Nice work; very interesting company. Seems to have substantial first mover advantage, and broad brand assortment with available product testers, knowledgeable sales staff and loyalty program will appeal to many.
Since there is a general fear of de-rating due to Ulta, currently at 1385 stores, reaching its target range of 1500-1700 stores over the next 5+ years, I reverse engineered to see what rate of sales growth was implied by the current stock price. Appears investors are assuming a 1% decline/year over the next 10 years; since the company seems perfectly capable of growing same store sales at 3-5%, this seems overly pessimistic.
Currently trying to understand how much of a threat manufacturers are with direct to consumer (DTC); for consumers who already know what they want, being able to order online is a real timesaver.
Review of the proxy's management incentive programs reveals an effort to move from 1-year goals, but it is still too focused on the short term in my view. Would like to see ROIC or similar ratio with FCF in numerator, instead of simple EBT.
Nice work; very interesting company. Seems to have substantial first mover advantage, and broad brand assortment with available product testers, knowledgeable sales staff and loyalty program will appeal to many.
Since there is a general fear of de-rating due to Ulta, currently at 1385 stores, reaching its target range of 1500-1700 stores over the next 5+ years, I reverse engineered to see what rate of sales growth was implied by the current stock price. Appears investors are assuming a 1% decline/year over the next 10 years; since the company seems perfectly capable of growing same store sales at 3-5%, this seems overly pessimistic.
Currently trying to understand how much of a threat manufacturers are with direct to consumer (DTC); for consumers who already know what they want, being able to order online is a real timesaver.
Review of the proxy's management incentive programs reveals an effort to move from 1-year goals, but it is still too focused on the short term in my view. Would like to see ROIC or similar ratio with FCF in numerator, instead of simple EBT.