WallStSmart

Sally Beauty Holdings Inc (SBH)vsUlta Beauty Inc (ULTA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ulta Beauty Inc generates 234% more annual revenue ($12.39B vs $3.71B). ULTA leads profitability with a 9.3% profit margin vs 4.9%. SBH appears more attractively valued with a PEG of 1.00. SBH earns a higher WallStSmart Score of 59/100 (C).

SBH

Buy

59

out of 100

Grade: C

Growth: 2.7Profit: 6.0Value: 7.3Quality: 8.5
Piotroski: 6/9Altman Z: 2.64

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

SBHSignificantly Overvalued (-27.1%)

Margin of Safety

-27.1%

Fair Value

$11.97

Current Price

$13.84

$1.87 premium

UndervaluedFair: $11.97Overvalued
ULTASignificantly Overvalued (-291.5%)

Margin of Safety

-291.5%

Fair Value

$174.49

Current Price

$526.14

$351.65 premium

UndervaluedFair: $174.49Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SBH4 strengths · Avg: 8.8/10
P/E RatioValuation
8.0x10/10

Attractively priced relative to earnings

Return on EquityProfitability
24.4%9/10

Every $100 of equity generates 24 in profit

PEG RatioValuation
1.008/10

Growing faster than its price suggests

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

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

SBH4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
0.6%4/10

0.6% revenue growth

Market CapQuality
$1.38B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

EPS GrowthGrowth
-22.4%2/10

Earnings declined 22.4%

ULTA3 concerns · Avg: 3.3/10
PEG RatioValuation
2.244/10

Expensive relative to growth rate

Price/BookValuation
8.3x4/10

Trading at 8.3x book value

EPS GrowthGrowth
-5.4%2/10

Earnings declined 5.4%

Comparative Analysis Report

WallStSmart Research

Bull Case : SBH

The strongest argument for SBH centers on P/E Ratio, Return on Equity, PEG Ratio. PEG of 1.00 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 : SBH

The primary concerns for SBH are Revenue Growth, Market Cap, Profit Margin. Thin 4.9% 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

SBH carries more volatility with a beta of 1.08 — expect wider price swings.

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

ULTA generates stronger free cash flow (907M), providing more financial flexibility.

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

Bottom Line

SBH scores higher overall (59/100 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.

Sally Beauty Holdings Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Sally Beauty Holdings, Inc. is a specialty retailer and distributor of professional beauty products. The company is headquartered in Denton, Texas.

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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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