LEVI
Levi Strauss & Co. Class A Common Stock
stock NYSE

At this point, LULU is fairly valued at a P/E of 8, given its no-growth profile. So put in your margin of safety and wait for your strike price minus a PE of 8. The upside is that Chip (founder) gets control of the board, removes SKUs, and remerchandises the stores the way they used to be. I don't see athleisure going anywhere, and they have the best product and balance sheet by a mile, with free cash flowing 1B a year. I like Amer Sports, but it's not as mature as it owns Arteryx, Salomon, Wilson Sports, Peak Performance, and Atomic. They have a natural conduit to athletics as they own a ball or a racket for each sport. Also, Chip Wilson, the founder of Lulu, is one of America's largest shareholders and sits on the board. This has a lot of growth, but, as with any apparel company, you have to know when to sell using the DCF model. Apparel companies all have a shelf life; a few last decades, like LEVI and NIKE. They're like drug stocks that lose patents. IMO

At this point, LULU is fairly valued at a P/E of 8, given its no-growth profile. So put in your margin of safety and wait for your strike price minus a PE of 8. The upside is that Chip (founder) gets control of the board, removes SKUs, and remerchandises the stores the way they used to be. I don't see athleisure going anywhere, and they have the best product and balance sheet by a mile, with free cash flowing 1B a year. I like Amer Sports, but it's not as mature as it owns Arteryx, Salomon, Wilson Sports, Peak Performance, and Atomic. They have a natural conduit to athletics as they own a ball or a racket for each sport. Also, Chip Wilson, the founder of Lulu, is one of America's largest shareholders and sits on the board. This has a lot of growth, but, as with any apparel company, you have to know when to sell using the DCF model. Apparel companies all have a shelf life; a few last decades, like LEVI and NIKE. They're like drug stocks that lose patents. IMO