Ulta Beauty (NASDAQ:ULTA) has demonstrated a stronger performance compared to Seven and I (OTCMKTS:SVNDY) in several critical financial metrics. The analysis evaluates both companies based on their institutional ownership, profitability, risk, earnings, and analyst recommendations.
Institutional Ownership Highlights
A significant indicator of confidence in a stock is institutional ownership. Currently, 90.4% of Ulta Beauty’s shares are owned by institutional investors, while Seven and I has no institutional ownership. This disparity suggests that large investors, such as hedge funds and endowments, view Ulta Beauty as a promising long-term growth opportunity. Additionally, Ulta Beauty has 0.4% insider ownership, hinting at management’s confidence in the company’s future.
Profitability and Earnings Comparison
When examining profitability, Ulta Beauty leads with higher earnings, despite having lower gross revenue than Seven and I. Analysts have noted that Ulta Beauty’s price-to-earnings ratio is lower than that of Seven and I, making it a more affordable investment at present. This financial positioning enhances Ulta’s attractiveness as a stock choice for investors looking for value.
Recent recommendations indicate a consensus price target for Ulta Beauty at $550.38, suggesting a potential upside of 6.98%. Analysts are more favorable toward Ulta Beauty compared to Seven and I, reflecting a stronger consensus rating.
In summary, Ulta Beauty outperforms Seven and I across 13 out of 15 key evaluation factors.
Founded in 1990, Ulta Beauty operates as a specialty beauty retailer in the United States, offering a range of products including cosmetics, skincare, and haircare through various channels such as its physical stores and online platforms. The company, which rebranded from ULTA Salon, Cosmetics & Fragrance, Inc. to Ulta Beauty, Inc. in January 2017, is headquartered in Bolingbrook, Illinois.
Seven & i Holdings Co., Ltd., established in 2005, operates a diverse retail portfolio that includes convenience stores and supermarkets. Headquartered in Tokyo, Japan, the company functions through multiple segments, including domestic and overseas convenience store operations, superstore operations, and financial services.
The contrasting performances of these two retail giants highlight the varying opportunities and risks for investors in the current market landscape.
