Lululemon Athletica Inc. (LULU)
lululemon athletica inc. The company is headquartered in Vancouver, Canada.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is decreasing.
- The decline rate of the primary trend is 86.92% per annum.
- LULU price at the close of March 31, 2025 was $283.06 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 300.12% per annum.
- LULU price at the close of March 31, 2025 was lower than the bottom border of the secondary price channel by $44.08 (13.48%). This indicates a possible reversal in the secondary trend direction.
- The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of LULU price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: January 27, 2025
End date: March 21, 2025
a = 15.8672
b = -0.0056
s = 0.0266
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0056) – 1
= -86.92%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0266) – 1
= 11.23%
January 27, 2025 calculations
Top border of price channel:
Exp(Y1,211)
= Exp(a + b × X1,211 + 2 × s)
= Exp(a + b × 1,762 + 2 × s)
= Exp(15.8672 + -0.0056 × 1,762 + 2 × 0.0266)
= Exp(6.1019)
= $446.70
Bottom border of price channel:
Exp(Y1,211)
= Exp(a + b × X1,211 – 2 × s)
= Exp(a + b × 1,762 – 2 × s)
= Exp(15.8672 + -0.0056 × 1,762 – 2 × 0.0266)
= Exp(5.9955)
= $401.61
March 21, 2025 calculations
Top border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 + 2 × s)
= Exp(a + b × 1,815 + 2 × s)
= Exp(15.8672 + -0.0056 × 1,815 + 2 × 0.0266)
= Exp(5.8066)
= $332.47
Bottom border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 – 2 × s)
= Exp(a + b × 1,815 – 2 × s)
= Exp(15.8672 + -0.0056 × 1,815 – 2 × 0.0266)
= Exp(5.7002)
= $298.91
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 86.92% per annum.
- LULU price at the close of March 31, 2025 was $283.06 and was inside the primary price channel.
Secondary Trend
Start date: March 10, 2025
End date: March 27, 2025
a = -1.0975
b = 0.0038
s = 0.0226
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0038) – 1
= 300.12%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0226) – 1
= 9.45%
March 10, 2025 calculations
Top border of price channel:
Exp(Y1,240)
= Exp(a + b × X1,240 + 2 × s)
= Exp(a + b × 1,804 + 2 × s)
= Exp(-1.0975 + 0.0038 × 1,804 + 2 × 0.0226)
= Exp(5.8009)
= $330.60
Bottom border of price channel:
Exp(Y1,240)
= Exp(a + b × X1,240 – 2 × s)
= Exp(a + b × 1,804 – 2 × s)
= Exp(-1.0975 + 0.0038 × 1,804 – 2 × 0.0226)
= Exp(5.7106)
= $302.06
March 27, 2025 calculations
Top border of price channel:
Exp(Y1,253)
= Exp(a + b × X1,253 + 2 × s)
= Exp(a + b × 1,821 + 2 × s)
= Exp(-1.0975 + 0.0038 × 1,821 + 2 × 0.0226)
= Exp(5.8655)
= $352.66
Bottom border of price channel:
Exp(Y1,253)
= Exp(a + b × X1,253 – 2 × s)
= Exp(a + b × 1,821 – 2 × s)
= Exp(-1.0975 + 0.0038 × 1,821 – 2 × 0.0226)
= Exp(5.7752)
= $322.21
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 300.12% per annum.
- LULU price at the close of March 31, 2025 was lower than the bottom border of the secondary price channel by $44.08 (13.48%). This indicates a possible reversal in the secondary trend direction.