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Here's How Much a $1000 Investment in Ulta Beauty Made 10 Years Ago Would Be Worth Today
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How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Ulta Beauty (ULTA - Free Report) ten years ago? It may not have been easy to hold on to ULTA for all that time, but if you did, how much would your investment be worth today?
Ulta Beauty's Business In-Depth
With that in mind, let's take a look at Ulta Beauty's main business drivers.
Bolingbrook, IL-based, Ulta Beauty Inc., previously known as Ulta Salon, Cosmetics & Fragrance, Inc., is a leading beauty retailer in the United States. Founded in 1990, the company changed its name to Ulta Beauty in January 2017.
The company offers a wide range of products including cosmetics, fragrance, skincare, hair care, bath and body products, and salon styling tools in stores. It sells more than 25,000 products from about 500 well-established and emerging beauty brands across all categories and price points. We note that the company's skincare category has been standing out in particular for a while now, given consumers' rising consciousness.
Meanwhile, the beauty products retailer also provides private label products comprising Ulta Beauty Collection branded cosmetics, skincare, and bath products. Additionally, the company operates a full-service salon in every store offering hair, skin and brow services. Additionally, it offers products through its Website, ulta.com, as well as mobile applications. The products offered by the company include the prestige and mass beauty brands.
As part of its value proposition, Ulta Beauty provides a range of loyalty programs through its Customer Relationship Management platform. It also offers frequent promotions, coupons, in-store events and gifts. The company also makes use of a range of media platforms to advertise products as well as generate awareness. The company strives to boost distribution center capabilities to better support store footfall and online demand.
The company has a strong vendor base and holds partnerships with companies such as Estee Lauder, L’Oréal and Shiseido. Ulta Beauty works closely with vendors to provide improved growth platforms for new and existing brands.
Ulta Beauty ended the third quarter of fiscal 2021 with 1,302 stores. For fiscal 2021, the company expects 44 net new stores along with 17 store remodeling and relocation projects.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Ulta Beauty, if you bought shares a decade ago, you're likely feeling really good about your investment today.
According to our calculations, a $1000 investment made in February 2012 would be worth $4,613.99, or a 361.40% gain, as of February 28, 2022. Investors should keep in mind that this return excludes dividends but includes price appreciation.
The S&P 500 rose 221.05% and the price of gold increased 7.47% over the same time frame in comparison.
Analysts are anticipating more upside for ULTA.
Ulta Beauty has outperformed the industry in the past year. The company has been benefiting from its omnichannel strength, thanks to the efficient store and digital operations. Also, the company’s skincare category has been gaining on consumers’ rising interest toward self-care. These upsides, along with strong cost-containment efforts, aided third-quarter fiscal 2021 results, wherein both the top and bottom lines grew year over year and beat the Zacks Consensus Estimate. Further, management raised its fiscal 2021 guidance. The company witnessed double-digit comparable sales growth across all major categories on the back of cycling of last year's pandemic-induced disruption, product newness and efficient promotions. Makeup trends also improved, though it remained lower than 2019 level. High SG&A costs are also a concern.
Shares have gained 5.36% over the past four weeks and there have been 1 higher earnings estimate revisions for fiscal 2022 compared to none lower. The consensus estimate has moved up as well.
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Here's How Much a $1000 Investment in Ulta Beauty Made 10 Years Ago Would Be Worth Today
How much a stock's price changes over time is important for most investors, since price performance can both impact your investment portfolio and help you compare investment results across sectors and industries.
FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks.
What if you'd invested in Ulta Beauty (ULTA - Free Report) ten years ago? It may not have been easy to hold on to ULTA for all that time, but if you did, how much would your investment be worth today?
Ulta Beauty's Business In-Depth
With that in mind, let's take a look at Ulta Beauty's main business drivers.
Bolingbrook, IL-based, Ulta Beauty Inc., previously known as Ulta Salon, Cosmetics & Fragrance, Inc., is a leading beauty retailer in the United States. Founded in 1990, the company changed its name to Ulta Beauty in January 2017.
The company offers a wide range of products including cosmetics, fragrance, skincare, hair care, bath and body products, and salon styling tools in stores. It sells more than 25,000 products from about 500 well-established and emerging beauty brands across all categories and price points. We note that the company's skincare category has been standing out in particular for a while now, given consumers' rising consciousness.
Meanwhile, the beauty products retailer also provides private label products comprising Ulta Beauty Collection branded cosmetics, skincare, and bath products. Additionally, the company operates a full-service salon in every store offering hair, skin and brow services. Additionally, it offers products through its Website, ulta.com, as well as mobile applications. The products offered by the company include the prestige and mass beauty brands.
As part of its value proposition, Ulta Beauty provides a range of loyalty programs through its Customer Relationship Management platform. It also offers frequent promotions, coupons, in-store events and gifts. The company also makes use of a range of media platforms to advertise products as well as generate awareness. The company strives to boost distribution center capabilities to better support store footfall and online demand.
The company has a strong vendor base and holds partnerships with companies such as Estee Lauder, L’Oréal and Shiseido. Ulta Beauty works closely with vendors to provide improved growth platforms for new and existing brands.
Ulta Beauty ended the third quarter of fiscal 2021 with 1,302 stores. For fiscal 2021, the company expects 44 net new stores along with 17 store remodeling and relocation projects.
Bottom Line
Putting together a successful investment portfolio takes a combination of research, patience, and a little bit of risk. For Ulta Beauty, if you bought shares a decade ago, you're likely feeling really good about your investment today.
According to our calculations, a $1000 investment made in February 2012 would be worth $4,613.99, or a 361.40% gain, as of February 28, 2022. Investors should keep in mind that this return excludes dividends but includes price appreciation.
The S&P 500 rose 221.05% and the price of gold increased 7.47% over the same time frame in comparison.
Analysts are anticipating more upside for ULTA.
Ulta Beauty has outperformed the industry in the past year. The company has been benefiting from its omnichannel strength, thanks to the efficient store and digital operations. Also, the company’s skincare category has been gaining on consumers’ rising interest toward self-care. These upsides, along with strong cost-containment efforts, aided third-quarter fiscal 2021 results, wherein both the top and bottom lines grew year over year and beat the Zacks Consensus Estimate. Further, management raised its fiscal 2021 guidance. The company witnessed double-digit comparable sales growth across all major categories on the back of cycling of last year's pandemic-induced disruption, product newness and efficient promotions. Makeup trends also improved, though it remained lower than 2019 level. High SG&A costs are also a concern.
Shares have gained 5.36% over the past four weeks and there have been 1 higher earnings estimate revisions for fiscal 2022 compared to none lower. The consensus estimate has moved up as well.