Ulta Beauty (ULTA) versus The Competition Head to Head Survey

Ulta Beauty (NASDAQ:ULTA) is one of 285 publicly-traded companies in the “Specialty Retail” industry, but how does it contrast to its peers? We will compare Ulta Beauty to related companies based on the strength of its profitability, earnings, analyst recommendations, valuation, risk, institutional ownership and dividends.

Valuation & Earnings

This table compares Ulta Beauty and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Ulta Beauty	$12.39 billion	$1.15 billion	23.50
Ulta Beauty Competitors	$7.05 billion	$386.47 million	32.98

Ulta Beauty has higher revenue and earnings than its peers. Ulta Beauty is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Ulta Beauty has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, Ulta Beauty’s peers have a beta of 1.91, indicating that their average stock price is 91% more volatile than the S&P 500.

Institutional and Insider Ownership

90.4% of Ulta Beauty shares are owned by institutional investors. Comparatively, 51.9% of shares of all “Specialty Retail” companies are owned by institutional investors. 0.2% of Ulta Beauty shares are owned by insiders. Comparatively, 20.5% of shares of all “Specialty Retail” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Ulta Beauty and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ulta Beauty	9.34%	45.40%	17.37%
Ulta Beauty Competitors	-3.69%	-13.95%	3.18%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Ulta Beauty and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ulta Beauty	0	8	23	1	2.78
Ulta Beauty Competitors	3674	15593	21618	590	2.46

Ulta Beauty currently has a consensus target price of $635.87, indicating a potential downside of 1.38%. As a group, “Specialty Retail” companies have a potential upside of 7.56%. Given Ulta Beauty’s peers higher possible upside, analysts clearly believe Ulta Beauty has less favorable growth aspects than its peers.

Summary

Ulta Beauty beats its peers on 9 of the 13 factors compared.

About Ulta Beauty

Ulta Beauty, Inc. operates as a specialty beauty retailer in the United States. The company offers branded and private label beauty products, including cosmetics, fragrance, haircare, skincare, bath and body products, professional hair products, and salon styling tools through its Ulta Beauty stores, shop-in-shops, Ulta.com website, and its mobile applications. It also offers beauty services, including hair, makeup, brow, and skin services at its stores. 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.