Ulta Beauty price target lowered to $364 from $425 at Piper Sandler

Piper Sandler analyst Korinne Wolfmeyer lowered the firm’s price target on Ulta Beauty (ULTA) to $364 from $425 and keeps a Neutral rating on the shares. A stronger Q4 and FY25 guidance ahead of bear fears are moving shares higher, but Street estimates are still coming down with little support to reverse the decelerating compares and margin headwinds, Piper argues. That said, looking beyond this next full year, estimates still look intact, and management is moving quickly to re-align the teams and strategic priorities to set up for the market share recapture and steady margin progression laid out at the Investor Day.