Ulta Beauty Q4 Revenue Tops $3.9B as EPS Misses, Price Targets Diverge
Ulta Beauty posted Q4 revenue of $3.9 billion, exceeding estimates, while earnings per share of $8.01 fell short by $0.02. UBS raised its price target to $810 for a 48.2% upside, but Oppenheimer trimmed its target to $650, citing economic and geopolitical headwinds.
1. Q4 Earnings and Revenue
Ulta reported fourth-quarter earnings per share of $8.01, missing analyst estimates by $0.02, while revenue reached $3.9 billion, surpassing expectations. The company attributed the beat to strong holiday season demand across cosmetics, skincare and haircare categories.
2. UBS Price Target Lift
UBS raised its Ulta price target to $810, implying a 48.2% potential upside from recent trading levels. The firm cited Ulta’s broad product assortment and in-store salon services as key growth drivers over the coming year.
3. Oppenheimer Price Target Reduction
Oppenheimer lowered its price target from $750 to $650, pointing to economic and geopolitical headwinds that may dampen consumer spending. The downgrade also reflected concerns about margin pressure and cautious retail trends.
4. Market Reaction and Outlook
Ulta’s shares plunged nearly 11%, making it the worst-performing stock in the S&P 500 on the day with trading volume of about 1.6 million shares. Management projects 2026 comparable store sales growth of 2.5–3.5% and earnings per share between $28.05 and $28.55, below consensus.