TD Cowen Forecasts Strong Price Appreciation for Sally Beauty (NYSE:SBH) Stock

Sally Beauty (NYSE:SBH) had its target price increased by research analysts at TD Cowen from $17.00 to $18.00 in a research note issued to investors on Wednesday, Marketbeat Ratings reports. The brokerage currently has a “buy” rating on the specialty retailer’s stock. TD Cowen’s price objective indicates a potential upside of 12.08% from the company’s previous close.

SBH has been the topic of a number of other research reports. Jefferies Financial Group reissued a “hold” rating and set a $16.00 price objective on shares of Sally Beauty in a report on Wednesday, January 14th. Raymond James Financial raised Sally Beauty from a “market perform” rating to an “outperform” rating and set a $19.00 price target on the stock in a research note on Wednesday. Wall Street Zen upgraded Sally Beauty from a “hold” rating to a “buy” rating in a report on Saturday, October 11th. Morgan Stanley reaffirmed an “underweight” rating and set a $14.00 price objective on shares of Sally Beauty in a report on Thursday, January 15th. Finally, Zacks Research lowered Sally Beauty from a “strong-buy” rating to a “hold” rating in a report on Tuesday, October 21st. Three equities research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, Sally Beauty presently has a consensus rating of “Hold” and an average target price of $16.08.

Sally Beauty Stock Performance

NYSE SBH opened at $16.06 on Wednesday. The company has a current ratio of 2.26, a quick ratio of 0.54 and a debt-to-equity ratio of 1.09. Sally Beauty has a 12-month low of $7.54 and a 12-month high of $17.92. The stock has a market capitalization of $1.57 billion, a price-to-earnings ratio of 8.50 and a beta of 1.12. The business’s 50 day moving average is $15.28 and its two-hundred day moving average is $14.11.

Sally Beauty (NYSE:SBH) last released its quarterly earnings data on Thursday, November 13th. The specialty retailer reported $0.55 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.49 by $0.06. The firm had revenue of $947.08 million during the quarter, compared to analysts’ expectations of $932.88 million. Sally Beauty had a return on equity of 27.07% and a net margin of 5.29%.Sally Beauty’s revenue was up 1.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.50 earnings per share. Sally Beauty has set its FY 2026 guidance at 2.090-2.090 EPS and its Q1 2026 guidance at 0.430-0.470 EPS. Research analysts expect that Sally Beauty will post 1.81 EPS for the current year.

Insiders Place Their Bets

In other Sally Beauty news, SVP Scott C. Sherman sold 15,000 shares of the stock in a transaction on Monday, December 1st. The stock was sold at an average price of $16.27, for a total transaction of $244,050.00. Following the sale, the senior vice president owned 57,585 shares in the company, valued at approximately $936,907.95. This represents a 20.67% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CAO Kim Mcintosh sold 5,900 shares of the business’s stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $15.71, for a total value of $92,689.00. Following the completion of the transaction, the chief accounting officer directly owned 21,295 shares of the company’s stock, valued at approximately $334,544.45. This trade represents a 21.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 2.00% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Hillsdale Investment Management Inc. grew its position in shares of Sally Beauty by 52.9% in the second quarter. Hillsdale Investment Management Inc. now owns 482,576 shares of the specialty retailer’s stock valued at $4,469,000 after purchasing an additional 166,900 shares during the period. Texas Permanent School Fund Corp lifted its position in Sally Beauty by 158.1% during the second quarter. Texas Permanent School Fund Corp now owns 146,344 shares of the specialty retailer’s stock worth $1,355,000 after buying an additional 89,634 shares during the period. CSM Advisors LLC acquired a new stake in Sally Beauty in the 2nd quarter worth about $4,347,000. Dynamic Technology Lab Private Ltd purchased a new stake in Sally Beauty in the 2nd quarter valued at about $515,000. Finally, Janney Montgomery Scott LLC purchased a new stake in Sally Beauty in the 2nd quarter valued at about $344,000.

About Sally Beauty

Sally Beauty Holdings, Inc is a leading global specialty retailer and distributor of professional beauty supplies, serving both retail customers and salon professionals. The company operates two primary channels: Sally Beauty Supply, which offers a broad assortment of hair color, hair care, styling, and skincare products; and Beauty Systems Group (BSG), which provides salon-quality products and supplies to professional stylists and salon owners. With a focus on catering to diverse customer needs, Sally Beauty offers well-known brands alongside private label lines, positioning itself as a one-stop source for beauty professionals and enthusiasts alike.

Founded in 1964 and headquartered in Denton, Texas, Sally Beauty has grown through a combination of organic expansion and strategic acquisitions.