Ulta Salon, Cosmetics & Fragrance, Inc.NASDAQ
Ulta Earnings Preview: If Q3 Holds, Upside Ahead
Elazar Advisors, LLC
Elazar Advisors, LLC
Fri, Dec. 2, 9:17 AM
- Ulta Salon (NASDAQ:ULTA) is up 5.51% premarket to $271.60 after posting impressive Q3 results.
- Baird raises its price target on Ulta to $315 after taking in the company's strong Q3 report.
- KeyBanc sales Ulta management still has plenty of levers to pull keep sales growing at a high rate.
- Cowen points to Ulta's broad strength across categories.
- Wells Fargo calls Ulta's comparable sales and EPS growth "clearly best-in-class in today’s choppy retail environment."
- Raymond James is the cautious voice in the house, keeping the retailer at Market Perform due to "hefty" valuation.
- Stifel Nicolaus boosts its price target on ULTA to $290.
- Shares of Ulta are up 51% YTD.
- Source: Bloomberg and Marketbeat.com.
- Previously: Ulta Salon beats by $0.03, beats on revenue (Dec. 1)
- Previously: E-commerce sales skyrocket at Ulta Salon (Dec. 1)
Fri, Dec. 2, 9:12 AM
Thu, Dec. 1, 5:37 PM
Thu, Dec. 1, 4:27 PM
- Ulta Salon (NASDAQ:ULTA) is up over 5% in AH trading after posting another strong quarter of growth.
- Revenue was up 24%. Comparable sales dazzled with a 17% gain, comprised of 11% transaction growth and a 6% gain in average ticket.
- E-commerce sales exploded 59% to $74M.
- Gross profit jumped 90 bps to 37.8% of sales due to the extra volume.
- Operating income rose 20 bps to 12.4% of sales.
- Average inventory per store increased 16.5% Y/Y.
- Previously: Ulta Salon beats by $0.03, beats on revenue (Dec. 1)
Thu, Dec. 1, 4:04 PM
Wed, Nov. 30, 5:35 PM
Fri, Nov. 25, 9:07 AM
- Channel checks from Piper Jaffray indicate most of the consumer action last night was focused on toys, electronics and beauty. The first two categories are business as usual for the shopping event, but strong traffic at beauty stores could be an extra boost for Ulta Salon (NASDAQ:ULTA), Sally Beauty Holdings (NYSE:SBH) and e.l.f. Beauty (NYSE:ELF).
- The investment firm also cited solid demand for smartwatches at Fossil (NASDAQ:FOSL) and Michael Kors (NYSE:KORS) stores, while also calling footwear traffic (NKE, UA, FL, FINL, DECK) and conversion rates encouraging.
- Source: Bloomberg
Tue, Nov. 15, 9:03 AM
- Retail sales topped expectations in October off of broad strength across key categories. On a year-over-year comparison, retail sales were up 4.3% during the month as hiring and wage growth clearly overshadowed election fatigue.
- Building material and garden equipment sales increased 1.1% M/M and 6.5% Y/Y. That strength was tipped off a bit earlier when Home Depot (NYSE:HD) reported.
- Sales at health and personal care stores were up 0.8% M/M and 8.3% Y/Y. Not a bad read for Ultra Beauty (NASDAQ:ULTA) and e.l.f. Beauty (NYSE:ELF).
- The miscellaneous store retailers and nonstore retailers categories both showed a sizzling double-digit Y/Y pace of sales. Amazon (NASDAQ:AMZN) and eBay (NASDAQ:EBAY) are included in the latter group of online sellers.
- "The consumer is in good shape," says Barclays chief U.S. economist Michael Gapen after digesting the data.
- Retail ETFs: XLY, XRT, VCR, RTH, RETL, IYK, FXD, IYC, FDIS, SCC, RCD, UCC, PMR, UGE, SZK, CNDF, FTXD, JHMC.
Thu, Oct. 13, 12:47 PM
Thu, Oct. 13, 10:09 AM
- Shares of Ulta Beauty (NASDAQ:ULTA) are racing higher after the company's analyst day presentation impresses.
- The company raised short-term and near-term guidance on a strong view of where its business is heading. Ulta Salon sees expanding to 1,700 stores in the U.S., while also growing same-store sales at a healthy clip.
- ULTA +6.18% to $253.74.
- Previously: Ulta Beauty talks strategy and guidance at analyst day event (Oct. 13)
Thu, Oct. 13, 8:13 AM
- Ulta Beauty (NASDAQ:ULTA) raises guidance ahead of its presentation at an analyst and investor conference today in Chicago and issues a strategy update.
- Q3 outlook: The company expects comparable sales to increase 14% to 15%, compared to previous guidance of 11% to 13%. EPS is estimated to be in the range of $1.35 to $1.38, compared to prior guidance of $1.25 to $1.30.
- FY16 outlook: The company sees comparable sales growth of approximately 12% to 14%, compared to previous guidance of 11% to 13%. Ulta expects EPS growth in the mid-twenties percentage range, compared to previous guidance of low to mid-twenties percentage range.
- Long-term outlook: Ulta Salon confirms its outlook for EPS growth in the low twenties percentage range for FY17, FY18 and FY19. The extended view on comparable sales growth is for 7% to 9% gains for the period from 2017 to 2019.
- Strategy goal: Management will discuss its plans today at the event to double its market share over the next several years through new store expansion, e-commerce growth, higher store productivity, and gaining greater share of wallet.
- Source: Press Release
Tue, Sep. 20, 9:15 AM
- If there's been a sleeper in the retail sector over the last two years it's Ulta Salon (NASDAQ:ULTA).
- Sizzling same-store sales and a thriving on-trend e-commerce business has helped shares almost double in value.
- Did you know that by market cap Ulta Salon is now much larger than Macy's, Chipotle, Whole Foods Market, and Tiffany?
- A very good look at Ulta's success is highlighted in this interview of CEO Mary Dillon posted on Fortune.com. Dillon's strategy seems to back up the contention of SA contributors James Sands and Christoph Schrills that's it not too late for investors to jump on the Ulta bandwagon.
- The Ulta story may also be of interest to investors pondering the e.l.f. Beauty (Pending:ELF) IPO.
Sat, Sep. 17, 10:07 AM
- The IPO market gets a makeover next week with the public launch of e.l.f. Beauty (Pending:ELF). The company is selling 9.58M shares in an expected range of $14 to $16.
- The cosmetics brand is sold through e.l.f.'s website and is available at retailers such as Ulta Salon and Target, and CVS. The e.l.f. filing says the mass market cosmetics seller aims to take floor space from legacy brands (heads up AVP, EL, RDEN, REV). Wal-Mart (NYSE:WMT) is mentioned in the S-1, while Amazon is MIA.
- SEC S-1 dive: "We have major distribution whitespace, as we are currently in only approximately 19,000 national retail stores in the United States and believe there are thousands of additional stores available to us."
- The leading underwriters for the IPO are JPMorgan and Morgan Stanley, A lockup period of 180 days applies. TPG Growth holds a majority stake in e.l.f.
- What to watch: While consumer spending in the U.S. has been choppy, some analysts see demand in the lower-priced cosmetics category remaining strong. The spectacular run for Ulta Salon (NASDAQ:ULTA) over the last couple of years backs that trend and could be an indication of a long growth runway for e.l.f.
Thu, Sep. 15, 10:00 AM
- Ulta Salon (ULTA -2%) is under pressure in early trading.
- Earlier today, Goldman Sachs ran a block trade of 900K shares at $232.75. More details on the trade should be forthcoming.
- There was also an announcement today by Amazon of a delivery test in Chicago for beauty and personal care products from a local store. The service is part of Amazon Prime and offers delivery for as short as an one-hour window.
- Though Amazon's initiative is only a small blip at the moment, the threat of Amazon delivering beauty products at scale could enter the conversation on Ulta with the retailer previously lauded as being relatively Amazon resilient.
Tue, Aug. 30, 10:16 AM
- There's more confirmation that consumers are doing the heavy lifting in the U.S. to prop up GDP while business investment falls short.
- "Consumer confidence improved in August to its highest level in nearly a year, after a marginal decline in July," noted The Conference Board director Lynn Franco.
- Some analysts think the slowdown in auto sales is freeing up some spending in other areas, although certain sectors that rely on foot traffic (restaurants, department stores) aren't necessarily seeing the bounce.
- Companies that line up neatly with millennial trends seem to be the ones making the outrageous gains in the retail sector. Ulta Salon (NASDAQ:ULTA), Domino's Pizza (NYSE:DPZ), Burlington Stores (NYSE:BURL), and Amazon (NASDAQ:AMZN) come to mind -- with the four generating returns ranging from 40% to 60% over the last year.
- ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, RCD, PEZ, PMR, PSCD, JHMC.
Fri, Aug. 26, 8:47 AM
- Cowen backs up its Outperform rating on Ulta Salon (NASDAQ:ULTA) after watching the retailer record another strong quarter of growth.
- Ulta Salon posted a sizzling 14.4% pace of comparable store sales growth after running up a 10% gain in the year-ago period.
- Once again, e-commerce exploded for Ulta Salon during the quarter, up 46% to $117M.
- Cowen analyst Oliver Chen boosts his price target on ULTA to $286 from $265.
- Shares of ULTA are down 2.38% premarket to $265 as investors digest the in-line guidance. It's nothing to worry about for investors long Ulta since 2014 that have watched their investment double in value.