Ulta Beauty, Inc. (NASDAQ: ULTA) is a leading beauty retailer in the United States, offering a wide range of cosmetics, skincare, and wellness products. The company operates both physical stores and an e-commerce platform, providing customers with a comprehensive shopping experience. Ulta competes with other major beauty retailers like Sephora and department stores that offer beauty products.
On December 4, 2025, Ulta reported impressive third-quarter fiscal 2026 results, with earnings per share (EPS) of $5.14, surpassing the estimated $4.56. This represents a significant 13.27% increase over analyst expectations. The company's revenue also exceeded forecasts, reaching approximately $2.86 billion, compared to the anticipated $2.70 billion, marking a 7.3% increase.
The company's strong performance is reflected in its stock price, which surged over 4% in extended trading following the earnings announcement. Ulta's revenue growth of 12.9% year over year was driven by a 6.3% rise in comparable sales. This growth was supported by a 3.8% increase in average ticket size and a 2.4% rise in the number of transactions, indicating higher spending per visit and increased customer traffic.
Ulta's strategic initiatives, such as the acquisition of Space NK and the expansion of its e-commerce platform, have contributed to its robust financial performance. The company has also raised its full-year sales outlook for the second consecutive quarter, now projecting net sales to reach approximately $12.3 billion, up from the previous forecast of $12 billion to $12.1 billion.
Ulta's financial metrics, such as a price-to-earnings (P/E) ratio of approximately 20.07 and a price-to-sales ratio of about 2.00, reflect the market's positive valuation of the company's earnings and revenue. The company's debt-to-equity ratio of about 0.98 indicates a balanced leverage level, while a current ratio of approximately 1.33 shows its ability to cover short-term liabilities with short-term assets.
