Ulta Beauty is higher Monday, April 20, 2026, after Jefferies upgraded the stock to Buy from Hold and raised its price target to $700 from $635. The note points to strengthening makeup trends and improving company execution, helping drive a roughly 3% gain in the shares in today’s session.

The upgrade frames Ulta as a beneficiary of a broadening beauty demand cycle, with Jefferies highlighting makeup momentum as a key driver. The shift in tone matters because Ulta has recently faced investor scrutiny around expense pressure and margin durability; the upgrade signals the firm sees a more favorable risk/reward setup as sales trends improve and profitability can stabilize even without returning to prior peak margins.

Ulta’s most recent full-year results (fiscal year ended January 31, 2026) showed net sales of $12.39 billion (+9.7%) and comparable sales up 5.4%, with diluted EPS of $25.64. Management’s fiscal 2026 outlook called for net sales growth of 6% to 7% and diluted EPS growth of 9.4% to 11.4%, while the company also highlighted continued capital returns via share repurchases and ongoing investments in technology and operations.

After a strong run today, near-term attention shifts to whether category momentum translates into sustained comparable-sales growth and whether operating costs remain controlled enough to support margin stability. Traders will be watching for any follow-on analyst actions, incremental data points on cosmetics demand, and updates on inventory, promotional intensity, and expense trends that could either validate or challenge the new bull case.