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15 handpicked stocks

Ulta's UK Splash: Beauty M&A

This carefully selected group of stocks represents companies positioned to benefit from increasing beauty industry consolidation. Following Ulta Beauty's acquisition of British retailer Space NK, we've identified both potential acquirers with deep pockets and attractive takeover targets in the global beauty market.

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Han Tan | Market Analyst

Updated 1 day ago | Published at July 11

Top Picks from This Group

Here are a few of the assets in this group. Create an account to unlock the full list.

ULTA

ULTA Salon, Cosmetics & Fragrance, Inc.

ULTA

Current price

$521.00

As the acquirer of Space NK, Ulta Beauty is the catalyst for this theme, demonstrating its strategy for international expansion via acquisition.

EL

Estée Lauder Companies Inc.

EL

Current price

$90.97

A global prestige beauty powerhouse, Este Lauder may be prompted to pursue its own strategic acquisitions to counter Ulta's international expansion.

COTY

Coty Inc.

COTY

Current price

$4.92

As a major player in the beauty market with a diverse brand portfolio, Coty is a potential participant in the ongoing industry consolidation.

About This Group of Stocks

1

Our Expert Thinking

Beauty industry consolidation is accelerating as major players seek international growth through strategic acquisitions. Ulta's purchase of Space NK signals a new wave of cross-border M&A activity that creates investment opportunities in both potential buyers with acquisition plans and innovative brands that make attractive takeover targets.

2

What You Need to Know

This collection includes established beauty conglomerates with financial resources to make acquisitions, as well as high-growth brands with strong regional footholds or unique market positions. M&A activity can create value through acquisition premiums, operational synergies, and expanded distribution networks for beauty companies.

3

Why These Stocks

These companies were carefully selected to provide exposure to different aspects of beauty industry consolidation. The list includes the deal catalyst (Ulta), major conglomerates likely to pursue similar international acquisitions, and innovative smaller companies that represent attractive acquisition targets due to their growth or market position.

12 Month Growth Potential

Use the growth calculator to see how much investing in these assets could return over one year.

If you invested across these assets:

in 12 months it could be worth:

$1,000.00

+66.24%

Group Performance Snapshot

66.24%

Average 12 Month Profit

On average, analysts expect assets in this group to grow 66.24% over the next year.

9 of 15

Stocks Rated Buy by Analysts

9 of 15 assets in this group are rated Buy by professional analysts.

Source: Analyst sentiment is provided by Refinitiv Ltd, a global leader in financial market data with over 40k business clients. Refinitiv Ltd is an independent third party to Nemo. This is not advice.

Why You'll Want to Watch These Stocks

💄

Beauty Industry Shake-Up

Ulta's acquisition of Space NK signals the start of a new wave of cross-border beauty deals. Companies in this group are positioned to either make strategic acquisitions or become attractive takeover targets.

💰

Acquisition Premium Potential

When beauty companies get acquired, their stock prices often jump significantly. Several smaller companies in this collection have the innovative products and brand loyalty that make them attractive takeover candidates.

🌍

Global Growth Opportunity

International expansion through M&A offers beauty companies access to new markets and customer bases. This collection includes both established global players and regional specialists poised to benefit from cross-border deal-making.

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