WallStSmart

Best Buy Co. Inc (BBY)vsUlta Beauty Inc (ULTA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Best Buy Co. Inc generates 236% more annual revenue ($41.69B vs $12.39B). ULTA leads profitability with a 9.3% profit margin vs 2.6%. BBY appears more attractively valued with a PEG of 1.18. BBY earns a higher WallStSmart Score of 64/100 (C+).

BBY

Buy

64

out of 100

Grade: C+

Growth: 4.7Profit: 6.5Value: 10.0Quality: 6.8
Piotroski: 6/9Altman Z: 3.54

ULTA

Buy

55

out of 100

Grade: C-

Growth: 4.7Profit: 7.5Value: 7.3Quality: 6.3
Piotroski: 4/9Altman Z: 3.94
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

BBYUndervalued (+71.6%)

Margin of Safety

+71.6%

Fair Value

$235.87

Current Price

$62.80

$173.07 discount

UndervaluedFair: $235.87Overvalued
ULTASignificantly Overvalued (-291.9%)

Margin of Safety

-291.9%

Fair Value

$174.28

Current Price

$529.97

$355.69 premium

UndervaluedFair: $174.28Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BBY5 strengths · Avg: 9.2/10
Return on EquityProfitability
37.0%10/10

Every $100 of equity generates 37 in profit

EPS GrowthGrowth
371.7%10/10

Earnings expanding 371.7% YoY

Altman Z-ScoreHealth
3.5410/10

Safe zone — low bankruptcy risk

P/E RatioValuation
12.4x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.10B8/10

Generating 1.1B in free cash flow

ULTA2 strengths · Avg: 10.0/10
Return on EquityProfitability
43.6%10/10

Every $100 of equity generates 44 in profit

Altman Z-ScoreHealth
3.9410/10

Safe zone — low bankruptcy risk

Areas to Watch

BBY2 concerns · Avg: 2.5/10
Profit MarginProfitability
2.6%3/10

2.6% margin — thin

Revenue GrowthGrowth
-100.0%2/10

Revenue declined 100.0%

ULTA3 concerns · Avg: 3.3/10
PEG RatioValuation
2.274/10

Expensive relative to growth rate

Price/BookValuation
8.4x4/10

Trading at 8.4x book value

EPS GrowthGrowth
-5.4%2/10

Earnings declined 5.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : BBY

The strongest argument for BBY centers on Return on Equity, EPS Growth, Altman Z-Score. PEG of 1.18 suggests the stock is reasonably priced for its growth.

Bull Case : ULTA

The strongest argument for ULTA centers on Return on Equity, Altman Z-Score. Revenue growth of 11.8% demonstrates continued momentum.

Bear Case : BBY

The primary concerns for BBY are Profit Margin, Revenue Growth. Thin 2.6% margins leave little buffer for downturns.

Bear Case : ULTA

The primary concerns for ULTA are PEG Ratio, Price/Book, EPS Growth.

Key Dynamics to Monitor

BBY carries more volatility with a beta of 1.44 — expect wider price swings.

ULTA is growing revenue faster at 11.8% — sustainability is the question.

BBY generates stronger free cash flow (1.1B), providing more financial flexibility.

Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BBY scores higher overall (64/100 vs 55/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Best Buy Co. Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Best Buy Co., Inc. is an American multinational consumer electronics retailer headquartered in Richfield, Minnesota.

Ulta Beauty Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Ulta Beauty, Inc., formerly known as Ulta Salon, Cosmetics & Fragrance Inc., is an American chain of beauty stores headquartered in Bolingbrook, Illinois. Ulta Beauty carries cosmetics and skincare brands, men's and women's fragrances, nail products, bath and body products, beauty tools and haircare products.

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