Why Ulta Beauty, Big Lots, and Veeva Systems Slumped Today
Friday was a relatively uneventful day on Wall Street, with the major benchmarks showing mixed results but never straying far from where they started the session. Without any big market-moving news, investors focused on the hurricane threatening the U.S. Gulf Coast, while earnings reports seemed to take on greater significance. Despite the generally quiet mood, some companies suffered bad news that sent their share prices down sharply. Ulta Beauty, Inc. (NASDAQ: ULTA), Big Lots, Inc. (NYSE: BIG), and Veeva Systems Inc. (NYSE: VEEV) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.
Despite producing strong revenue and earnings growth, shares of Ulta Beauty fell 9.1% after the company released its second-quarter financial report. The beauty specialist said that net sales jumped 20.6% to nearly $1.3 billion, while online purchases and sales from stores open at least 14 months increased by 11.7% compared to the prior-year quarter. E-commerce sales rocketed an incredible 72.3%. The company also increased its full-year guidance, now expecting same-store sales to grow by 10% to 11%, e-commerce sales growth of 50% to 60%, and earnings per share to increase "in the high twenties percentage range."
Despite what appeared to be a strong quarter, Ulta failed to meet investors' desire for even better results. The deceleration of comps versus the prior year may have dampened enthusiasm, and recent analyst concerns about slowing in the overall beauty market amid rising competition may have caused investors' mass exit.
Source: Fool.com
Big Lots Inc. Stock
Currently there is a rather negative sentiment for Big Lots Inc. with 0 Buy predictions and 5 Sell predictions..
This results in a negative potential of -37.76% based on a current price of 4.82 € and a target price of 3 € for the stock.
