Jim Cramer on Ulta: "It Sounds Like a Terrific Story"

Ulta Beauty, Inc. (NASDAQ:ULTA) is one of the stocks Jim Cramer was focused on recently. Cramer noted that the company is the “largest beauty retailer” in the US, as he said:

“I’m always searching for stocks that can escape the gravitational pull of their sectors. Take Ulta Beauty. In a tough environment for retail, Ulta was flirting with new highs as recently as a couple weeks ago. Since then, it’s pulled back pretty hard. This is the largest beauty retailer in the country with a network of 1400 stores that double as salons…

New CEO Kecia Steelman took over at the beginning of the year, and she’s been focusing on turning this company around… It’s all about the strong earnings… So they had both, pricing and traffic. A lot of people were worried that the company would need to get very promotional to keep moving lots of merchandise. That just hasn’t been true. As a result, management was once again able to raise its full-year forecast, increasing the guidance for both same-store sales and earnings per share. Again, the turnaround is really starting to bear fruit. Under Kecia Steelman, Ulta has strengthened its core business…

The bottom line here is that I think new CEO Kecia Steelman has her arms around the situation. And I don’t blame anybody who wants to buy some Ulta stock, given the sharp pullback we’ve seen this month. And I gotta tell you, I’m with these people. It sounds like a terrific story.”

Ulta Beauty, Inc. (NASDAQ:ULTA) provides cosmetics, skincare, haircare, and fragrance products. In addition, the company offers in-store beauty services, including hair, makeup, brow, and skin treatments.

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Disclosure: None. This article is originally published at Insider Monkey.