Update: Piper Jaffray Raises Price Target On Ulta (ULTA)

Piper Jaffray is raising its price target on shares of Ulta ULTA to $48 and has an Overweight rating on shares.

In a note to clients, Piper Jaffray writes, "We are raising our price target and EPS outlook for ULTA following the company's
better-than-expected FQ4 report. Same-store sales accelerated from +9.5% during the holiday season to end up +10.4% for all of FQ4. Looking into FY12, management expects net income growth near the high-end of its long-term target of +25% to +30%, and we believe improved new store profitability stemming from lower buildout costs and a shorter payback period could potentially lead to further upside. We continue to view ULTA shares as our top growth pick in 2011 view of the multiple growth levers available to the company."

Shares of ULTA gained 98 cents yesterday to close at $42.11, a gain of 2.4%.