TD Cowen Cuts Sally Beauty (NYSE:SBH) Price Target to $17.00

Sally Beauty (NYSE:SBH) had its price objective decreased by analysts at TD Cowen from $20.00 to $17.00 in a report released on Tuesday,Benzinga reports. The firm presently has a “buy” rating on the specialty retailer’s stock. TD Cowen’s target price would indicate a potential upside of 37.32% from the stock’s previous close.

Several other brokerages also recently issued reports on SBH. Jefferies Financial Group reaffirmed a “hold” rating and issued a $16.00 price target on shares of Sally Beauty in a report on Wednesday, January 14th. Raymond James Financial raised shares of Sally Beauty from a “market perform” rating to an “outperform” rating and set a $19.00 price target on the stock in a report on Wednesday, January 21st. Canaccord Genuity Group upped their price target on shares of Sally Beauty from $19.00 to $20.00 and gave the company a “buy” rating in a report on Tuesday, February 10th. Morgan Stanley reduced their price target on shares of Sally Beauty from $16.00 to $13.00 and set an “underweight” rating on the stock in a report on Tuesday. Finally, Wall Street Zen raised shares of Sally Beauty from a “hold” rating to a “buy” rating in a report on Tuesday, March 10th. Three equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average target price of $17.00.

Sally Beauty Stock Performance

Shares of Sally Beauty stock traded down $0.60 on Tuesday, reaching $12.38. 640,635 shares of the stock were exchanged, compared to its average volume of 1,596,029. Sally Beauty has a 1-year low of $8.45 and a 1-year high of $17.92. The company has a current ratio of 2.37, a quick ratio of 0.57 and a debt-to-equity ratio of 1.02. The business has a fifty day moving average price of $14.25 and a two-hundred day moving average price of $14.95. The firm has a market capitalization of $1.20 billion, a PE ratio of 7.01 and a beta of 1.07.

Sally Beauty (NYSE:SBH) last issued its quarterly earnings results on Monday, May 11th. The specialty retailer reported $0.44 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.41 by $0.03. The business had revenue of $903.38 million for the quarter, compared to analyst estimates of $900.78 million. Sally Beauty had a net margin of 4.87% and a return on equity of 26.07%. The business’s revenue was up 2.3% compared to the same quarter last year. During the same period in the previous year, the business posted $0.42 earnings per share. Sally Beauty has set its Q3 2026 guidance at 0.520-0.560 EPS. As a group, research analysts anticipate that Sally Beauty will post 2.07 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Sally Beauty

Institutional investors and hedge funds have recently modified their holdings of the company. Bryce Point Capital LLC purchased a new position in shares of Sally Beauty during the third quarter valued at approximately $570,000. SG Americas Securities LLC raised its stake in Sally Beauty by 864.1% during the fourth quarter. SG Americas Securities LLC now owns 83,189 shares of the specialty retailer’s stock worth $1,186,000 after purchasing an additional 74,560 shares during the period. Universal Beteiligungs und Servicegesellschaft mbH raised its stake in Sally Beauty by 45.4% during the fourth quarter. Universal Beteiligungs und Servicegesellschaft mbH now owns 404,212 shares of the specialty retailer’s stock worth $5,771,000 after purchasing an additional 126,286 shares during the period. American Century Companies Inc. raised its stake in Sally Beauty by 174.4% during the third quarter. American Century Companies Inc. now owns 1,660,831 shares of the specialty retailer’s stock worth $27,038,000 after purchasing an additional 1,055,669 shares during the period. Finally, Teacher Retirement System of Texas raised its stake in Sally Beauty by 58.7% during the third quarter. Teacher Retirement System of Texas now owns 578,570 shares of the specialty retailer’s stock worth $9,419,000 after purchasing an additional 214,066 shares during the period.

Key Headlines Impacting Sally Beauty

Here are the key news stories impacting Sally Beauty this week:

• Positive Sentiment: Sally Beauty reported second-quarter EPS of $0.44, ahead of the $0.41 consensus, while revenue of $903.4 million also slightly topped estimates. Sally Beauty Holdings Reports Second Quarter Fiscal 2026 Results
• Positive Sentiment: The company said operating cash flow rose sharply year over year, and gross profit, operating profit, and net income all improved, suggesting solid execution despite a tougher consumer environment. Sally Beauty Holdings Reports Second Quarter Fiscal 2026 Results
• Positive Sentiment: Several articles noted the stock initially gained after the earnings beat and stronger-than-expected results, with some analysts describing the shares as back in a “buy zone.” Sally Beauty shares edge higher after earnings beat and updated outlook
• Neutral Sentiment: The company tightened its full-year outlook and guided third-quarter EPS and revenue below consensus, which helps explain why the market reaction turned negative despite the beat. Sally Beauty Holdings Reports Second Quarter Fiscal 2026 Results
• Negative Sentiment: Management also pointed to more “frugality” in the marketplace, signaling cautious consumer spending that could pressure sales trends and margins ahead. Sally Beauty turns lower after warning on more frugality in the marketplace

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.