5 Best Clothing Stocks to Buy Now

1. Lululemon Athletica Inc. (NASDAQ:LULU)

Number of Hedge Fund Holders: 61

Lululemon Athletica Inc. (NASDAQ:LULU) designs, distributes, and retails athletic apparel, footwear, and accessories under the lululemon brand for women and men. On November 16, investment advisory Truist initiated coverage of Lululemon Athletica Inc. (NASDAQ:LULU) stock with a Buy rating and a price target of $500, noting the firm had one of the strongest brand loyalty in the activewear industry. 

At the end of the second quarter of 2023, 61 hedge funds in the database of Insider Monkey held stakes worth $3 billion in Lululemon Athletica Inc. (NASDAQ:LULU), compared to 63 in the preceding quarter worth $3.5 billion. 

In its Q1 2023 investor letter, Kinsman Oak Capital Partners, an asset management firm, highlighted a few stocks and Lululemon Athletica Inc. (NASDAQ:LULU) was one of them. Here is what the fund said:

“What is relatively new, however, is that we are beginning to see substantial write-downs and impairment charges. For instance, Lululemon Athletica Inc. (NASDAQ:LULU) is already exploring a sale of Mirror, the struggling fitness technology company it bought less than three years ago for half a billion dollars. Lululemon executives recently announced a $433 million impairment charge on the business (-89%). That is not an insignificant amount of money.”

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