Ulta and Estée Lauder Face a Downturn in the Makeup Category
Makeup is falling out of favor with young shoppers, primarily members of Generation Z. At the same time, skincare is gaining in popularity, directly feeding into the cosmetics downturn. Analysts expect beauty brands will turn to promotions to try to overcome the slump this holiday season. Big beauty brands such as Ulta Beauty and Estée Lauder both had their stock downgraded recently.
Ulta is the poster child of beauty. So when analysts say things aren’t going its way, you pay attention.