.August 23, 2024 12:36:00 PM

Citi analysts have revised ULTA Salon’s price target from $400 to $375, maintaining a Neutral rating due to concerns over the upcoming second-quarter performance. They anticipate ULTA will miss consensus estimates for EPS on August 29, citing stagnant sales and competition from Sephora, Estée Lauder, and ULTA’s partnership with Target. To protect market share, ULTA plans to increase promotions and marketing in the second half of the year, potentially lowering full-year guidance to $24.50 per share. Analysts predict ULTA may announce a reduction in long-term margin targets to 13% during an October 16 analyst day, despite recent stock gains.