Big Money Bets on Ulta Beauty Show Bullish Sentiment

Investors are bullish on Ulta Beauty as significant options trades indicate high demand. With a current price of $433.16, expectations are set between $200 to $600, reflecting strong confidence.

Date: 06-01-2025

AI Rating: 6

Earnings Potential and Investor Sentiment

The report outlines substantial bullish activity in the options market for Ulta Beauty (ULTA), suggesting strong investor confidence. There were 15 uncommon options trades identified, with a notable split in sentiment: 60% bullish and 20% bearish. This indicates a positive outlook among larger investors.

Furthermore, the substantial volume in call options—13 identified calls amounting to over $1.9 million against only 2 put options valued at $53,500—emphasizes the bullish stance from significant traders. The expectation for Ulta's price trajectory is broad, ranging from $200.0 to $600.0 over the next three months, reflecting considerable optimism.

Current Stock Status

At the time of this analysis, Ulta Beauty’s stock was trading at $433.16, with a slight increase of 0.42%. Trading volume was reported at 299,442, and there is a caution about the stock approaching overbought conditions according to RSI readings. The earnings release is anticipated in 66 days, adding a layer of upcoming volatility to monitor.

Analysts offer a consensus target price of $437.0, which is closely aligned with current trading levels. The divergence in recommendations includes a Buy rating from Loop Capital with a price target of $480 and a Neutral rating from Piper Sandler targeting $394—indicating mixed sentiments among analysts but a generally favorable outlook on the stock.

Stocks: ULTA