Best Buy Co. Inc (BBY)vsUlta Beauty Inc (ULTA)
BBY
Best Buy Co. Inc
$62.80
-2.17%
CONSUMER CYCLICAL · Cap: $13.16B
ULTA
Ulta Beauty Inc
$529.97
-0.77%
CONSUMER CYCLICAL · Cap: $23.17B
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
Buy64
out of 100
Grade: C+
ULTA
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+71.6%
Fair Value
$235.87
Current Price
$62.80
$173.07 discount
Margin of Safety
-291.9%
Fair Value
$174.28
Current Price
$529.97
$355.69 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 37 in profit
Earnings expanding 371.7% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Generating 1.1B in free cash flow
Every $100 of equity generates 44 in profit
Safe zone — low bankruptcy risk
Areas to Watch
2.6% margin — thin
Revenue declined 100.0%
Expensive relative to growth rate
Trading at 8.4x book value
Earnings declined 5.4%
Comparative Analysis Report
WallStSmart ResearchBull 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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