Some people have been bullish on yoga apparel maker Lululemon for some time. Only now other people are noticing too.
Yahoo!: Lululemon shares fall back to earth after much-hyped initial public offering
For a small player, trying to short the hysteria wouldn't have been a sound move. As John Maynard Keynes said, “The market can stay irrational longer than you can stay solvent.” Regardless, the position of saying out loud "They're just yoga pants, for chrissakes. a 300 P/E is retarded!" has paid a huge return of smug self-satisfaction.
No one should be surprised to see insiders sell this week, since Lululemon's IPO was a payout for the original principals plain and simple, and there's nothing wrong with that per se. Everyone's gotta get paid. Just don't expect that yoga pants are going to be the second coming of Google.
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Yahoo!: Lululemon shares fall back to earth after much-hyped initial public offering
VANCOUVER - After starting off like a rocket, shares of yoga-wear retailer Lululemon Athletica Inc. (TSX:LLL) have returned to earth in recent weeks trading near where the stock was in the days after its much-hyped initial public offering.
And this week, the market will be watching carefully as the lock up period for Lululemon's investors expires on Jan. 23 following company's initial public offering in July and the number of shares eligible to trade is set to grow significantly.
For a small player, trying to short the hysteria wouldn't have been a sound move. As John Maynard Keynes said, “The market can stay irrational longer than you can stay solvent.” Regardless, the position of saying out loud "They're just yoga pants, for chrissakes. a 300 P/E is retarded!" has paid a huge return of smug self-satisfaction.
No one should be surprised to see insiders sell this week, since Lululemon's IPO was a payout for the original principals plain and simple, and there's nothing wrong with that per se. Everyone's gotta get paid. Just don't expect that yoga pants are going to be the second coming of Google.
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