(FORTUNE Magazine) – In the nearly five years since Andrea Jung took over as CEO at Avon (AVP, $43), she's given the venerable cosmetics peddler quite a makeover. Sales have risen 28.5%--from $5.29 billion in 1999 to $6.8 billion in 2003--and the stock is up 251%. And with a roster of new products and big opportunities abroad, Jung may be just getting started.

Avon is no longer merely your mother's source of inexpensive perfume. The bulk of Avon's sales do still come from independent sales reps, who work on commission using catalogs and parties, but Jung has repositioned the company as a supplier of advanced skin treatments and trendy, high-quality makeup. Last fall Avon launched Mark, a division aimed at young women, complete with a new generation of Avon Ladies. There are already 20,000 Mark reps (average age: 21), and Avon says Mark is on target to hit $35 million to $40 million in sales this year. That would make it the No. 2 "youth trend" cosmetics brand, behind MAC. Another boost to the bottom line is coming from its Anew Clinical facial products, also introduced in 2003. And this fall Avon will relaunch its traditional cosmetics and fragrance lines, complete with new packaging and a splashy ad campaign featuring actress Salma Hayek.

Jung is also making a push for global growth. Avon has a large presence in Russia, where sales jumped 70% last year, to $241 million. And in China, where its products are sold from storefronts (more than 5,000 of them), Avon's business has a chance to expand dramatically: In 2005 the government is expected to approve direct selling, allowing the company to unleash an army of Avon Ladies on the People's Republic. Shares of Avon aren't cheap: they trade at 25 times estimated 2004 earnings, well above the market's average of 19.5. But Merrill Lynch analyst Chris Ferrara expects the company to average 15% annual earnings growth in coming years. If it manages that feat, today's share price will look like a bargain.

--Kate Bonamici