In this article, we will take a look at the 5 best hair care stocks to buy now. If you want to go through our industry background and see some other stocks in this list, then take a look at the 11 Best Hair Care Stocks To Buy Now.
5. Newell Brands Inc (NASDAQ:NWL)
Number of Hedge Fund Investors: 27
Newell Brands Inc. (NYSE:NWL) is an American company specializing in the manufacturing, marketing, and distribution of consumer and commercial products across various categories. Its product lines encompass Home Appliances, Home Solutions, Learning and Development, Outdoor and Recreation, and Commercial Solutions. The company boasts a robust portfolio of well-known brands, including Rubbermaid, FoodSaver, Calphalon, and Sistema.
In Q3 2023, Newell Brands Inc (NASDAQ:NWL) announced net sales of $2.0 billion, indicating a decrease of 9.1% compared to the same period in the previous year. Core sales experienced a similar decline, decreasing by 9.2%. Despite these sales declines, the company saw improvements in its gross margin, with reported gross margin reaching 30.3% compared to 29.2% in the prior year period. Additionally, normalized gross margin improved to 31.3% from 29.6% in the prior year period.
Insider Monkey’s database of 910 hedge funds shows that 27 funds had stakes in Newell Brands Inc (NASDAQ:NWL). The biggest stakeholder of Newell Brands Inc (NASDAQ:NWL) during this period was Richard S. Pzena’s Pzena Investment Management which owns a $495 million stake in Newell Brands Inc (NASDAQ:NWL).
4. Ulta Beauty, Inc. (NASDAQ:ULTA)
Number of Hedge Fund Holders: 44
Ulta Beauty, Inc. (NASDAQ:ULTA), previously known as Ulta Salon, is an American chain of beauty stores that offers a wide range of cosmetics, fragrances, skincare, and hair care products. In addition to retailing both mass-market and prestige brands, Ulta Beauty also provides salon services.
As of the end of the third quarter of 2023, 44 hedge funds out of the 910 funds tracked by Insider Monkey had stakes in Ulta Beauty Inc (NASDAQ:ULTA). The biggest stakeholder of Ulta Beauty Inc (NASDAQ:ULTA) is Anand Parekh’s Alyeska Investment Group which owns a $191 million stake in Ulta Beauty Inc (NASDAQ:ULTA).
Here is what Carillon Eagle Mid Cap Growth Fund has to say about Ulta Beauty, Inc. (NASDAQ:ULTA) in its Q2 2023 investor letter:
“Ulta Beauty operates a chain of beauty stores. The stock underperformed after the company lowered its margin outlook as it continued to fight higher inventory shrink and other costs. Meanwhile, demand and transaction growth remain strong.”
3. The Estée Lauder Companies Inc. (NYSE:EL)
Number of Hedge Fund Holders: 45
The Estée Lauder Companies Inc. (NYSE:EL) is a renowned American multinational cosmetics company, serving as a manufacturer and marketer of makeup, skincare, fragrance, and hair care products. With a global presence, the company distributes its products in approximately 150 countries and territories under various brand names, including Estée Lauder, Aramis, and Clinique, among others.
On November 1, The Estée Lauder Companies Inc. (NYSE:EL) announced its financial results for Q3 2023. Despite a 10% year-over-year decline in revenues to $3.5 billion, the company reported a net income of $36 million. Notably, it generated a normalized EPS of $0.11, surpassing consensus estimates by $0.31.
As of Q3 2023, a total of 45 hedge funds out of the 910 funds tracked by Insider Monkey reported holding stakes in The Estee Lauder Companies Inc (NYSE:EL).
In the third quarter investor letter, Madison Investments, an investment advisor, mentioned The Estée Lauder Companies Inc. (NYSE:EL). Here is what the firm said:
“NextEra, The Estée Lauder Companies Inc. (NYSE:EL), Target, Oracle, and TE Connectivity were the largest detractors. Estee Lauder has seen a steep decline in its travel retail business in both China and Korea. We expect the travel retail business to begin to recover as we move into 2024.”
2. Walmart Inc. (NYSE:WMT)
Number of Hedge Fund Holders: 68
Walmart Inc. (NYSE:WMT), a prominent American retail giant headquartered in Bentonville, Arkansas, is renowned for its expansive network of hypermarkets, discount department stores, and strategically positioned grocery outlets across the United States. The company offers a diverse range of beauty products both online and in-store, including various hair care brands.
With an impressive track record of dividend increases spanning five decades, Walmart Inc. (NYSE:WMT) has maintained a remarkable streak for 50 years. As of February 2, the company offers a quarterly dividend of $0.57 per share, resulting in a dividend yield of 1.34%.
In the third quarter of 2023, Walmart Inc. (NYSE:WMT) garnered significant attention from hedge funds, with 80 hedge funds establishing positions in the company, according to Insider Monkey’s database. The collective holdings of these hedge funds were valued at over $5.94 billion. Notably, Ken Fisher’s Fisher Asset Management emerged as the largest shareholder, boasting holdings valued at approximately $1.45 billion.
1. The Procter & Gamble Company (NYSE:PG)
Number Of Hedge Fund Holders: 75
Established in 1837 by William Procter and James Gamble, The Procter & Gamble Company (NYSE:PG) is a global consumer goods corporation headquartered in Cincinnati, Ohio. The company is renowned for its extensive range of branded consumer packaged goods, distributed globally across segments that include Beauty, Grooming, Health Care, Fabric & Home Care, and Baby, Feminine & Family Care.
Currently, The Procter & Gamble Company (NYSE:PG) offers a quarterly dividend of $0.94 per share, resulting in a yield of 2.38% as of February 2. With a remarkable track record of 67 consecutive years of dividend increases, the company stands as a prominent dividend aristocrat.
According to Insider Monkey’s data for the third quarter, 75 hedge funds exhibited a positive stance on The Procter & Gamble Company (NYSE: PG), marking a slight uptick from the 74 funds in the preceding quarter.
Disclosure: None. You can also take a look at 13 Most Profitable Real Estate Stocks Now and Top 20 Drug Companies in the US by Revenue.
Insider Monkey focuses on uncovering the best investment ideas of hedge funds and investors. Please subscribe to our daily free newsletter to get the latest investment ideas from hedge funds’ investor letters by entering your email address below.
