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NASDAQ:ULTA

Ulta Salon Cosmetics and Fragrance Inc. (ULTA)

456.75
+0.62 (0.14%)
as of Jun 18, 2026, 8:19:54 pm Market Open.
32 watching
0
COMMENT
They report Thursday. A big winner once everyone can take off their masks. He expects strong numbers.
BUY
They report Thursday. Brick and mortar will make a comeback when stores reopen. He expects a sales explosion. Ulta is also rolling out a collection to put into Target stores.
BUY

They move into Target stores this year, which will be huge. If they can make momey crippled by Coavid, imnagine Target. They move into Target stores this year, which will be huge. If they can make money crippled by the Covid pandemic (by pivoting hard to e-commerce), imagine their Target move, 100 locations across the U.S. Ulta also a strong partnership with Estee Lauder.

PAST TOP PICK

(A Top Pick Sep 02/20, Up 35%) It was part of his barbell strategy. At the time, the economy was going to recover. Now, it's happening a lot more in the US than Canada. Ulta has done well selling via e-commerce, and a strategy partnership with Target moved the stock up. The core market is here to stay and Ulta will likely continue to outperform.

PARTIAL BUY
The CEO is great and has navigated really tough times. Buy some now, and if it falls lower, buy more.
COMMENT

Ulta just struck a deal to put their cosmetics into Target. The stock bounced back to pre-Covid levels, though pulled back today. A buying opportunity? The new deal will reach all of Target's customers.

BUY
A brick-and-mortar play that's transitioned well to the web. They sell quality products.
BUY
Likes it. Great CEO who will create strategies to serve customers, including him.
PAST TOP PICK
(A Top Pick Sep 23/19, Down 2%) He got stopped out in March. They sell beauty products through their large US store network with talk of expanding to Canada. He hasn't bought it back because of questions of them selling online? When will Covid end and people start shopping at stores. He'd like to see a better online presence. And will customers buy make-up online?
BUY
One should hold a balance of COVID and recovery stocks. Then, there are the return-to-normalcy stocks like Ulta. A few weeks ago, Ulta reported an amazing quarter with a massive earnings beat, its stock nearly doubling from its March lows. You don't need much make-up when you're stuck inside, but more when you're out.
TOP PICK
Working from home has impacted certain products. On the flip side, people have more time to take care of themselves. Part of his barbell approach to investing. Tech benefits from the stay at home economy, but when the world gets back to normal, ULTA will be there. Increase in CAD gives you a chance to add to your US holdings. No dividend. (Analysts’ price target is $266.17)
PAST TOP PICK
(A Top Pick Sep 23/19, Down 13%) They are a well run company. Just about to expand into Canada. They have an expanding on-line presence. Not a lot of debt, high margins and a big loyalty program. He would have no hesitation buying them back. He was stopped out in March.
BUY
It touches a lot of boxes he looks for. They have high margins, no debt and use internal cash flow to expand store count. They have a good loyalty program. They dropped after an earnings guidance downgrade and then he added it. He thinks they will get back to where they were. He likes the company long term as well.
DON'T BUY
Dropped in mid-2019 likely due to bad earnings. Before that, it enjoyed a rising pattern. Now, it's fallen back to a $240 base. Don't buy this until it breaks above $240 and move up to $270.
HOLD
They are a growing retailer that incorporated hair salons into their stores. They have about 900 stores open in the US. They have slowed down recently and now are growing slower than the cosmetics market. It is a hold at best.
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