Ulta Beauty Shares Surge 10% After Q3 Beat and Upgraded 2026 Outlook

Font: Financial Modeling Prep  • Dec 05, 2025

Ulta Beauty (NASDAQ: ULTA) shares rose more than 10% intra-day on Friday after the beauty retailer delivered stronger-than-expected quarterly results and raised its full-year outlook.

Ulta reported third-quarter earnings of $5.14 per share, matching last year’s figure but surpassing analyst estimates of $4.52. Revenue increased 12.9% to $2.86 billion, beating expectations of $2.7 billion. Stronger store traffic, higher average spending, and the acquisition of Space NK contributed to the gains.

Comparable sales rose 6.3% compared with 0.6% a year earlier. Average ticket grew 3.8%, while transactions rose 2.4%. Analysts at Guggenheim said Ulta’s “operating results meaningfully exceeded our expectations, driven by broad-based comp gains across channels.”

Gross margin improved from 39.7% to 40.4%, helped by lower inventory shrink and increased merchandise margins.

Ulta raised its fiscal 2026 revenue forecast to a range of $12.0 billion to $12.1 billion, up from its prior projection of $12.0 billion. It also boosted its 2026 earnings outlook to $25.20 to $25.50 per share, above consensus estimates of $24.54.