1310 ET - Ulta Beauty's 1Q results are triggering worries over competition, UBS analysts say in a note. Investors have concerns over Ulta's slowing same-store sales, and bears are pointing to increased competitive pressure from both new entrants and existing players, the analysts say. However, they also note that Ulta expanded its market share in the quarter in the prestige beauty category, which they estimate makes up a majority of its sales. Ulta also maintained its portion of the mass segment, where competitors like Amazon and Walmart over-index, they say. "Therefore, even if the concerns around competition intensify, Ulta still has unique positioning that should enable it to succeed over time," the analysts say, noting the retailer has tools and levers at its disposal to solidify its overall position in the beauty market. "We remain bullish." (kelly.cloonan@wsj.com)

(END) Dow Jones Newswires

June 03, 2026 13:10 ET (17:10 GMT)

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