Ulta Beauty (ULTA) Gains From Rationalized Competitive Environment, Says UBS

Core Insights - Ulta Beauty, Inc. is recognized as one of the best-performing retail stocks in 2025, with UBS reaffirming a Buy rating and a price target of $680 due to strong third-quarter results and consistent demand in the beauty category [1] - The company is expected to benefit from a more rational competitive environment, particularly with reduced rivalry from Sephora, which could enhance comparable sales by 100-200 basis points in 2026 [2] - Ulta Beauty is expanding its international presence with the launch of its first Middle Eastern store in Kuwait, in collaboration with Alshaya Group, featuring over 300 beauty and wellness products [3] Company Overview - Ulta Beauty, Inc. operates as a specialty beauty retailer in the U.S., with more than 1,445 retail stores across 50 states, offering a wide range of skincare, hair care, cosmetics, perfumes, and salon services [4]