
Ulta Beauty (ULTA) Stock Forecast & Price Target
Ulta Beauty (ULTA) Analyst Ratings
Bulls say
Ulta Beauty reported a substantial increase in net sales by approximately 12.9%, driven by market share gains in prestige skincare, fragrances, and mass makeup, alongside a noteworthy expansion in gross margin by 70 basis points to reach 40.4%. The company achieved a comparable store sales increase of 6.3%, significantly surpassing the market expectations of 3.5%, reflecting the positive impact of new brand launches and the full integration of Space NK. With shares up 38% year-to-date, Ulta's performance has outpaced both the S&P 500 and the XRT ETF, underscoring its robust growth trajectory amid a competitive retail environment.
Bears say
Ulta Beauty's financial outlook appears negative due to flat earnings per share (EPS) of $5.14 in Q3, signaling stagnation in profitability amidst growing market challenges. Key risks include heightened competition, potential declines in consumer confidence, supply chain disruptions from top vendors responsible for approximately 50% of net sales, and rising labor costs, which may hinder operational efficiency. Additionally, the anticipated loss of royalty revenue from the Target partnership in 2026 could exert further financial pressure unless offset by growth in other revenue streams.
This aggregate rating is based on analysts' research of Ulta Beauty and is not a guaranteed prediction by Public.com or investment advice.
Ulta Beauty (ULTA) Analyst Forecast & Price Prediction
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