| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 95 | 8.3x | 17.8x | Top tier | |
Growth | 34 | 1.1% | 7.1% | Bottom tier | |
Quality | 84 | 10.7% | 4.5% | Top tier | |
Safety | 62 | 3.1x | 2.6x | Around median | |
Capital Return | 69 | — | 2.12% | Top tier | |
Momentum | 66 | 18.9% | 2.9% | Top tier | |
Sentiment | 37 | 4 | 3 | Bottom tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Sally Beauty Holdings operates through two main segments in the distribution of beauty and hair care products. The Sally Beauty segment serves consumers through stores and e-commerce, while the BSG segment distributes products to salons and beauty professionals in the United States and Canada; the two segments generated sales of approximately $539 million and $397 million, respectively, in fiscal Q3 2026. The company relies on categories such as hair color, hair care, nails, and fragrances, alongside owned brands and national brands, while expanding its assortment through Yellow, NatureLab. Tokyo, Virtue Labs, milk_shake, and others.
In fiscal Q3 2026, revenue was $935.5 million, gross profit was $490.2 million, net income was $54.1 million, and earnings per share were $0.55. Adjusted gross margin expanded by 40 basis points to 52.4%, and adjusted operating income reached $87 million; adjusted earnings per share also increased 8% year over year, despite roughly flat comparable sales and operating 39 fewer stores.
The segment mix showed a clear divergence in fiscal Q3 2026: Sally Beauty sales grew 2.2% and its operating profit increased 7.3%, with comparable sales growth of 1.6% and an operating margin of 16.6%. In contrast, BSG sales declined 2.4% to $397 million, its comparable sales fell 2.1%, and its operating margin decreased 20 basis points to 12.3%. For the twelve months ended in 2026, the company reported revenue of $3.7 billion, gross profit of $1.9 billion, and net income of $192.3 million.
Automated analysis for informational purposes only — not investment advice.
The analyst consensus on SBH stock is neutral, with an average price target of $16.17 and a wide range from $13 to $20; the average is below the 52-week high of $17.92, while the highest target exceeds that high. No published price-to-earnings ratio is available in the data, so the stock's valuation rests on improving profitability and cash flow versus flat sales, weakness in BSG and hair care, and the wide divergence among analyst targets.
Figures in the text are as of 2026-09-01; the live price is shown at the top of the page.
Revenue was $935.5 million, gross profit was $490.2 million, and net income was $54.1 million in fiscal Q3 2026. Adjusted earnings per share were $0.55, up 8% year over year and above the analyst estimate of $0.53. Adjusted operating income was $87 million, and adjusted gross margin expanded by 40 basis points to 52.4%. Revenue was 0.07% below expectations, but increased slightly from $933.31 million in the comparable period.
The Sally Beauty segment generated revenue of $539 million in fiscal Q3 2026, up 2.2%, while its operating profit increased 7.3%. Comparable sales grew 1.6%, and its operating margin reached 16.6%, with e-commerce growth of 20% to $52 million. In contrast, BSG revenue declined 2.4% to $397 million, while its comparable sales fell 2.1% and its operating margin decreased to 12.3%. Strength in hair color and nails at BSG partially offset weakness in hair care and a 3.2% decline in transactions.
Global e-commerce increased 11% in fiscal Q3 2026, marking the fourth consecutive quarter of double-digit growth. Sally e-commerce grew 20% to $52 million and reached 10% of segment sales, while increasing 28% in the United States and Canada. The average order value on the Sally app increased 6%, and in-store pickup accounted for the majority of app order volume. At BSG, e-commerce grew 4% to $58 million, representing 15% of segment sales.
The company completed 33 store remodels through the end of July 2026 and planned to add 17 remodels by the end of September 2026. This would bring the total to 80 locations under the Sally Ignited initiative, while these locations remain a small part of the overall sales base. Management stated that sales growth at remodeled stores is outperforming the rest of the fleet, with improvements in traffic, dwell time, unit count, and average transaction value. Nails and fragrances were among the strongest-performing categories at these locations.
Management expects consolidated revenue of between $3.725 billion and $3.733 billion in fiscal 2026, including an approximately 30-basis-point positive currency impact. It also expects comparable sales growth of approximately 0.5% and adjusted operating income of between $329 million and $335 million. The adjusted earnings-per-share range was narrowed to $2.04–$2.08 from the previous range of $2.02–$2.10. Free cash flow guidance remained at approximately $200 million and capital expenditures at approximately $100 million, with 50% of free cash flow allocated to share repurchases.
The main operating risks are the 2.4% decline in BSG sales and the 2.1% decrease in its comparable sales in fiscal Q3 2026. Hair care also declined 6% at Sally and 5% at BSG, and management has not yet published early sell-through metrics for the hair care assortment reset. Greater reliance on promotions and customer price sensitivity add potential pressure, particularly in styling tools and hair care, with some lower-income consumers potentially shifting to mass-market alternatives. The neutral analyst consensus and wide range of targets between $13 and $20 indicate considerable valuation uncertainty.
