Ulta Beauty up after BofA upgrades to 'buy'

Ulta Beauty

05/05/2026 13:07

** Shares of cosmetics retailer Ulta Beauty ULTA.O up 3% at $533.72 premarket

** BofA Global Research upgrades rating to "buy" from "neutral"; PT at $685

** Brokerage expects consistent sales growth with improved margins to support a higher valuation

** Sees a path to multiple expansion on improved cost discipline, driving operating income growth and stronger free cash flow

** A more competitive beauty market highlights co's advantage, as its broad assortment, large store footprint and loyalty‑driven model offer a level of convenience and personalization, setting it apart from rivals - BofA

** 20 of 28 brokerages rate the stock "buy" or higher, 7 "hold" and 1 "sell"; their median PT is $700- data compiled by LSEG

** As of last close, ULTA stock down 14.4% YTD

 (Reporting by Sanskriti Shekhar in Bengaluru)

 ((Sanskriti.Shekhar@thomsonreuters.com))