Ulta Beauty (ULTA - Free Report) closed the most recent trading day at $350.15, moving -0.04% from the previous trading session. This move lagged the S&P 500's daily of 0%. Meanwhile, the Dow lost 0.05%, and the Nasdaq, a tech-heavy index, lost 0.21%.
Prior to today's trading, shares of the beauty products retailer had gained 11.05% over the past month. This has outpaced the Retail-Wholesale sector's gain of 6.48% and the S&P 500's gain of 5.49% in that time.
Investors will be hoping for strength from ULTA as it approaches its next earnings release. The company is expected to report EPS of $3.05, up 15.97% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.74 billion, up 12.86% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $12.78 per share and revenue of $7.54 billion. These totals would mark changes of +17.79% and +12.18%, respectively, from last year.
Any recent changes to analyst estimates for ULTA should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.3% higher. ULTA is currently a Zacks Rank #3 (Hold).
Digging into valuation, ULTA currently has a Forward P/E ratio of 27.41. This valuation marks a premium compared to its industry's average Forward P/E of 12.19.
Meanwhile, ULTA's PEG ratio is currently 1.49. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Miscellaneous industry currently had an average PEG ratio of 1.82 as of yesterday's close.
The Retail - Miscellaneous industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 85, putting it in the top 34% of all 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.