People call other people out because of them being insecure of themselves, it puts others down and so it makes the person who called X person out feel better to some extent but never gets rid of their problems so that person attempts to make the "void" better and continue on with calling people out, to help them feel the person's pain.
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People call other people ugly because they are either feel that, that person is ugly or think that by calling someone else ugly makes them popular. In truth the person who says it, doesn't realize that they are saying it because they are jealous of that person or just hate them and can't come up with a better comeback, or that person is insecure of their looks and try to hide behind a brick wall which they put up so that no one see's that they have feelings, and usually they become bullies just so that people will fear them or so that no one will know that they feel.