ULTA BEAUTY INC (ULTA) Fundamental Analysis & Valuation

NASDAQ:ULTA • US90384S3031

Current stock price

532.23 USD
-10.42 (-1.92%)
At close:
539.8 USD
+7.57 (+1.42%)
After Hours:

This ULTA fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

9

1. ULTA Profitability Analysis

1.1 Basic Checks

  • ULTA had positive earnings in the past year.
  • In the past year ULTA had a positive cash flow from operations.
  • Each year in the past 5 years ULTA has been profitable.
  • In the past 5 years ULTA always reported a positive cash flow from operatings.
ULTA Yearly Net Income VS EBIT VS OCF VS FCFULTA Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 500M 1B 1.5B

1.2 Ratios

  • ULTA has a Return On Assets of 16.48%. This is amongst the best in the industry. ULTA outperforms 95.16% of its industry peers.
  • The Return On Equity of ULTA (41.14%) is better than 93.55% of its industry peers.
  • ULTA's Return On Invested Capital of 24.02% is amongst the best of the industry. ULTA outperforms 93.55% of its industry peers.
  • Measured over the past 3 years, the Average Return On Invested Capital for ULTA is significantly above the industry average of 13.35%.
Industry RankSector Rank
ROA 16.48%
ROE 41.14%
ROIC 24.02%
ROA(3y)19.7%
ROA(5y)20.59%
ROE(3y)48.68%
ROE(5y)54.73%
ROIC(3y)27.84%
ROIC(5y)29.58%
ULTA Yearly ROA, ROE, ROICULTA Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20 40 60

1.3 Margins

  • ULTA has a Profit Margin of 9.31%. This is amongst the best in the industry. ULTA outperforms 89.52% of its industry peers.
  • ULTA's Profit Margin has improved in the last couple of years.
  • With an excellent Operating Margin value of 12.37%, ULTA belongs to the best of the industry, outperforming 88.71% of the companies in the same industry.
  • In the last couple of years the Operating Margin of ULTA has grown nicely.
  • Looking at the Gross Margin, with a value of 39.10%, ULTA is in the better half of the industry, outperforming 60.48% of the companies in the same industry.
  • In the last couple of years the Gross Margin of ULTA has grown nicely.
Industry RankSector Rank
OM 12.37%
PM (TTM) 9.31%
GM 39.1%
OM growth 3Y-8.32%
OM growth 5Y16.74%
PM growth 3Y-8.54%
PM growth 5Y26.61%
GM growth 3Y-0.44%
GM growth 5Y4.3%
ULTA Yearly Profit, Operating, Gross MarginsULTA Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 10 20 30

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. ULTA Health Analysis

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so ULTA is creating value.
  • The number of shares outstanding for ULTA has been reduced compared to 1 year ago.
  • Compared to 5 years ago, ULTA has less shares outstanding
  • The debt/assets ratio for ULTA is higher compared to a year ago.
ULTA Yearly Shares OutstandingULTA Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 20M 40M 60M
ULTA Yearly Total Debt VS Total AssetsULTA Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2B 4B 6B

2.2 Solvency

  • ULTA has an Altman-Z score of 6.44. This indicates that ULTA is financially healthy and has little risk of bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 6.44, ULTA belongs to the top of the industry, outperforming 91.13% of the companies in the same industry.
  • ULTA has a debt to FCF ratio of 0.06. This is a very positive value and a sign of high solvency as it would only need 0.06 years to pay back of all of its debts.
  • ULTA's Debt to FCF ratio of 0.06 is amongst the best of the industry. ULTA outperforms 85.48% of its industry peers.
  • ULTA has a Debt/Equity ratio of 0.02. This is a healthy value indicating a solid balance between debt and equity.
  • Looking at the Debt to Equity ratio, with a value of 0.02, ULTA is in the better half of the industry, outperforming 73.39% of the companies in the same industry.
Industry RankSector Rank
Debt/Equity 0.02
Debt/FCF 0.06
Altman-Z 6.44
ROIC/WACC2.67
WACC9%
ULTA Yearly LT Debt VS Equity VS FCFULTA Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 500M 1B 1.5B 2B 2.5B

2.3 Liquidity

  • A Current Ratio of 1.41 indicates that ULTA should not have too much problems paying its short term obligations.
  • Looking at the Current ratio, with a value of 1.41, ULTA is in line with its industry, outperforming 59.68% of the companies in the same industry.
  • ULTA has a Quick Ratio of 1.41. This is a bad value and indicates that ULTA is not financially healthy enough and could expect problems in meeting its short term obligations.
  • ULTA has a Quick ratio of 0.43. This is comparable to the rest of the industry: ULTA outperforms 41.13% of its industry peers.
  • ULTA does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
Industry RankSector Rank
Current Ratio 1.41
Quick Ratio 0.43
ULTA Yearly Current Assets VS Current LiabilitesULTA Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 1B 2B 3B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

5

3. ULTA Growth Analysis

3.1 Past

  • The Earnings Per Share has been growing slightly by 1.14% over the past year.
  • Measured over the past years, ULTA shows a very strong growth in Earnings Per Share. The EPS has been growing by 40.24% on average per year.
  • The Revenue has grown by 9.71% in the past year. This is quite good.
  • ULTA shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 15.04% yearly.
EPS 1Y (TTM)1.14%
EPS 3Y2.23%
EPS 5Y40.24%
EPS Q2Q%-5.32%
Revenue 1Y (TTM)9.71%
Revenue growth 3Y6.67%
Revenue growth 5Y15.04%
Sales Q2Q%11.78%

3.2 Future

  • The Earnings Per Share is expected to grow by 11.35% on average over the next years. This is quite good.
  • The Revenue is expected to grow by 5.52% on average over the next years.
EPS Next Y13.33%
EPS Next 2Y11%
EPS Next 3Y10.57%
EPS Next 5Y11.35%
Revenue Next Year7.51%
Revenue Next 2Y6.02%
Revenue Next 3Y5.85%
Revenue Next 5Y5.52%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
ULTA Yearly Revenue VS EstimatesULTA Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 5B 10B 15B
ULTA Yearly EPS VS EstimatesULTA Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 10 20 30 40 50

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Find the best growth stocksShow best growing peers

5

4. ULTA Valuation Analysis

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 20.74, ULTA is valued on the expensive side.
  • 66.13% of the companies in the same industry are more expensive than ULTA, based on the Price/Earnings ratio.
  • The average S&P500 Price/Earnings ratio is at 26.21. ULTA is valued slightly cheaper when compared to this.
  • A Price/Forward Earnings ratio of 18.30 indicates a rather expensive valuation of ULTA.
  • ULTA's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ULTA is cheaper than 64.52% of the companies in the same industry.
  • ULTA is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.10, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 20.74
Fwd PE 18.3
ULTA Price Earnings VS Forward Price EarningsULTA Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 20 40 60

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as ULTA.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of ULTA indicates a somewhat cheap valuation: ULTA is cheaper than 63.71% of the companies listed in the same industry.
Industry RankSector Rank
P/FCF 22.11
EV/EBITDA 12.82
ULTA Per share dataULTA EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150 200 250

4.3 Compensation for Growth

  • The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
  • The excellent profitability rating of ULTA may justify a higher PE ratio.
PEG (NY)1.56
PEG (5Y)0.52
EPS Next 2Y11%
EPS Next 3Y10.57%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. ULTA Dividend Analysis

5.1 Amount

  • No dividends for ULTA!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

ULTA Fundamentals: All Metrics, Ratios and Statistics

ULTA BEAUTY INC

NASDAQ:ULTA (4/7/2026, 8:00:01 PM)

After market: 539.8 +7.57 (+1.42%)

532.23

-10.42 (-1.92%)

Chartmill FA Rating
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)03-12
Earnings (Next)05-27
Inst Owners101.27%
Inst Owner Change-0.01%
Ins Owners0.15%
Ins Owner Change3.89%
Market Cap23.61B
Revenue(TTM)12.39B
Net Income(TTM)1.15B
Analysts77.06
Price Target682.61 (28.25%)
Short Float %4.36%
Short Ratio2.77
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)3.28%
Min EPS beat(2)-2.09%
Max EPS beat(2)8.65%
EPS beat(4)3
Avg EPS beat(4)7.95%
Min EPS beat(4)-2.09%
Max EPS beat(4)13.47%
EPS beat(8)6
Avg EPS beat(8)7.01%
EPS beat(12)9
Avg EPS beat(12)5.06%
EPS beat(16)13
Avg EPS beat(16)9.52%
Revenue beat(2)2
Avg Revenue beat(2)1.99%
Min Revenue beat(2)0.47%
Max Revenue beat(2)3.5%
Revenue beat(4)3
Avg Revenue beat(4)1.52%
Min Revenue beat(4)-0.06%
Max Revenue beat(4)3.5%
Revenue beat(8)3
Avg Revenue beat(8)-0.22%
Revenue beat(12)3
Avg Revenue beat(12)-0.56%
Revenue beat(16)7
Avg Revenue beat(16)0.74%
PT rev (1m)-0.8%
PT rev (3m)7.3%
EPS NQ rev (1m)-4.47%
EPS NQ rev (3m)-3.61%
EPS NY rev (1m)0%
EPS NY rev (3m)1.71%
Revenue NQ rev (1m)0.89%
Revenue NQ rev (3m)1.6%
Revenue NY rev (1m)1.83%
Revenue NY rev (3m)2.46%
Valuation
Industry RankSector Rank
PE 20.74
Fwd PE 18.3
P/S 1.91
P/FCF 22.11
P/OCF 15.71
P/B 8.42
P/tB 9.95
EV/EBITDA 12.82
EPS(TTM)25.66
EY4.82%
EPS(NY)29.08
Fwd EY5.46%
FCF(TTM)24.07
FCFY4.52%
OCF(TTM)33.88
OCFY6.37%
SpS279.37
BVpS63.2
TBVpS53.51
PEG (NY)1.56
PEG (5Y)0.52
Graham Number191.02
Profitability
Industry RankSector Rank
ROA 16.48%
ROE 41.14%
ROCE 32.1%
ROIC 24.02%
ROICexc 26.76%
ROICexgc 29.69%
OM 12.37%
PM (TTM) 9.31%
GM 39.1%
FCFM 8.62%
ROA(3y)19.7%
ROA(5y)20.59%
ROE(3y)48.68%
ROE(5y)54.73%
ROIC(3y)27.84%
ROIC(5y)29.58%
ROICexc(3y)30.67%
ROICexc(5y)33.91%
ROICexgc(3y)31.67%
ROICexgc(5y)34.57%
ROCE(3y)36.87%
ROCE(5y)39.1%
ROICexgc growth 3Y-11.84%
ROICexgc growth 5Y23.95%
ROICexc growth 3Y-14.66%
ROICexc growth 5Y21.57%
OM growth 3Y-8.32%
OM growth 5Y16.74%
PM growth 3Y-8.54%
PM growth 5Y26.61%
GM growth 3Y-0.44%
GM growth 5Y4.3%
F-Score6
Asset Turnover1.77
Health
Industry RankSector Rank
Debt/Equity 0.02
Debt/FCF 0.06
Debt/EBITDA 0.03
Cap/Depr 144.57%
Cap/Sales 3.51%
Interest Coverage 158.48
Cash Conversion 81.95%
Profit Quality 92.59%
Current Ratio 1.41
Quick Ratio 0.43
Altman-Z 6.44
F-Score6
WACC9%
ROIC/WACC2.67
Cap/Depr(3y)154.43%
Cap/Depr(5y)131.34%
Cap/Sales(3y)3.57%
Cap/Sales(5y)3.15%
Profit Quality(3y)84.5%
Profit Quality(5y)87.53%
High Growth Momentum
Growth
EPS 1Y (TTM)1.14%
EPS 3Y2.23%
EPS 5Y40.24%
EPS Q2Q%-5.32%
EPS Next Y13.33%
EPS Next 2Y11%
EPS Next 3Y10.57%
EPS Next 5Y11.35%
Revenue 1Y (TTM)9.71%
Revenue growth 3Y6.67%
Revenue growth 5Y15.04%
Sales Q2Q%11.78%
Revenue Next Year7.51%
Revenue Next 2Y6.02%
Revenue Next 3Y5.85%
Revenue Next 5Y5.52%
EBIT growth 1Y-2.04%
EBIT growth 3Y-2.2%
EBIT growth 5Y34.29%
EBIT Next Year27.34%
EBIT Next 3Y12.35%
EBIT Next 5Y9.48%
FCF growth 1Y10.77%
FCF growth 3Y-2.99%
FCF growth 5Y10.15%
OCF growth 1Y12.26%
OCF growth 3Y0.47%
OCF growth 5Y13.15%

ULTA BEAUTY INC / ULTA Fundamental Analysis FAQ

Can you provide the ChartMill fundamental rating for ULTA BEAUTY INC?

ChartMill assigns a fundamental rating of 7 / 10 to ULTA.


Can you provide the valuation status for ULTA BEAUTY INC?

ChartMill assigns a valuation rating of 5 / 10 to ULTA BEAUTY INC (ULTA). This can be considered as Fairly Valued.


What is the profitability of ULTA stock?

ULTA BEAUTY INC (ULTA) has a profitability rating of 9 / 10.


What is the valuation of ULTA BEAUTY INC based on its PE and PB ratios?

The Price/Earnings (PE) ratio for ULTA BEAUTY INC (ULTA) is 20.74 and the Price/Book (PB) ratio is 8.42.


How financially healthy is ULTA BEAUTY INC?

The financial health rating of ULTA BEAUTY INC (ULTA) is 8 / 10.