Jefferies upgrades Ulta Beauty to Buy on strong makeup demand and better merchandising.

Jefferies upgraded Ulta Beauty to Buy, citing improving momentum in makeup sales, better merchandising execution, and disciplined cost management. The firm highlighted makeup as Ulta's fastest-growing category, supported by rising consumer interest and media value gains. Ulta is also enhancing its brand assortment with trend-led products, positioning itself well across mass and prestige segments. This upgrade reflects confidence in Ulta's earnings durability and growth potential through fiscal 2026 and beyond.