon Athletica inc.'s -24.35 is lower that level. That is roughly 221.9% below the sector mean. Whether that is a warning or an opportunity depends on growth outlook and other fundamentals shown elsewhere on Stockcircle.

Lululemon Athletica inc.'s PEG ratio of -24.35 comes from dividing a price-based measure by a related financial statistic. Changes can come from the stock price moving, the underlying fundamental shifting, or both. Track both the level and the trend — a rising multiple on falling fundamentals is a different story than a rising multiple on rising earnings.

Context for LULU's PEG ratio usually means three checks: (1) trend versus prior periods, (2) level versus peers (average 19.97), and (3) consistency with growth and profitability. This page covers the first two; Lululemon Athletica inc.'s other metric pages and overview cover the third.

Judging Lululemon Athletica inc. against Consumer Discretionary peers is usually better than using a market-wide rule of thumb. Business models inside Consumer Discretionary are more comparable, which makes gaps in PEG ratio easier to interpret. Start with -24.35 here, then scan peer and history charts to see if the gap is persistent.