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Ultra Brands Ltd (TSE:ULTA)
:ULTA
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Ultra Brands (ULTA) AI Stock Analysis

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Ultra Brands

(OTC:ULTA)

Rating:20Underperform
Price Target:
Ultra Brands faces severe financial instability with declining revenues, significant losses, and high leverage. The technical indicators show weak momentum, and the valuation metrics suggest overvaluation due to negative earnings. These factors collectively result in a low overall score, highlighting substantial risks and challenges.

Ultra Brands (ULTA) vs. iShares MSCI Canada ETF (EWC)

Ultra Brands Business Overview & Revenue Model

Company DescriptionUltra Brands (ULTA) is a leading retail company specializing in beauty and personal care products. The company operates a chain of stores and an e-commerce platform, offering a wide range of cosmetics, skincare, haircare, and fragrance products from various brands. Ultra Brands is known for its comprehensive selection of products, catering to diverse customer needs and preferences.
How the Company Makes MoneyUltra Brands generates revenue primarily through the sale of beauty and personal care products both in-store and online. The company operates numerous retail locations, providing customers with a hands-on shopping experience, and leverages its e-commerce platform to reach a broader audience. Key revenue streams include sales from cosmetics, skincare, haircare, and fragrance products. Additionally, Ultra Brands benefits from strategic partnerships with beauty brands and exclusive product offerings, which enhance its product assortment and appeal to consumers. The company also offers salon services in many of its stores, contributing an additional revenue stream. Ultra Brands' loyalty program further encourages repeat business and customer retention, supporting its overall revenue generation model.

Ultra Brands Financial Statement Overview

Summary
Ultra Brands is in a precarious financial position, with significant revenue declines, negative profitability, and substantial leverage. The negative equity and cash flow deficiencies illustrate severe financial instability, posing substantial risks to stakeholders.
Income Statement
5
Very Negative
Ultra Brands has experienced a significant decline in revenue over recent years, with the most recent TTM period showing zero revenue. The negative net income and EBIT margins indicate substantial losses, and the absence of revenue growth highlights poor financial performance and sustainability.
Balance Sheet
10
Very Negative
The company's balance sheet reveals high leverage and negative stockholders' equity, signaling financial distress and potential solvency issues. The debt-to-equity ratio is not calculable due to negative equity, which raises significant concerns about the company's ability to manage its liabilities.
Cash Flow
3
Very Negative
The cash flow statement indicates persistent negative operating and free cash flows, suggesting ongoing liquidity challenges. The inability to generate positive cash flow from operations is a critical risk factor for the company's financial health.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue0.000.0038.83K82.15K104.90K
Gross Profit0.00-57.50K29.78K40.07K104.90K
EBITDA-331.66K-349.18K-1.43M-12.38M-289.15K
Net Income-386.00-1.59M-3.56M-455.46K
Balance Sheet
Total Assets152.63K214.02K529.94K847.93K1.90M
Cash, Cash Equivalents and Short-Term Investments53.27K4.21K195.64K289.41K21.89K
Total Debt574.45K445.94K384.63K298.15K585.50K
Total Liabilities1.11M782.27K643.97K392.01K941.17K
Stockholders Equity-954.70K-568.25K-114.03K455.92K963.73K
Cash Flow
Free Cash Flow-80.74K-187.11K-667.73K-2.35M-37.75K
Operating Cash Flow-80.74K-187.10K-667.73K-2.35M-37.75K
Investing Cash Flow0.000.000.00-291.30K33.24K
Financing Cash Flow130.00K-4.32K573.96K2.90M16.91K

Ultra Brands Technical Analysis

Technical Analysis Sentiment
Positive
Last Price0.03
Price Trends
50DMA
0.02
Positive
100DMA
0.02
Positive
200DMA
0.02
Positive
Market Momentum
MACD
<0.01
Negative
RSI
91.63
Negative
STOCH
100.00
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:ULTA, the sentiment is Positive. The current price of 0.03 is above the 20-day moving average (MA) of 0.02, above the 50-day MA of 0.02, and above the 200-day MA of 0.02, indicating a bullish trend. The MACD of <0.01 indicates Negative momentum. The RSI at 91.63 is Negative, neither overbought nor oversold. The STOCH value of 100.00 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:ULTA.

Ultra Brands Peers Comparison

Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
C$5.30B8.9020.23%3.18%3.08%9.19%
41
Neutral
C$8.50M-247.04%2733.38%34.80%
TSLUX
36
Underperform
C$9.37M-336.15%-58.04%-71.29%
20
Underperform
C$462.20K50.44%51.32%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TSE:ULTA
Ultra Brands
0.03
0.02
100.00%
TSE:LUX
Newlox Gold Ventures
0.06
-0.04
-40.00%
TSE:GLOW
Glow LifeTech
0.06
0.03
100.00%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jan 29, 2025