Strategy published on : 12/05/2017 | 14:09
long tradeStop-loss triggered
Entry price : 223.77$
Target : 276$
Stop-loss : 202.5$
Potential : 23.34%
The recent break-out to the upside has created potential for further gains for shares in Ulta Beauty.
Investors have an opportunity to buy the stock and target the $ 276.
● The company has strong fundamentals. More than 70% of listed companies have a lower mix of growth, profitability, debt and visibility criteria.
● In a short-term perspective, the company has interesting fundamentals.
● Its core activity has a significant growth potential and sales are expected to surge, according to Thomson Reuters' forecast. Indeed, those may increase by 58% by 2020.
● The group's high margin levels account for strong profits.
● The company is in a robust financial situation considering its net cash and margin position.
● Predictions on business development from analysts polled by Thomson-Reuters are tight. This results from either a good visibility into core activities or accurate earnings releases.
● The group usually releases upbeat results with huge surprise rates.
● The average target price set by analysts covering the stock is above current prices and offers a tremendous appreciation potential.
● With a 2018 P/E ratio at 26.57 times the estimated earnings, the company operates at rather significant levels of earnings multiples.
● Below the resistance at 251.05 USD, the stock shows a negative configuration when looking looking at the weekly chart.