Sally Beauty (NYSE:SBH) Releases Quarterly Earnings Results, Beats Estimates By $0.06 EPS

Sally Beauty (NYSE:SBH) reported quarterly earnings of $0.55 per share, surpassing the consensus estimate of $0.49. Revenue reached $0.95 million, exceeding analyst expectations of $932.88 million, marking a 1.3% year-over-year increase. The company updated its FY 2026 EPS guidance to 2.090-2.090 and Q1 2026 EPS guidance to 0.430-0.470. Shares traded down 1.6% to $14.44. Analysts have mixed ratings, with a consensus "Hold" and a target price of $14.00. Insider and institutional activities show increased holdings.

Sally Beauty (NYSE:SBH - Get Free Report) issued its quarterly earnings results on Thursday. The specialty retailer reported $0.55 EPS for the quarter, topping the consensus estimate of $0.49 by $0.06, FiscalAI reports. Sally Beauty had a return on equity of 28.11% and a net margin of 5.26%.The firm had revenue of $0.95 million during the quarter, compared to analysts' expectations of $932.88 million. During the same period in the previous year, the business earned $0.50 earnings per share. The firm's revenue for the quarter was up 1.3% on a year-over-year basis. Sally Beauty updated its FY 2026 guidance to 2.090-2.090 EPS and its Q1 2026 guidance to 0.430-0.470 EPS.

Sally Beauty Trading Down 1.6%

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Shares of SBH stock traded down $0.24 during mid-day trading on Thursday, reaching $14.44. 4,348,812 shares of the stock traded hands, compared to its average volume of 2,158,520. Sally Beauty has a 1-year low of $7.54 and a 1-year high of $17.40. The company has a quick ratio of 0.49, a current ratio of 2.41 and a debt-to-equity ratio of 1.16. The company has a market cap of $1.43 billion, a price-to-earnings ratio of 7.76 and a beta of 1.33. The stock's fifty day simple moving average is $15.11 and its two-hundred day simple moving average is $11.88.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on SBH. Canaccord Genuity Group increased their price target on shares of Sally Beauty from $15.00 to $19.00 and gave the stock a "buy" rating in a research note on Monday, September 15th. Zacks Research cut Sally Beauty from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, October 21st. Cowen reiterated a "buy" rating on shares of Sally Beauty in a research note on Thursday, September 4th. Weiss Ratings reiterated a "hold (c+)" rating on shares of Sally Beauty in a research note on Tuesday, October 14th. Finally, TD Cowen raised their price objective on Sally Beauty from $13.00 to $16.00 and gave the stock a "buy" rating in a research report on Thursday, September 4th. Three investment analysts have rated the stock with a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus target price of $14.00.

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Insider Buying and Selling

In other news, Director Max R. Rangel bought 3,500 shares of the business's stock in a transaction on Thursday, September 4th. The stock was acquired at an average price of $14.07 per share, with a total value of $49,245.00. Following the completion of the purchase, the director directly owned 3,500 shares in the company, valued at $49,245. This represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this hyperlink. 1.56% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Sally Beauty Holdings May Be a Diamond in the Rough

A number of hedge funds and other institutional investors have recently modified their holdings of SBH. Osaic Holdings Inc. grew its stake in Sally Beauty by 1,365.0% in the 2nd quarter. Osaic Holdings Inc. now owns 2,930 shares of the specialty retailer's stock worth $27,000 after acquiring an additional 2,730 shares in the last quarter. Raymond James Financial Inc. purchased a new position in shares of Sally Beauty in the 2nd quarter valued at $34,000. Tower Research Capital LLC TRC grew its holdings in Sally Beauty by 48.3% in the second quarter. Tower Research Capital LLC TRC now owns 13,570 shares of the specialty retailer's stock worth $126,000 after purchasing an additional 4,418 shares during the last quarter. Royal Bank of Canada lifted its holdings in shares of Sally Beauty by 150,390.9% during the 1st quarter. Royal Bank of Canada now owns 33,108 shares of the specialty retailer's stock valued at $299,000 after purchasing an additional 33,086 shares during the last quarter. Finally, Quantinno Capital Management LP acquired a new stake in shares of Sally Beauty in the 2nd quarter worth $327,000.

Sally Beauty Company Profile

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Sally Beauty Holdings, Inc operates as a specialty retailer and distributor of professional beauty supplies. The company operates through two segments, Sally Beauty Supply and Beauty Systems Group. The Sally Beauty Supply segment offers beauty products, including hair color and care products, skin and nail care products, styling tools, and other beauty products for retail customers, salons, and salon professionals.

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