Is Ulta Beauty Stock Underperforming the Nasdaq?

Core Insights - Ulta Beauty, Inc. is valued at a market cap of $24 billion and operates as a specialty beauty retailer offering a wide range of beauty products [1] - The company is classified as a large-cap stock, leveraging data-driven loyalty programs to enhance customer engagement and maintain its market leadership [2] Financial Performance - In Q2, Ulta reported revenue of $2.8 billion and earnings of $5.78 per share, exceeding consensus estimates [5] - Year-over-year, revenue improved by 9.3% due to increased comparable sales, the acquisition of Space NK, and new store contributions, while EPS grew by 9.1% [5] - Following the Q2 results, Ulta raised its fiscal 2025 guidance, expecting revenue between $12 billion and $12.1 billion and EPS in the range of $23.85 to $24.30 [5] Stock Performance - Ulta's shares have gained 13% over the past three months, underperforming the Nasdaq Composite's 15% return [3] - Over the past 52 weeks, Ulta's stock has rallied 32.8%, outperforming the Nasdaq's 27.9% increase [4] - Year-to-date, Ulta's shares are up 23%, compared to the Nasdaq's 16.4% rise [4] - Despite strong Q2 performance, shares fell 7.1% in the following trading session due to broader market headwinds [5] Market Position - Ulta maintains its leadership in the U.S. specialty beauty retail market through effective customer engagement strategies [2]