Yoga Pants Selling Faster than Blackberry’s

Just when Research In Motion thought things couldn’t get any worse, it turns out that Lululemon, maker of yoga pants now commands a bigger market cap than them.

According to an article in the Financial Post, Lululemon Athletica Inc. surpassed Research In Motion this week on the Nasdaq in terms of total market capitalization, with the former now sporting a market cap of US$8.72-billion versus RIM’s own US$8.43-billion.

Shares in RIM are down more than 74% in the last year, underscoring the firm’s woes as it struggles with declining market share against smartphone rivals Apple Inc. and Google Inc.

Lululemon, on the other hand, has taken an almost complete opposite trajectory. The company’s stock is up 67% in the last year. Shares hit fresh new highs on Thursday, as the company reported record sales in the United States. That comes after reported sales rose 51% in the third quarter of last year, compared with the same period in 2010.  They also raised their outlook for 2012, so it all bodes well for our continued involvement.

If it’s any consolation,  RIM still has the advantage in Canada. The BlackBerry-maker still has a nearly US$2-billion larger market cap than Lululemon on the Toronto Stock Exchange….for NOW…

Personally, LULU stock has made me money, but I’ve never liked Yoga, my wife once convinced me to go to a class with her, and I duly agreed and subsequently went for a number of weeks.  I just found it completely tedious.  It’s not that it’s not great exercise, it most certainly is, it’s just SO boring.  Each to their own I say!  But I sure am glad that there are a whole bunch of people out there that disagree with me, the stock is going Up Up Up!

My Blackberry on the other hand, I’d miss, I love my Torch.  I’ve had a Blackberry since 2003…you know, the one that wasn’t even a phone with the green screen.  But I wouldn’t invest in RIM right now, I have no clue where their growth will come from.

May today be a profitable day…for all of us.

John