Shares of Ulta Beauty tanked more than 20% after the company reported earnings after the bell Thursday that missed analysts’ expectations and slashed its outlook for the fiscal year.
The company said that the cosmetics industry has struggled as a whole this cycle, because there haven’t been innovative beauty routines that drive consumers to purchase products as much as they normally do. CEO Mary Dillon said she believes industrywide challenges will continue in the near term, leading the company to lower its earnings and revenue growth guidance.
We had a play on for earnings in ULTA and it did not go as planned. That happens in trading and specifically why we DEFINE and LIMIT our risk.
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