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Why These 4 Stocks Have Surged Out of the Morning Gates

Lululemon Athletica inc. (NASDAQ:LULU)‘s fundamentals are improving, as the company upped its fourth-quarter revenue guidance yesterday to $690 million-to-$695 million from the previous $670 million-to-$685 million and raised its quarterly EPS estimate to $0.78 from a range of $0.75-to-$0.78. Comparable store sales growth is expected to be in the high single-digits versus previous guidance of mid single-digit growth, due to strong holiday sales. Analysts are taking note, as Jefferies Group raised its price target to $71 from $70 and Credit Suisse upped its price estimate to $60 from $59. Lululemon Athletica inc. (NASDAQ:LULU) shares have rallied 11% so far on the good news .

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The Coca-Cola Co (NYSE:KO) is 0.9% higher today because of an analyst upgrade. Because of The Coca-Cola Co (NYSE:KO)’s reasonable valuation and improving growth trends, analysts at Stifel Nicolaus raised their rating on the consumer staple to ‘Buy’ from ‘Hold’ and assigned the stock a $54 price target. Many elite funds are also bullish on the soft-drink producer’s prospects, as 54 funds owned over 11% of Coca-Cola’s float as of September 30. Warren Buffett‘s Berkshire Hathaway was the largest believer, with a holding of 400.0 million shares.

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