The shares of the cosmetics chain Ulta Beauty collapsed on Friday by almost 30%, after it was announced that the sales decline. Ulta, which operates around 1,200 stores, also lowered its growth forecast for the year from 6% to 7% to 4% to 6%.
Managing Director Mary Dillon said this was due to a lack of "novelty and innovation" in products that caused "headwinds in the US market".
The stock closed down $ 99.72 at $ 237.73, marking the worst daily performance since it was listed on the Nasdaq Stock Exchange in 2007
"Ulta has gained market share but has covered the beauty industry" said Anthony Chukumba, an analyst with Loop Capital, to The Post. "The weakness in the industry has caught up with her."
One of the brands Ulta is counting on is the 3-year Kylie Cosmetics line, which was founded by reality TV star Kylie Jenner. According to a report by Rakuten Intelligence, released on July 28, sales of Jenner's line were down.