Stifel keeps a Hold rating on Lululemon (LULU) with a $210 price target after the company’s founder Chip Wilson announced a proxy contest to nominate three independent directors and declassify the board. While the proposal could modernize Lululemon’s corporate governance, it could elongate the ongoing CEO search process beyond the annual meeting, the analyst tells investors in a research note. Stifel believes the stock’s current valuation already reflects favorable sentiment of a leadership change.
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