(SBH) Sally Beauty Holdings - Overview
Sector: Consumer Cyclical | Industry: Specialty Retail | Exchange: NYSE (USA) | Market Cap: 1.318m USD | Total Return: 59.7% in 12m
Avg Trading Vol: 20.9M USD
Peers RS (IBD): 63.3
EPS Trend: -9.5%
Qual. Beats: 0
Rev. Trend: -16.5%
Qual. Beats: 0
Sally Beauty Holdings (NYSE: SBH) operates as a specialty retailer and distributor of professional beauty supplies through two distinct segments: Sally Beauty Supply, which serves retail customers, salons, and professionals with a broad assortment of hair, skin, nail, and styling products-including Wella and L’Oréal brands-and Beauty Systems Group, which focuses on professional-only sales to salons and licensed beauty professionals via company-owned stores, franchised Armstrong McCall locations, e-commerce platforms, and a dedicated sales force, offering brands such as Paul Mitchell and Wella across North America, Europe, and Latin America.
In FY 2023 the company generated $2.21 billion in revenue, posting a 2 % same-store sales increase and an operating margin of 6.5 %; e-commerce now accounts for roughly 20 % of total sales, and diluted earnings per share rose to $0.73, reflecting modest profit growth despite a challenging consumer discretionary environment.
Key drivers for SBH include the continued shift toward at-home professional hair-coloring, which fuels demand for premium salon-grade products, and a broader beauty industry outlook that projects a 5 % CAGR through 2027, supported by resilient consumer spending on personal care and incremental growth in emerging markets such as Mexico and Germany.
For a deeper quantitative view, you might explore ValueRay’s analysis of SBH.
- Professional beauty product sales to salons
- Consumer demand for DIY beauty products
- E-commerce growth in beauty supplies
- Supply chain costs for Wella and LOreal products
| Net Income: 180.4m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 2.50 > 1.0 |
| NWC/Revenue: 20.06% < 20% (prev 18.75%; Δ 1.31% < -1%) |
| CFO/TA 0.12 > 3% & CFO 334.6m > Net Income 180.4m |
| Net Debt (1.38b) to EBITDA (403.9m): 3.43 < 3 |
| Current Ratio: 2.37 > 1.5 & < 3 |
| Outstanding Shares: last quarter (100.8m) vs 12m ago -4.01% < -2% |
| Gross Margin: 51.72% > 18% (prev 0.51%; Δ 5.12k% > 0.5%) |
| Asset Turnover: 133.3% > 50% (prev 137.4%; Δ -4.07% > 0%) |
| Interest Coverage Ratio: 4.97 > 6 (EBITDA TTM 403.9m / Interest Expense TTM 61.6m) |
| A: 0.26 (Total Current Assets 1.29b - Total Current Liabilities 542.2m) / Total Assets 2.85b |
| B: 0.32 (Retained Earnings 923.3m / Total Assets 2.85b) |
| C: 0.11 (EBIT TTM 305.9m / Avg Total Assets 2.78b) |
| D: 0.41 (Book Value of Equity 823.6m / Total Liabilities 2.03b) |
| Altman-Z'' Score: 3.93 = AA |
| DSRI: 1.24 (Receivables 104.3m/84.6m, Revenue 3.71b/3.72b) |
| GMI: 0.99 (GM 51.72% / 51.03%) |
| AQI: 0.74 (AQ_t 0.17 / AQ_t-1 0.23) |
| SGI: 1.00 (Revenue 3.71b / 3.72b) |
| TATA: -0.05 (NI 180.4m - CFO 334.6m) / TA 2.85b) |
| Beneish M-Score: -3.06 (Cap -4..+1) = AA |
Over the past week, the price has changed by -0.08%, over one month by -14.53%, over three months by -10.92% and over the past year by +59.74%.
- StrongBuy: 2
- Buy: 0
- Hold: 2
- Sell: 0
- StrongSell: 1
| Wallstreet Target Price | 18.8 | 35.7% |
| Analysts Target Price | 18.8 | 35.7% |
P/E Forward = 7.2202
P/S = 0.3555
P/B = 1.6503
P/EG = 0.998
Revenue TTM = 3.71b USD
EBIT TTM = 305.9m USD
EBITDA TTM = 403.9m USD
Long Term Debt = 842.5m USD (from longTermDebt, last quarter)
Short Term Debt = 161.1m USD (from shortTermDebt, last quarter)
Debt = 1.54b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.38b USD (from netDebt column, last quarter)
Enterprise Value = 2.70b USD (1.32b + Debt 1.54b - CCE 157.2m)
Interest Coverage Ratio = 4.97 (Ebit TTM 305.9m / Interest Expense TTM 61.6m)
EV/FCF = 12.46x (Enterprise Value 2.70b / FCF TTM 216.8m)
FCF Yield = 8.02% (FCF TTM 216.8m / Enterprise Value 2.70b)
FCF Margin = 5.85% (FCF TTM 216.8m / Revenue TTM 3.71b)
Net Margin = 4.87% (Net Income TTM 180.4m / Revenue TTM 3.71b)
Gross Margin = 51.72% ((Revenue TTM 3.71b - Cost of Revenue TTM 1.79b) / Revenue TTM)
Gross Margin QoQ = 51.24% (prev 52.17%)
Tobins Q-Ratio = 0.95 (Enterprise Value 2.70b / Total Assets 2.85b)
Interest Expense / Debt = 0.95% (Interest Expense 14.6m / Debt 1.54b)
Taxrate = 25.70% (15.8m / 61.3m)
NOPAT = 227.3m (EBIT 305.9m * (1 - 25.70%))
Current Ratio = 2.37 (Total Current Assets 1.29b / Total Current Liabilities 542.2m)
Debt / Equity = 1.87 (Debt 1.54b / totalStockholderEquity, last quarter 823.6m)
Debt / EBITDA = 3.43 (Net Debt 1.38b / EBITDA 403.9m)
Debt / FCF = 6.39 (Net Debt 1.38b / FCF TTM 216.8m)
Total Stockholder Equity = 770.1m (last 4 quarters mean from totalStockholderEquity)
RoA = 6.49% (Net Income 180.4m / Total Assets 2.85b)
RoE = 23.43% (Net Income TTM 180.4m / Total Stockholder Equity 770.1m)
RoCE = 18.97% (EBIT 305.9m / Capital Employed (Equity 770.1m + L.T.Debt 842.5m))
RoIC = 13.80% (NOPAT 227.3m / Invested Capital 1.65b)
WACC = 5.90% (E(1.32b)/V(2.86b) * Re(11.98%) + D(1.54b)/V(2.86b) * Rd(0.95%) * (1-Tc(0.26)))
Discount Rate = 11.98% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -3.73%
[DCF] Terminal Value 87.40% ; FCFF base≈185.4m ; Y1≈207.9m ; Y5≈277.5m
[DCF] Fair Price = 69.69 (EV 8.14b - Net Debt 1.38b = Equity 6.76b / Shares 97.0m; r=6.0% [WACC]; 5y FCF grow 14.09% → 3.0% )
EPS Correlation: -9.52 | EPS CAGR: 0.56% | SUE: 0.40 | # QB: 0
Revenue Correlation: -16.52 | Revenue CAGR: 0.92% | SUE: 0.29 | # QB: 0
EPS next Quarter (2026-06-30): EPS=0.58 | Chg7d=+0.000 | Chg30d=+0.012 | Revisions Net=+2 | Analysts=5
EPS current Year (2026-09-30): EPS=2.07 | Chg7d=+0.000 | Chg30d=-0.002 | Revisions Net=+2 | Growth EPS=+8.8% | Growth Revenue=+1.2%
EPS next Year (2027-09-30): EPS=2.26 | Chg7d=+0.000 | Chg30d=+0.012 | Revisions Net=+3 | Growth EPS=+9.3% | Growth Revenue=+1.8%
[Analyst] Revisions Ratio: +0.50 (3 Up / 1 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = -1.1% (Discount Rate 12.0% - Earnings Yield 13.1%)
[Growth] Growth Spread = +2.4% (Analyst 1.2% - Implied -1.1%)