Come 2014 adidas AG (ADR) (OTCMKTS:ADDYY) expects a record performance by the football category expecting over € 2 bilion in sales amidst the build up to one the world’s biggest sporting event “The FIFA world cup”.
As the Official Sponsor, Supplier and Licensee of the 2014 FIFA World Cup, Adidas will again supply the Official Ball of the tournament and equip officials, referees, volunteers and ball kids.
adidas AG (ADR) (OTCMKTS:ADDYY) has been working aggressively and vying for the top spot as the world’s largest sports apparel brand beating fellow rival NIKE, Inc. (NYSE:NKE) and if all goes as planned and the company continues its performance that day is not far away in the company’s long history of successful growth and deliverance.
Under Armour Inc (NYSE:UA) is another fast growing contender in the sports apparel market space. The company has been dishing out impressive results lately. The most recent quarter results have been very encouraging with the company reporting a 23 % Year-Over-Year (YOY) growth in revenue.
Under Armour Inc (NYSE:UA) has been successful in achieving a positive growth in all its revenue streams owing to continued commitment to design and innovation bringing about valuable additions to its product portfolio.
Whether it is the new and improved version of the Heatgear Sonic Baselayer or the strikingly eye-catching line of UA alter ego featuring superhero images, the company has been implementing every idea it can to promote its brand and grab greater market share.
Considering its financial performance so far in the year, the company has revised its 2013 guidance for growth in revenues and earnings from 21 % and 23 % earlier to 22% and 24 % respectively compared to 2012.
With a strong and effective marketing strategy in place the company is treading on a carefully designed path to emerge out an industry leader in the near future.
Foolish Take
Lululemon Athletica inc. (NASDAQ:LULU) is a significantly smaller company when compared to its bigger rivals NIKE, Inc. (NYSE:NKE) and adidas AG (ADR) (OTCMKTS:ADDYY); this however, does not put the company in a tight spot.
With a strong and consistent performance in the North American market and growth in international markets firmly on the company’s core agenda for the coming times, I believe lululemon has all the ingredients for the next phase of incredible performance and growth.
Considering the above facts and close analysis of the global industry, I rate Lululemon Athletica inc. (NASDAQ:LULU) as one of the outperforming companies in this segment and recommend a buy rating for the stock.
The article Attention Investors, Next Stop Lululemon!!! originally appeared on Fool.com and is written by Rashmi Singh.
Rashmi Singh has no position in any stocks mentioned. The Motley Fool recommends Lululemon Athletica inc. (NASDAQ:LULU), NIKE, Inc. (NYSE:NKE), and Under Armour. The Motley Fool owns shares of Nike and Under Armour Inc (NYSE:UA). Rashmi is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.
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