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 increasing.
- The growth rate of the primary trend is 198.24% per annum.
- LULU price at the close of March 5, 2025 was $349.53 and was lower than the bottom border of the primary price channel by $58.24 (14.28%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 86.93% per annum.
- LULU price at the close of March 5, 2025 was inside the secondary price channel.
- 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: July 25, 2024
End date: February 12, 2025
a = 0.6472
b = 0.0030
s = 0.0501
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0030) – 1
= 198.24%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0501) – 1
= 22.17%
July 25, 2024 calculations
Top border of price channel:
Exp(Y1,103)
= Exp(a + b × X1,103 + 2 × s)
= Exp(a + b × 1,602 + 2 × s)
= Exp(0.6472 + 0.0030 × 1,602 + 2 × 0.0501)
= Exp(5.5433)
= $255.52
Bottom border of price channel:
Exp(Y1,103)
= Exp(a + b × X1,103 – 2 × s)
= Exp(a + b × 1,602 – 2 × s)
= Exp(0.6472 + 0.0030 × 1,602 – 2 × 0.0501)
= Exp(5.3431)
= $209.16
February 12, 2025 calculations
Top border of price channel:
Exp(Y1,241)
= Exp(a + b × X1,241 + 2 × s)
= Exp(a + b × 1,804 + 2 × s)
= Exp(0.6472 + 0.0030 × 1,804 + 2 × 0.0501)
= Exp(6.1481)
= $467.81
Bottom border of price channel:
Exp(Y1,241)
= Exp(a + b × X1,241 – 2 × s)
= Exp(a + b × 1,804 – 2 × s)
= Exp(0.6472 + 0.0030 × 1,804 – 2 × 0.0501)
= Exp(5.9478)
= $382.93
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 198.24% per annum.
- LULU price at the close of March 5, 2025 was $349.53 and was lower than the bottom border of the primary price channel by $58.24 (14.28%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: January 29, 2025
End date: March 5, 2025
a = 16.0227
b = -0.0056
s = 0.0192
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0056) – 1
= -86.93%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0192) – 1
= 7.98%
January 29, 2025 calculations
Top border of price channel:
Exp(Y1,231)
= Exp(a + b × X1,231 + 2 × s)
= Exp(a + b × 1,790 + 2 × s)
= Exp(16.0227 + -0.0056 × 1,790 + 2 × 0.0192)
= Exp(6.0823)
= $438.04
Bottom border of price channel:
Exp(Y1,231)
= Exp(a + b × X1,231 – 2 × s)
= Exp(a + b × 1,790 – 2 × s)
= Exp(16.0227 + -0.0056 × 1,790 – 2 × 0.0192)
= Exp(6.0056)
= $405.69
March 5, 2025 calculations
Top border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(16.0227 + -0.0056 × 1,825 + 2 × 0.0192)
= Exp(5.8872)
= $360.39
Bottom border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(16.0227 + -0.0056 × 1,825 – 2 × 0.0192)
= Exp(5.8105)
= $333.77
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 86.93% per annum.
- LULU price at the close of March 5, 2025 was inside the secondary price channel.