Better Buy: Ulta vs. e.l.f. Stock
Tech disruptors often capture market attention, but technology is being used to disrupt industries that may not be on the "techie" radar. Example: Cosmetics. Ulta Beauty (NASDAQ: ULTA) and e.l.f. Beauty (NYSE: ELF) are both cosmetics disruptors that are using technology, among other things, to distinguish themselves and capture market share. They're two of the biggest names in makeup today. Which one is the better buy?
Ulta and e.l.f. have different business models. Ulta is a retailer. Although it also has its own branded products, they're just one of hundreds of brands that Ulta carries in its chain of almost 1,400 retail stores and digital channels.
It broke out of the traditional beauty products mold when it first opened its doors because it carries a large range of brands at different prices. Most retailers sell either luxury brands or mass brands, and never the twain shall meet. If you want expensive, upscale cosmetics, you head to your closest department store, while if you don't want to overspend on mascara, you'll go to your local drugstore.
Source Fool.com
