DA Davidson Reiterates Buy Rating on ULTA Beauty (ULTA)

DA Davidson analyst Michael Baker reiterated a Buy rating and $435.00 price target on ULTA Beauty (NASDAQ: ULTA).

The analyst comments "ULTA kicked off their analyst day this morning by revealing new, long-term financial targets starting in 2026, which includes net sales growth of 4%-6%, mid-single-digit operating profit growth, operating margins of 12.0%, and low-double digit EPS growth. The plan also calls for increased store growth and an increase in ULTA’s repurchase program. However, 2025 appears to be a transitional year for ULTA and consensus estimates for 2026 are at the high-end of ULTA’s long-term plan. Thus, we think shares will trade down a bit this morning with pressure from consensus estimates likely coming down. This offsets positives like maintaining the 2024 guide and the increased store growth and buyback plans. Although, we are reiterating our Buy rating as estimates coming down over the next few years sets a lower bar for ULTA."

For an analyst ratings summary and ratings history on ULTA Beauty click here. For more ratings news on ULTA Beauty click here.

Shares of ULTA Beauty closed at $369.49 yesterday.

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