Lululemon Athletica (LULU) shares jumped more than 8% ahead of Thursday’s opening bell after the 澳洲幸运5官方开奖结果体彩网:activewear retailer posted better-than-expected quarterly results, raised its full-year 澳洲幸运5官方开奖结果体彩网:earnings guidance amid an improved second-half 澳洲幸运5官方开奖结果体彩网:inventory outlook, and boosted its stock buyback program.

In the first quarter ending April 28, the athletic apparel retailer posted earnings of $2.54 per share, comfortably ahead of the $2.38-a-share figure expected by analysts. Revenue in the period of $2.21 billion rose 10% from a year earlier to edge past the $2.19 billion Street estimate.

The top line received a boost from the company’s international business, which reported a 35% jump in sales from the prior year’s corresponding quarter, helping to offset sluggish 3% 澳洲幸运5官方开奖结果体彩网:revenue growth in the Americas, the retailer's largest market.

Lululemon forecasts 澳洲幸运5官方开奖结果体彩网:net sales in the second quarter of $2.40 billion to $2.42 billion, while expecting EPS of between $2.92 and $2.97, figures that are below analysts' expectations. For the full fiscal year, however, the company sees EPS of $14.27 to $14.47, versus its earlier forecast of $14 to $14.20.

Additional $1 Billion Stock Buyback Authorized

During the 澳洲幸运5官方开奖结果体彩网:earnings call with analysts, Chief Executive Officer Calvin McDonald said stocking issues related to color and sizing had persisted into the first quarter across the Americas business, but noted that he expects the retailer’s inventory position to improve throughout the back half of the year.

In addition, the company, which repurchased $296.9 million of its shares in the first quarter, authorized an additional $1 billion to its stock buyback program, indicating management’s confidence of the company’s strategy and execution moving forward.

Monitor This Key Chart Level

Lululemon shares have traded within a falling wedge since late March, a bullish 澳洲幸运5官方开奖结果体彩网:chart pattern that signals a potential upward price movement. Indeed, the stock sits poised to break above the wedge’s top trendline on𒁃 Thursday.

Looking ahead, investors should monitor if the price can reclaim the key $335 level, an area where the shares may encounter selling pressure from a 澳洲幸运5官方开奖结果体彩网:horizontal line linking a series of price action over the past 21 months. A close above this closely-watched level opens the door for a move up to higher 澳洲幸运5官方开奖结果体彩网:resistance around $387.

Luඣlulemon shares were up 8.4% at $334.25 at around 7:15 a.m.ET.

The comments, opinions, and analyses expressed on Investopedia are for informational purposes only. Read our 澳洲幸运5官方开奖结果体彩网:warranty and liability disclaimer for more info.

As of the date this article was written, the author does not own any of the above securities.