Jim Cramer on lululemon: "I Think it has Fallen Too Far"

lululemon athletica inc. (NASDAQ:LULU) is one of the stocks Jim Cramer shed light on. A caller who bought the stock at around $334 in early June asked if they should hold and recover losses or sell the position entirely. Cramer replied:

“Well, I think it has fallen too far. It’s down 50%. I think that Calvin McDonald is a person of great wisdom, and I do think that you can catch a bounce. I don’t want to say more than that because I think the prices are too expensive and it’s not differentiated enough, and I felt that way when my favorite Costco came in hard against Lulu.”

lululemon athletica inc. (NASDAQ:LULU) designs and sells athletic apparel, footwear, and accessories for yoga, running, training, and related activities under the lululemon brand. When a caller inquired about the stock during the September 17 episode, Cramer responded:

“I tell you, I stopped liking them when I saw that they sued Costco for a really good product that Costco had. No, I’m not… Look, I think the American people want bargains. I would rather see you own Gap, which is going to be turning around this Athleta. That’s where I would go.”

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Disclosure: None. This article is originally published at Insider Monkey.