Ulta Beauty (NASDAQ:ULTA) Releases Quarterly Earnings Results, Beats Expectations By $0.85 EPS

Ulta Beauty (NASDAQ:ULTA) posted its quarterly earnings data on Tuesday. The specialty retailer reported $7.74 earnings per share for the quarter, topping the consensus estimate of $6.89 by $0.85, FiscalAI reports. Ulta Beauty had a net margin of 9.31% and a return on equity of 43.56%. The company had revenue of $3.16 billion during the quarter, compared to analyst estimates of $3.12 billion. During the same quarter last year, the business posted $6.70 earnings per share. The company’s revenue was up 11.1% on a year-over-year basis. Ulta Beauty updated its FY 2026 guidance to 28.360-28.800 EPS.

Here are the key takeaways from Ulta Beauty’s conference call:

• Ulta Beauty delivered a strong first quarter with net sales up 11.1%, comparable sales up 5.3%, and diluted EPS up 15.5%, with gains across stores, e-commerce, and major categories. Management said the performance was broad-based and supported by solid execution across the business.
• The company raised its full-year operating profit growth outlook and increased EPS guidance, while keeping sales guidance unchanged at 6% to 7% comp growth at 2.5% to 3.5%. Management also lifted its stock buyback target to $1.5 billion from $1 billion, which helped support the higher EPS range.
• Fragrance remained the standout category, with high-teen comp growth, driven by newness from luxury brands and the exclusive NOYZ launch. Management said the category is a key strategic priority as Ulta works toward becoming the number one destination for fragrance.
• Ulta highlighted traction in several growth initiatives, including its new TikTok Shop, marketplace, wellness, and UB Media offerings. The company also said loyalty membership reached nearly 47 million, reinforcing its ability to use first-party data and personalization to drive sales.
• Management acknowledged a cautious macro backdrop with consumers becoming more value-focused and said the full-year outlook assumes the beauty category growth normalizes after a strong prior year. Gross margin is expected to be roughly flat for the year as early shrink benefits and supply-chain gains are partly offset by fuel and investment pressure.

Ulta Beauty Stock Performance

Shares of ULTA opened at $494.87 on Wednesday. The business’s fifty day moving average price is $525.01 and its two-hundred day moving average price is $585.92. The firm has a market capitalization of $21.56 billion, a price-to-earnings ratio of 19.31, a PEG ratio of 1.63 and a beta of 0.86. Ulta Beauty has a 52 week low of $452.00 and a 52 week high of $714.97.

Analyst Ratings Changes

A number of equities research analysts recently commented on ULTA shares. Jefferies Financial Group upgraded Ulta Beauty from a “hold” rating to a “buy” rating and increased their price target for the stock from $635.00 to $700.00 in a research report on Monday, April 20th. Canaccord Genuity Group lifted their price objective on Ulta Beauty from $674.00 to $799.00 and gave the company a “buy” rating in a research report on Tuesday, March 10th. Wells Fargo & Company raised Ulta Beauty from a “strong sell” rating to an “overweight” rating in a research note on Monday, April 20th. Morgan Stanley lowered their target price on Ulta Beauty from $750.00 to $700.00 and set an “overweight” rating for the company in a research note on Friday, March 13th. Finally, Piper Sandler reaffirmed an “overweight” rating and issued a $725.00 price target (down from $775.00) on shares of Ulta Beauty in a report on Friday, March 13th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, six have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $687.95.

Insider Buying and Selling at Ulta Beauty

In other news, Director George R. Mrkonic, Jr. sold 452 shares of the company’s stock in a transaction on Tuesday, April 7th. The stock was sold at an average price of $539.29, for a total transaction of $243,759.08. Following the transaction, the director owned 2,383 shares of the company’s stock, valued at $1,285,128.07. This represents a 15.94% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. 0.39% of the stock is currently owned by insiders.

Institutional Trading of Ulta Beauty

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Corient Private Wealth LLC lifted its position in Ulta Beauty by 1,837.4% during the 4th quarter. Corient Private Wealth LLC now owns 230,998 shares of the specialty retailer’s stock valued at $139,756,000 after purchasing an additional 219,075 shares during the period. Invesco Ltd. grew its position in shares of Ulta Beauty by 33.6% during the 3rd quarter. Invesco Ltd. now owns 840,383 shares of the specialty retailer’s stock worth $459,479,000 after buying an additional 211,485 shares during the period. Caisse de depot et placement du Quebec grew its position in shares of Ulta Beauty by 249.8% during the 3rd quarter. Caisse de depot et placement du Quebec now owns 295,833 shares of the specialty retailer’s stock worth $161,747,000 after buying an additional 211,266 shares during the period. AQR Capital Management LLC raised its stake in shares of Ulta Beauty by 76.6% during the second quarter. AQR Capital Management LLC now owns 477,504 shares of the specialty retailer’s stock worth $222,794,000 after buying an additional 207,084 shares during the last quarter. Finally, Alyeska Investment Group L.P. raised its stake in shares of Ulta Beauty by 74.6% during the third quarter. Alyeska Investment Group L.P. now owns 456,613 shares of the specialty retailer’s stock worth $249,653,000 after buying an additional 195,041 shares during the last quarter. 90.39% of the stock is owned by institutional investors.

Key Ulta Beauty News

Here are the key news stories impacting Ulta Beauty this week:

• Positive Sentiment: Ulta beat Q1 estimates with EPS of $7.74 versus about $6.89 expected, while revenue rose 11.1% year over year to $3.16 billion, topping forecasts. Ulta Beauty Announces First Quarter Fiscal 2026 Results and Updates Fiscal 2026 Guidance
• Positive Sentiment: Comparable sales grew 5.3%, showing healthy underlying demand and broad-based growth across channels and major categories, including higher-priced products. Ulta Beauty raises annual profit forecast on higher-priced product demand
• Positive Sentiment: The company raised its full-year fiscal 2026 profit and EPS outlook and boosted its share repurchase target to $1.5 billion, signaling management confidence and support for shareholder returns. Inflation-Weary Consumers Push Ulta To Double Down On Value
• Positive Sentiment: Margin improvement and disciplined execution on inventory and costs helped offset a tougher macro backdrop, reinforcing the view that the business is holding up well. ULTA Q1 Earnings Call Highlights Share Gains, Discipline
• Neutral Sentiment: Ulta also announced plans for a new flagship store in Times Square, underscoring growth ambitions, though this is more of a long-term strategic development than an immediate earnings driver. Ulta Beauty’s Heading to Times Square

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.