Should you buy Ulta Beauty stock? (March 2025)

Published first at https://www.3minutebreakdowns.com Ulta Beauty stock analysis. Ticker: $ULTA Ulta Beauty reported earnings last week and the stock popped 14% before giving back some of those gains. Right now the company is worth 16 billion dollars. With 700 million of cash on the balance sheet and no debt the enterprise value is 15.3 billion. Meanwhile, Ulta has reported 11.3 billion of revenue over the last 12 months, 1.2 billion of net income and 964 million of free cash flow meaning the stock is valued at 13 times earnings and under 16 times free cash flow. Those valuations are near the bottom of the company’s historical range. Fiscal 2024 was a disappointing year for Ulta with sales increasing less than 1% and net income falling almost 8%. The company is battling increasing competition and suffering from a slowdown in the beauty market which boomed during the pandemic.