AI Spotlight on ULTA
Company Description
Ulta Beauty, Inc.operates as a retailer of beauty products in the United States.The company's stores offer cosmetics, fragrances, skincare and haircare products, bath and body products, and salon styling tools; professional hair products; salon services, including hair, skin, makeup, and brow services; and nail services.
It also provides its private label products, such as the Ulta Beauty Collection branded cosmetics, skincare, and bath products, as well as Ulta Beauty branded products; and the Ulta Beauty branded gifts.As of March 10, 2022, the company operated 1,308 retail stores across 50 states.It also distributes its products through its website ulta.com; and mobile applications.
The company was formerly known as Ulta Salon, Cosmetics & Fragrance, Inc.and changed its name to Ulta Beauty, Inc.in January 2017.
Ulta Beauty, Inc.was incorporated in 1990 and is based in Bolingbrook, Illinois.
Market Data
Last Price | 417.03 |
Change Percentage | -0.36% |
Open | 418.36 |
Previous Close | 418.53 |
Market Cap ( Millions) | 19339 |
Volume | 22701 |
Year High | 574.76 |
Year Low | 318.17 |
M A 50 | 406.28 |
M A 200 | 388.61 |
Financial Ratios
FCF Yield | 5.13% |
Dividend Yield | 0.00% |
ROE | 51.95% |
Debt / Equity | 91.93% |
Net Debt / EBIDTA | 106.82% |
Price To Book | 8.4 |
Price Earnings Ratio | 16.28 |
Price To FCF | 19.5 |
Price To sales | 1.7 |
EV / EBITDA | 11.59 |
News
- Jan -28 - Ulta Beauty (ULTA) Stock Declines While Market Improves: Some Information for Investors
- Jan -28 - Ulta Beauty: An Excellent Business Still Selling At A Fair Price
- Jan -28 - Milk Makeup to Launch at Ulta Beauty This Spring
- Jan -26 - 2 Stocks Down 26% to 83% to Double Up on Right Now
- Jan -22 - Ulta Beauty (ULTA) Stock Slides as Market Rises: Facts to Know Before You Trade
- Jan -22 - Retail crime 'queenpin' to pay millions in restitution to Ulta, other retailers for theft ring
- Jan -20 - Prediction: Ulta Beauty Stock Will Beat the Market. Here's Why.
- Jan -18 - Does This Massive News Signal Trouble Ahead for Ulta Beauty Stock in 2025?
- Jan -16 - Ulta Beauty (ULTA): Strong Industry, Solid Earnings Estimate Revisions
- Jan -12 - If You'd Invested $5,000 in Ulta Beauty Stock 5 Years Ago, Here's How Much You'd Have Today
- Jan -11 - 3 Top Warren Buffett Stocks to Buy in 2025
- Jan -11 - Have $500? 2 Absurdly Cheap Stocks Long-Term Investors Should Buy Right Now
- Jan -10 - Ulta Beauty: Market Overreaction Creates A Buy Opportunity
- Jan -09 - Ulta Beauty price target raised to $445 from $410 at Barclays
- Jan -08 - Why Ulta Beauty Stock Gained 13% in December
- Jan -07 - Why Ulta Beauty Is a Still a 'Top Pick' Despite CEO Transition
- Jan -07 - ULTA Raises Q4 View on Solid Holiday Performance, Announces CEO Change
- Jan -07 - Ulta Beauty Stock Rallies on C-Suite Shakeup, Upbeat Outlook
- Jan -07 - McGhee: Ulta and Sephora are positioned to maintain and grow their market share.
- Jan -06 - Ulta Beauty Announces New CEO and Boosts Its Outlook
Business Breakdown
Expected Mid-Term Growth
Segment nΒ°1 -> Cosmetics
Expected Growth : 8 %
What the company do ?
Ulta Beauty, Inc. offers a wide range of cosmetics, including skincare, haircare, and makeup products from popular brands, as well as its own private labels.
Why we expect these perspectives ?
Ulta Beauty's 8% growth in cosmetics is driven by increasing demand for premium and niche brands, expansion of online presence, and strategic partnerships. Additionally, the company's loyalty program, Ultamate Rewards, contributes to repeat business and customer retention. Furthermore, the growing popularity of skincare and makeup among younger generations, particularly Gen Z, fuels sales growth.
Segment nΒ°2 -> Haircare Products and Styling Tools
Expected Growth : 6 %
What the company do ?
Ulta Beauty, Inc. offers a wide range of haircare products and styling tools from popular brands, including shampoos, conditioners, hair masks, dryers, flat irons, and curling irons.
Why we expect these perspectives ?
Ulta Beauty's 6% growth in haircare products and styling tools is driven by increasing demand for premium and natural products, rising popularity of e-commerce and social media influencer marketing, expanding product offerings in curly and textured hair, and growing interest in at-home hair coloring and styling. Additionally, the company's loyalty program and strategic partnerships with popular brands contribute to the segment's growth.
Segment nΒ°3 -> Skincare
Expected Growth : 9 %
What the company do ?
Ulta Beauty's Skincare offers a wide range of products and treatments to help customers achieve healthy, glowing skin, from cleansers to moisturizers and more.
Why we expect these perspectives ?
Uptick in skincare sales at Ulta Beauty driven by increasing consumer focus on self-care, rising demand for natural and organic products, and growing popularity of skincare routines among younger generations. Additionally, Ulta's loyalty program, Ultamate Rewards, and strategic partnerships with popular skincare brands contribute to the 9% growth.
Segment nΒ°4 -> Fragrance and Bath
Expected Growth : 5 %
What the company do ?
Fragrance and Bath from Ulta Beauty, Inc. offers a wide range of luxurious scents and pampering products for a relaxing experience.
Why we expect these perspectives ?
Ulta Beauty's Fragrance and Bath segment growth is driven by increasing demand for premium and niche fragrances, expansion of online sales, and strategic partnerships with popular brands. Additionally, the rise of wellness and self-care trends, as well as the growing popularity of experiential retail, contribute to the segment's 5% growth.
Segment nΒ°5 -> Services
Expected Growth : 4 %
What the company do ?
Ulta Beauty, Inc. offers various services including hair, skin, and brow services, makeup applications, and classes, as well as a loyalty program and online booking.
Why we expect these perspectives ?
Ulta Beauty's 4% growth is driven by increasing demand for premium beauty products, expansion of e-commerce capabilities, and strategic partnerships with popular brands. Additionally, the company's loyalty program and in-store experience enhancements contribute to customer retention and acquisition. Furthermore, the growing trend of self-care and wellness also fuels the demand for Ulta's services.
Segment nΒ°6 -> Accessories and Other
Expected Growth : 7 %
What the company do ?
Accessories and Other from Ulta Beauty, Inc. includes hair accessories, beauty tools, and other miscellaneous items, contributing to the company's overall revenue.
Why we expect these perspectives ?
Ulta Beauty's Accessories and Other segment growth of 7% is driven by increasing demand for beauty tools, travel-sized products, and gift sets. Strong sales of hair accessories, cosmetics bags, and skincare devices contribute to growth. Additionally, the rise of e-commerce and omnichannel retailing enables customers to easily purchase these items, further boosting segment growth.
Ulta Beauty, Inc. Products
Product Range | What is it ? |
---|---|
Skincare | Ulta Beauty offers a wide range of skincare products, including cleansers, moisturizers, serums, and masks from various brands, catering to different skin types and concerns. |
Haircare | Ulta Beauty provides a vast selection of haircare products, including shampoos, conditioners, styling products, and hair color, from popular brands, suitable for different hair types and textures. |
Makeup | Ulta Beauty offers an extensive range of makeup products, including foundation, eyeshadow, mascara, lipstick, and more, from various brands, catering to different skin tones and preferences. |
Fragrances | Ulta Beauty carries a wide selection of fragrances from popular brands, including perfumes, colognes, and body sprays, suitable for both men and women. |
Tools and Accessories | Ulta Beauty offers a variety of tools and accessories, including brushes, sponges, tweezers, and more, from popular brands, designed to help customers achieve professional-looking results at home. |
Salon Services | Ulta Beauty provides a range of salon services, including haircuts, color treatments, and waxing, performed by trained professionals in-store. |
Ulta Beauty, Inc.'s Porter Forces
Threat Of Substitutes
Ulta Beauty, Inc. has a low threat of substitutes due to its strong brand recognition and loyalty programs, making it difficult for customers to switch to alternative products or services.
Bargaining Power Of Customers
Ulta Beauty, Inc. has a medium bargaining power of customers due to the presence of online retailers and specialty beauty stores, which gives customers some bargaining power, but the company's loyalty programs and strong brand recognition mitigate this power.
Bargaining Power Of Suppliers
Ulta Beauty, Inc. has a low bargaining power of suppliers due to its large scale of operations and strong relationships with suppliers, giving it negotiating power to secure favorable prices and terms.
Threat Of New Entrants
Ulta Beauty, Inc. has a medium threat of new entrants due to the high capital requirements and regulatory hurdles in the beauty industry, but the rise of e-commerce and social media has made it easier for new entrants to gain traction.
Intensity Of Rivalry
Ulta Beauty, Inc. operates in a highly competitive industry with many established players, leading to a high intensity of rivalry, with companies competing on price, product offerings, and customer experience.
Strength
Capital Structure
Value | |
---|---|
Debt Weight | 45.61% |
Debt Cost | 3.95% |
Equity Weight | 54.39% |
Equity Cost | 10.70% |
WACC | 7.62% |
Leverage | 83.84% |
Ulta Beauty, Inc. : Quality Control
Ulta Beauty, Inc. passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
Company | Rational |
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EL | The EstΓ©e Lauder Companies Inc. manufactures, markets, and sells skin care, makeup, fragrance, and hair care products worldwide. The company offers a range of skin care products, including moisturizers, serums, β¦ |
ELF | e.l.f. Beauty, Inc., together with its subsidiaries, provides cosmetic and skin care products under the e.l.f. Cosmetics, e.l.f. Skin, Well People, and Keys Soulcare brand names worldwide. The company offers β¦ |
SBH | Sally Beauty Holdings, Inc. operates as a specialty retailer and distributor of professional beauty supplies. The company operates through two segments, Sally Beauty Supply and Beauty Systems Group. The Sally β¦ |
COTY | Coty Inc., together with its subsidiaries, engages in the manufacture, marketing, distribution, and sale of beauty products worldwide. The company provides prestige fragrances, skin care, and color cosmetics products through β¦ |
BBWI | Bath & Body Works, Inc. operates a specialty retailer of home fragrance, body care, and soaps and sanitizer products. The company sells its products under the Bath & Body Works, β¦ |