Columbus, Ohio – Ulta Beauty saw a surge in its stock following the release of strong fourth-quarter results, with shares skyrocketing early on Friday. The cosmetics retailer exceeded expectations with an earnings per share (EPS) of $8.46 on net sales of $3.49 billion, surpassing estimates. Comparable sales growth of 1.5% also outpaced predictions. Looking ahead, Ulta forecasts an EPS of $22.50 to $22.90 for 2025, with net sales ranging from $11.5 billion to $11.6 billion and comparable sales expected to remain flat or increase by 1%.
Under the leadership of CEO Kecia Steelman, who assumed the role following Dave Kimbell’s retirement in January, Ulta is gearing up for a transformative year. Steelman emphasized the pivotal nature of the upcoming fiscal year, focusing on investing in growth initiatives and optimizing the company’s operations. Despite the morning’s stock surge, Ulta’s shares are down nearly 23% in 2025.
In the broader market, the S&P 500 and Nasdaq Composite are on track for their fourth consecutive week of declines. The S&P 500 is facing its worst weekly loss since March 2023, while the Nasdaq’s decline has been even more pronounced, marking its biggest weekly drop since September. The Dow, too, has experienced a significant decline of 4.6% this week, setting the stage for its worst weekly performance since June 2022.
Amid concerns about the impact of Trump administration policies, the S&P 500 entered into correction territory, signaling potential economic growth slowdowns and inflation reignition. As the index continues to trend lower, it has breached key technical levels, including the 200-day moving average, prompting caution among investors. Despite the bearish momentum confirmed by the relative strength index (RSI), there is also a possibility of upside price swings given the extreme oversold conditions.
Looking ahead, investors in the stock market are eyeing crucial support and resistance levels on the charts, with key levels to watch on the S&P 500 around 5,400 and 5,265 for support and 5,770 and 6,010 for resistance. Futures tied to major stock indexes point to a higher open, with Dow Jones Industrial Average futures up 0.6%, S&P 500 futures rising by 0.9%, and Nasdaq 100 futures jumping 1.2%.
