The most recent trading session ended with Ulta Beauty (ULTA) standing at $395.64, reflecting a +1.38% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily gain of 0.15%. Meanwhile, the Dow experienced a rise of 0.35%, and the technology-dominated Nasdaq saw a decrease of 0.09%.
Shares of the beauty products retailer have appreciated by 4.37% over the course of the past month, outperforming the Retail-Wholesale sector's gain of 0.27% and the S&P 500's loss of 0.21%.
Analysts and investors alike will be keeping a close eye on the performance of Ulta Beauty in its upcoming earnings disclosure. The company's earnings report is set to go public on May 29, 2025. The company is predicted to post an EPS of $5.73, indicating a 11.44% decline compared to the equivalent quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.79 billion, up 2.19% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $23.01 per share and a revenue of $11.57 billion, representing changes of -9.19% and +2.41%, respectively, from the prior year.
Any recent changes to analyst estimates for Ulta Beauty should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.22% lower. Ulta Beauty is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Ulta Beauty is at present trading with a Forward P/E ratio of 16.96. This denotes a premium relative to the industry's average Forward P/E of 13.94.
It is also worth noting that ULTA currently has a PEG ratio of 2.31. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As the market closed yesterday, the Retail - Miscellaneous industry was having an average PEG ratio of 1.51.
The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. At present, this industry carries a Zacks Industry Rank of 187, placing it within the bottom 25% of over 250 industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Ulta Beauty Inc. (ULTA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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