Better Buy: Amazon vs. Ulta Beauty
Back in January, I compared Amazon (NASDAQ: AMZN) to Ulta Beauty (NASDAQ: ULTA). I declared the former was the better investment, since its e-commerce and cloud businesses would likely keep expanding as the cosmetics retailer tried to regain its footing in a post-pandemic market.
Yet Amazon's stock price has stayed nearly flat since I wrote that article, while Ulta's stock price has advanced about 10%. Did I underestimate Ulta's ability to mount a quick comeback this year, or is Amazon still the better buy?
Amazon's revenue and earnings rose 38% and 82%, respectively, in 2020. The pandemic boosted its e-commerce sales as more people shopped online, while stay-at-home trends like remote work, online education, video games, and streaming media fed the growth of AWS (Amazon Web Services), the world's largest cloud infrastructure platform.
Source Fool.com
