Ulta Stock Is Rising Friday: What's Going On?

Ulta Beauty, Inc. ULTA shares are trading higher on Friday after the company reported better-than-expected first-quarter earnings on Thursday after the market closed and raised its guidance.

What To Know: Ulta reported earnings per share of $6.70, beating the consensus estimate of $5.77. In addition, the company reported sales of $2.85 billion, beating the consensus estimate of $2.79 billion, and representing a 4.5% year-over-year gain.

Ulta attributed the gain to an increased in comparable sales and new store contribution, partially offset by a decrease in other revenue.

Comparable sales increased 2.9% year-over-year due to an increased in average ticket and transactions.

Outlook: The company now expects fiscal-year 2025 earnings per share from $22.65 to $23.20, versus the consensus estimate of $22.99. Ulta previously anticipated earnings per share from $22.50 to $22.90.

In addition, the company sees sales from $11.50 billion to $11.70 billion, versus the consensus estimate of $11.59 billion. Ulta previously expected sales from $11.50 billion to $11.60 billion.

Analyst Changes: Following the earnings report, multiple analysts announced price target adjustments.

• Telsey Advisory Group analyst Dana Telsey maintained an Outperform rating on Ulta and raised the price target from $460 to $520.
• Wells Fargo analyst Ike Boruchow maintained an Underweight rating on Ulta and raised the price target from $315 to $350.

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ULTA Price Action: At the time of writing, Ulta stock is trading 14.4% higher at $482.72, according to data from Benzinga Pro.

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