ULTA EV/EBITDA Analysis

ULTA’s EV/EBITDA of 12.8x means the company is valued at 12.8 times its earnings before interest, taxes, depreciation, and amortization—a common way to gauge how expensive a stock is relative to its operating cash generation.

This sits below the sector median of 13.6x, placing ULTA at the 44th percentile among its peers, so it is modestly cheaper than a typical company in its group. The trend over the last eight quarters is stable: the metric rose 6.7% year-over-year but fell 2.2% quarter-over-quarter, with recent readings hovering near 12.8x to 13.1x. A stable, near-median valuation combined with a slight quarter-over-quarter decline implies limited immediate upside from multiple expansion, but also no sign of overvaluation that would create a sharp downside risk. The level and trend align with the overall NEUTRAL verdict: the stock is neither undervalued enough to signal a clear buying opportunity nor expensive enough to warrant caution. This metric supports the neutral stance rather than contradicting it.

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