Ulta Salon Cosmetics & Fragrances Inc. (ULTA): Today's Featured Diversified Services Winner

Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.

Ulta Salon Cosmetics & Fragrances ( ULTA) pushed the Diversified Services industry higher today making it today's featured diversified services winner. The industry as a whole closed the day up 1.2%. By the end of trading, Ulta Salon Cosmetics & Fragrances rose $1.25 (1.3%) to $95.31 on light volume. Throughout the day, 579,092 shares of Ulta Salon Cosmetics & Fragrances exchanged hands as compared to its average daily volume of 913,000 shares. The stock ranged in a price between $93.34-$95.40 after having opened the day at $94.19 as compared to the previous trading day's close of $94.06. Other companies within the Diversified Services industry that increased today were: CoStar Group ( CSGP), up 17.2%, Daegis ( DAEG), up 13.2%, On Assignment ( ASGN), up 12.8% and YY ( YY), up 11.1%.

Ulta Salon, Cosmetics & Fragrance, Inc. operates specialty retail stores in the United States. Its stores offer cosmetics, fragrance, haircare, and skincare products, as well as related accessories and services. Ulta Salon Cosmetics & Fragrances has a market cap of $6.1 billion and is part of the services sector. Shares are down 2.4% year to date as of the close of trading on Wednesday. Currently there are 7 analysts that rate Ulta Salon Cosmetics & Fragrances a buy, no analysts rate it a sell, and 2 rate it a hold.

TheStreet Ratings rates Ulta Salon Cosmetics & Fragrances as a buy. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, impressive record of earnings per share growth, good cash flow from operations and compelling growth in net income. We feel these strengths outweigh the fact that the company is trading at a premium valuation based on our review of its current price compared to such things as earnings and book value.

On the negative front, Strayer Education ( STRA), down 10.8%, General Employment ( JOB), down 10.5%, Vantiv ( VNTV), down 5.5% and Forrester Research ( FORR), down 5.2% , were all laggards within the diversified services industry with SBA Communications ( SBAC) being today's diversified services industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the diversified services industry could consider iShares Dow Jones US Cons Services ( IYC) while those bearish on the diversified services industry could consider ProShares Ultra Short Consumer Sers ( SCC).

3x UPSIDE POTENTIAL: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. Learn more.

null

More from Markets

Component Stocks Rise After Trump Reverses Decision on ZTE

Component Stocks Rise After Trump Reverses Decision on ZTE

Crude Slides as Russia Eases Cuts and U.S. Oil Producers Boost Rig Count

Crude Slides as Russia Eases Cuts and U.S. Oil Producers Boost Rig Count

Stocks Trade Mixed, Energy Shares Fall on Sharp Drop in Oil Prices

Stocks Trade Mixed, Energy Shares Fall on Sharp Drop in Oil Prices

Best Buy's Billionaire Founder: We Were 'Late to the Game' in Online Shopping

Best Buy's Billionaire Founder: We Were 'Late to the Game' in Online Shopping

Jim Cramer: Intuit Had a Fantastic Quarter

Jim Cramer: Intuit Had a Fantastic Quarter