This story has been updated from 10:09 am EST with analyst comments, stock price update.
NEW YORK (TheStreet) -- Shares of Ulta Salon, Cosmetics & Fragrance, Inc. (ULTA) are spiking, up 18% to $114.69 on Friday, after the company's price target was raised to $130 from $118 at Citigroup (C) , following a better than expected second quarter earnings results and a positive third-quarter outlook that was reported yesterday after the market close.
Analysts at the firm said the cosmetics retailer remains a "consistently strong performer in a competitive and challenging environment," and kept its "buy" rating.
Ulta Salon Cosmetics posted second quarter earnings of 94 cents per share, beating theThomson Reuters consensus of 83 cents per share.
Watch the video below to see why Ulta is TheStreet's Move of the Day:
Revenue grew 22.2% from the same quarter of last year to $734.23 million for the quarter, beating analysts' estimates of $713.01 million.
The company said it expects third quarter earnings of 79 cents to 84 cents per share on revenue of $724 million to $736 million, compared to analysts' estimates of 83 cents a share on revenue of $717.46 million for the quarter.
Sterne Agee analyst Ike Boruchow also rates the company a "buy."
"In today's retail environment, few retailers other than Ulta can achieve positive traffic and HSD comps in the near term, with double-digit footage growth and 20%+ EPS growth over the medium term - while operating a clearly differentiated business model in a stable, growing category," Boruchow wrote to clients. "All told, ULTA is one of the most compelling short- and long-term growth stories in retail today, and we would remain buyers of the shares."