Ulta Beauty Inc. (NASDAQ:ULTA) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analyst sentiment is moderately bullish: Twenty-seven firms give Ulta Beauty an average “Moderate Buy” rating, with 19 buys, six holds, one sell and one strong buy. The average 12-month price target is $638.09.
• Ulta reported a strong quarter, with EPS of $7.74 versus the $6.89 consensus estimate and revenue of $3.16 billion, up 11.1% year over year and above expectations.
• Ulta shares opened at $512.83, well below their 52-week high of $714.97. Institutional investors own a substantial 90.39% stake, while an insider recently sold 383 shares.

Shares of Ulta Beauty Inc. (NASDAQ:ULTA - Get Free Report) have earned an average rating of "Moderate Buy" from the twenty-seven research firms that are currently covering the firm, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, six have assigned a hold recommendation, nineteen have assigned a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $638.0909.

A number of research analysts have commented on the company. Loop Capital restated a "hold" rating and set a $550.00 price objective on shares of Ulta Beauty in a research note on Wednesday, June 3rd. Robert W. Baird dropped their target price on Ulta Beauty from $730.00 to $700.00 and set an "outperform" rating on the stock in a report on Wednesday, June 3rd. Evercore set a $635.00 price target on Ulta Beauty in a research report on Wednesday, June 3rd. JPMorgan Chase & Co. decreased their price target on Ulta Beauty from $750.00 to $631.00 and set an "overweight" rating for the company in a report on Wednesday, June 3rd. Finally, Piper Sandler decreased their price target on Ulta Beauty from $725.00 to $600.00 and set an "overweight" rating for the company in a report on Wednesday, June 3rd.

Insider Activity at Ulta Beauty

In other news, Director George R. Mrkonic, Jr. sold 383 shares of the business's stock in a transaction on Monday, June 15th. The shares were sold at an average price of $475.84, for a total transaction of $182,246.72. Following the transaction, the director directly owned 2,404 shares of the company's stock, valued at approximately $1,143,919.36. The trade was a 13.74% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Insiders own 0.20% of the company's stock.

Institutional Investors Weigh In On Ulta Beauty

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Focus Partners Wealth increased its position in shares of Ulta Beauty by 231.6% during the first quarter. Focus Partners Wealth now owns 3,744 shares of the specialty retailer's stock worth $1,372,000 after acquiring an additional 2,615 shares during the last quarter. Intech Investment Management LLC grew its stake in Ulta Beauty by 48.9% during the 1st quarter. Intech Investment Management LLC now owns 4,795 shares of the specialty retailer's stock valued at $1,758,000 after purchasing an additional 1,574 shares in the last quarter. Sivia Capital Partners LLC acquired a new stake in Ulta Beauty during the 2nd quarter valued at approximately $466,000. Jump Financial LLC purchased a new stake in Ulta Beauty during the 2nd quarter worth approximately $1,196,000. Finally, Daiwa Securities Group Inc. increased its holdings in Ulta Beauty by 0.9% during the 2nd quarter. Daiwa Securities Group Inc. now owns 7,475 shares of the specialty retailer's stock worth $3,497,000 after purchasing an additional 70 shares during the last quarter. Hedge funds and other institutional investors own 90.39% of the company's stock.

Ulta Beauty Price Performance

Shares of ULTA stock opened at $512.83 on Monday. Ulta Beauty has a fifty-two week low of $443.60 and a fifty-two week high of $714.97. The firm's 50 day moving average price is $477.49 and its two-hundred day moving average price is $552.88. The stock has a market cap of $22.05 billion, a price-to-earnings ratio of 19.23, a price-to-earnings-growth ratio of 1.60 and a beta of 0.87.

Ulta Beauty (NASDAQ:ULTA - Get Free Report) last released its quarterly earnings data on Tuesday, June 2nd. The specialty retailer reported $7.74 earnings per share (EPS) for the quarter, topping the consensus estimate of $6.89 by $0.85. The company had revenue of $3.16 billion during the quarter, compared to analyst estimates of $3.12 billion. Ulta Beauty had a net margin of 9.36% and a return on equity of 44.77%. The business's quarterly revenue was up 11.1% compared to the same quarter last year. During the same quarter in the prior year, the business earned $6.70 earnings per share. Ulta Beauty has set its FY 2026 guidance at 28.360-28.800 EPS. On average, equities analysts forecast that Ulta Beauty will post 28.77 EPS for the current fiscal year.

About Ulta Beauty

Ulta Beauty, Inc NASDAQ: ULTA is a U.S.-based specialty retailer and beauty services provider focused on cosmetics, fragrance, skin care, hair care, bath and body, and beauty tools. The company operates a dual-format business that combines brick-and-mortar retail stores with an e-commerce platform, offering a broad assortment of national, prestige and mass-market brands alongside its own private-label products. In many locations Ulta also provides full-service salon treatments, positioning the company as a one-stop destination for product discovery and in-store services.

The retailer's product mix spans color cosmetics, haircare and styling products, skin and body care, fragrance, and accessories, catering to a wide range of consumer preferences and price points.

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