Market Overview

Despite Beat And Raise, Ulta Shares Have Mixed Reaction

Despite Beat And Raise, Ulta Shares Have Mixed Reaction

Ulta Salon, Cosmetics & Fragrance (NYSE: ULTA) released Q2 results after market close on Thursday. Earnings per share came in above Wall Street consensus expectations and shares entered into a volatile session.

Ulta Salon reported EPS of $1.43 and revenues of $1.069 billion. Analyst consensus had an EPS estimate of $1.4 and revenues of $1.06 billion. Comparable sales (sales for stores open at least 14 months and e-commerce sales) increased 14.4 percent compared to an increase of 10.1 percent in the second quarter of fiscal 2015.

Ulta Salon saw Q3 EPS at $1.25-$1.30 vs. estimates of $1.29 and Q3 revenues of $1.072-$1.09 billion vs. estimates of $1.08 billion. Additionally, the company saw Q3 comparable sales of 11-13 percent, below Q2's 14.4 percent.

"Our second quarter results reflect a strong pipeline of newness and innovation in merchandising, progress in growing our brand awareness, major milestones related to our loyalty program, continued rapid growth in our e-commerce business, and successful execution of our supply chain investments," stated Mary Dillon, CEO.

Confirming Analyst Hopes

Baird analysts believed Ulta would at least perform in-line with estimates as they forecasted strong performance from me-commerce.

Oppenheimer analysts believed the company would experience sufficient comp and earnings upside due to strong levels of innovation in the beauty category.

At time of writing, Ulta Salon, Cosmetics & Fragrance traded at $269 in Thursday's after-hours session.

Latest Ratings for ULTA

Sep 2019DowngradesOutperformMarket Perform
Aug 2019DowngradesBuyNeutral
Aug 2019MaintainsOutperform

View More Analyst Ratings for ULTA
View the Latest Analyst Ratings

Posted-In: Analyst Color Earnings News Guidance After-Hours Center Analyst Ratings Best of Benzinga


Related Articles (ULTA)

View Comments and Join the Discussion!

Investors May Have Grown Numb Of Splunk's Earnings Outperformance

Singapore Debuts The World's First Self-Driving Taxi Service