Yahoo Finance’s Josh Schafer discusses the relationship between Ulta and Target and details which aspects of the partnership have led to their success.
Video Transcript
- Every graduating class needs a class couple. Who is ours?
JOSH SCHAFER: All right, Dave. Our cutest couple, our class couple is Ulta and Target, and really kind of what Ulta has been able to do for Target when we think about retailers in what has been discretionary versus not discretionary, in spending. We've talked about that a lot this quarter Ulta's really held up for Target. And Target and Ulta want to stay together for longer and sort of build on their relationship, if you will. They have about 300-- they're in about 350 stores now and they want to go into 400 and grow into 450 stores.
Ulta actually reported just this week. And Ulta's sales were very impressive. So if you take a look at Ulta stock today, it was reacting well to the numbers, or it was over the past couple days. And something that was interesting with Ulta is you can see that net sales were up more than 18% for Ulta compared to last year.
So a big number for Ulta. And again, I think the big thing here to think about with Ulta and Target is Target continuing to grow in a consumer sector where people are still spending, right. Target had seen people stop the spend in terms of some of their merchandise, clothing maybe, but people keep buying makeup. And so that's been an interesting partnership to watch.
I do want to ask you guys, before we get out of superlatives, what'd we have? What were the high school superlatives? I didn't get one.
SEANA SMITH: What did we personally win?
JOSH SCHAFER: Yeah, yeah. What were your high school superlatives? Anything good or no?
SEANA SMITH: Eyes and athletic.
JOSH SCHAFER: Eyes and athletic.
- Most athletic?
SEANA SMITH: Yeah.
- OK, I was the most popular senior. It was--
SEANA SMITH: Yeah, humble brag.
- Yeah. Yeah, no. I--
- Wait, Seana has the best ones. Eyes and athletic, I feel like that's what everyone wanted.
SEANA SMITH: Yeah. Although I think it a scholar-athlete, to be totally transparent.
- I was best leader and most school spirit. So maybe that means I'll be CEO of one of these companies one day.
JOSH SCHAFER: Most likely to succeed, Ali. We'll put you on the board next.
- OK, there we go.
- And you?
JOSH SCHAFER: Nothing. I said I got nothing.
- That's surprises me.
SEANA SMITH: And that's why he's shining and leading the superlatives today.
- And that's why I'm here doing superlatives.
SEANA SMITH: Finally, years later.
JOSH SCHAFER: --maybe eventually get one.