RH (RH)vsUlta Beauty Inc (ULTA)
RH
RH
$176.14
-0.87%
CONSUMER CYCLICAL · Cap: $3.48B
ULTA
Ulta Beauty Inc
$508.09
+1.31%
CONSUMER CYCLICAL · Cap: $20.62B
Smart Verdict
WallStSmart Research — data-driven comparison
Ulta Beauty Inc generates 271% more annual revenue ($12.71B vs $3.43B). ULTA leads profitability with a 9.4% profit margin vs 3.0%. RH appears more attractively valued with a PEG of 1.13. ULTA earns a higher WallStSmart Score of 63/100 (C+).
RH
Buy56
out of 100
Grade: C
ULTA
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+3.6%
Fair Value
$207.32
Current Price
$176.14
$31.18 discount
Margin of Safety
-23.4%
Fair Value
$553.46
Current Price
$508.09
$45.37 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 112.5% YoY
Every $100 of equity generates 30 in profit
Every $100 of equity generates 46 in profit
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Areas to Watch
Premium valuation, high expectations priced in
3.0% margin — thin
Operating margin of 0.3%
Trading at 58.5x book value
Expensive relative to growth rate
Trading at 8.0x book value
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : RH
The strongest argument for RH centers on EPS Growth, Return on Equity. PEG of 1.13 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, P/E Ratio. Revenue growth of 11.1% demonstrates continued momentum.
Bear Case : RH
The primary concerns for RH are P/E Ratio, Profit Margin, Operating Margin. Debt-to-equity of 67.57 is elevated, increasing financial risk. Thin 3.0% margins leave little buffer for downturns.
Bear Case : ULTA
The primary concerns for ULTA are PEG Ratio, Price/Book, Piotroski F-Score.
Key Dynamics to Monitor
RH carries more volatility with a beta of 1.88 — expect wider price swings.
ULTA is growing revenue faster at 11.1% — sustainability is the question.
ULTA generates stronger free cash flow (204M), providing more financial flexibility.
Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ULTA scores higher overall (63/100 vs 56/100) and 11.1% revenue growth. 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.
RH
CONSUMER CYCLICAL · SPECIALTY RETAIL · USA
RH, is a home furnishings retailer. The company is headquartered in Corte Madera, California.
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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