Topic > Stock Performance Analysis: Ulta - 1193

Stock Performance Analysis Ulta stock performance from 2010 to date has been positive. According to Yahoo Finance (nd), in January 2010 Ulta's stock was approximately $19.40 per share and in January 2015 the price per share was approximately $126.84. The company saw an increase of $137.88 from 2010 to 2015, which is a 610% increase. Ulta's stock has risen steadily over the past five and a half years, based on its highest annual closing price. The price per share was $34.95 in 2010, then increased to $69.63 in 2011. Subsequently Ulta stock prices in 2012 rose to $100.28, the increase continued in 2013 with shares which reached $128.85 and a slight decline in price in 2014 with shares at $127.84. Currently, the highest close of 2015 so far was July, with shares at $157.23. (Yahoo Finance, n.d.). Shareholders in 2012 received a cash dividend from Ulta totaling $63 million, another indicator of positive stock growth (MarketLine, 2014). In 2014, the company approved a $300 million stock repurchase plan in which it repurchased 321,113 shares worth approximately $40 million (Ulta 2014 Annual Report, 2014). The success of a company and its stock is evident in Ulta's ability and desire to repurchase its own stock. Company News Company news such as new products or partnerships affects whether or not their individuals invest in their shares, as this could impact share prices. Ulta faced a class action lawsuit in 2012 regarding employee practices. According to Ulta's 2014 Annual Report (2014), former employees sued the company alleging that Ulta violated “… labor laws and failed to provide Plaintiff and members of the proposed class with meal periods full pay, paid rest breaks, certain wages, overtime c. ..... half the paper ...... for 100 new stores this year. (Business Wire, 2015)ConclusionAfter careful analysis based on a variety of factors, Ulta is a company worth investing in. Ulta's long history, their broad product lines across multiple categories, and their strong presence in their industry are all deciding factors of whether or not to invest. Other factors that may influence whether individuals consider Ulta to be a good investment are their substantial stock performance over the past five and a half years, their recent partnerships, and analysts' positive outlook on their stock's performance in the coming years. Finally, the last factor is making a personal decision whether or not to invest based on research and financial statistics. My personal consensus is that despite a slight loss, Ulta is a buy after researching and considering all of the previously mentioned factors.