WallStSmart

Arhaus Inc (ARHS)vsUlta Beauty Inc (ULTA)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Ulta Beauty Inc generates 799% more annual revenue ($12.39B vs $1.38B). ULTA leads profitability with a 9.3% profit margin vs 4.9%. ARHS trades at a lower P/E of 14.3x. ULTA earns a higher WallStSmart Score of 55/100 (C-).

ARHS

Hold

46

out of 100

Grade: D+

Growth: 4.0Profit: 6.0Value: 5.7Quality: 5.5
Piotroski: 1/9Altman Z: 1.93

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

ARHSSignificantly Overvalued (-199.7%)

Margin of Safety

-199.7%

Fair Value

$3.26

Current Price

$6.85

$3.59 premium

UndervaluedFair: $3.26Overvalued
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

ARHS2 strengths · Avg: 8.0/10
P/E RatioValuation
14.3x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

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

ARHS4 concerns · Avg: 3.3/10
Altman Z-ScoreHealth
1.934/10

Grey zone — moderate risk

Market CapQuality
$966.69M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

Debt/EquityHealth
1.433/10

Elevated debt levels

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 : ARHS

The strongest argument for ARHS centers on P/E Ratio, Price/Book.

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 : ARHS

The primary concerns for ARHS are Altman Z-Score, 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

ARHS carries more volatility with a beta of 2.53 — 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

ULTA scores higher overall (55/100 vs 46/100) and 11.8% revenue growth. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

Arhaus Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Arhaus Inc. (ARHS) is a leading retailer in the premium home furnishings sector, celebrated for its high-quality, sustainably sourced products that merge exceptional craftsmanship with timeless design. Founded in 1986, the company has established a strong reputation for luxury and durability, offering a wide range of customizable furniture and home décor aimed at discerning consumers. Arhaus is deeply committed to environmental sustainability, utilizing recycled and reclaimed materials in its offerings to appeal to the eco-conscious market segment. As the demand for premium home furnishings continues to grow, Arhaus is poised to capitalize on this trend by expanding its retail footprint and enhancing its digital presence.

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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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