Ulta Beauty(ULTA) ZACKS·2025-01-07 16:46Leadership Transition - Dave Kimbell, CEO for 11 years, will retire and step down from the board, with Kecia Steelman succeeding as president and CEO starting Jan 6, 2025 [2] - Dave Kimbell will stay on as an advisor through June 28, 2025 to ensure a seamless transition [2] Financial Performance - Ulta Beauty raised its Q4 fiscal 2024 guidance due to stronger-than-anticipated holiday season performance [1] - Comparable sales are now expected to grow modestly in Q4, compared to earlier expectations of a low single-digit decline [3] - Operating margin is expected to surpass the high end of the previous range of 11.6% to 12.4% of sales [3] - Q3 fiscal 2024 earnings per share were 5.07 in the year-ago period [5] - Q3 net sales increased 1.7% to $2,530.1 million, driven by new store contributions [5] - Comparable sales inched up 0.6% on a 0.5% rise in transactions and a 0.1% increase in average ticket size [5] Strategic Initiatives - Ulta Beauty remains focused on executing key initiatives with precision in a dynamic market environment [6] - The company is confident in its business model and strategic efforts to drive long-term profitable growth and maintain its leadership position [6] Stock Performance - Ulta Beauty's stock has gained 18.3% in the past three months, compared to the industry's growth of 1.3% [6] Industry Comparison - Under Armour (UAA) has a Zacks Rank 1 (Strong Buy) with a trailing four-quarter earnings surprise of 75.1% on average [8] - Ralph Lauren Corporation (RL) carries a Zacks Rank 2 (Buy) with a trailing four-quarter earnings surprise of 9.1% on average [8] - Hanesbrands Inc (HBI) carries a Zacks Rank 2 with a trailing four-quarter earnings surprise of 21.6% on average [9]