Sally Beauty (NYSE:SBH) Raised to Buy at TD Cowen

TD Cowen upgraded shares of Sally Beauty (NYSE:SBH) from a hold rating to a buy rating in a research report report published on Monday morning, MarketBeat.com reports. The firm currently has $16.00 target price on the specialty retailer’s stock, up from their previous target price of $14.00.

Several other research analysts have also recently weighed in on the stock. DA Davidson boosted their price objective on shares of Sally Beauty from $12.00 to $13.00 and gave the company a “neutral” rating in a report on Friday, November 15th. Morgan Stanley boosted their target price on shares of Sally Beauty from $8.00 to $12.00 and gave the company an “underweight” rating in a research note on Friday, November 15th. Raymond James raised Sally Beauty from an “underperform” rating to a “market perform” rating in a report on Friday, November 15th. Finally, StockNews.com raised Sally Beauty from a “hold” rating to a “buy” rating in a report on Saturday, November 23rd. One investment analyst has rated the stock with a sell rating, two have given a hold rating and three have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, Sally Beauty has a consensus rating of “Hold” and a consensus target price of $13.50.

Sally Beauty Price Performance

Shares of NYSE SBH opened at $14.14 on Monday. The company has a 50 day moving average of $13.10 and a 200 day moving average of $12.03. The company has a quick ratio of 0.45, a current ratio of 2.20 and a debt-to-equity ratio of 1.56. Sally Beauty has a twelve month low of $9.06 and a twelve month high of $14.79. The firm has a market cap of $1.44 billion, a P/E ratio of 9.82 and a beta of 1.53.

Sally Beauty (NYSE:SBH) last announced its quarterly earnings results on Thursday, November 14th. The specialty retailer reported $0.50 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.48 by $0.02. Sally Beauty had a return on equity of 31.37% and a net margin of 4.13%. The firm had revenue of $935.00 million for the quarter, compared to the consensus estimate of $935.88 million. During the same period in the prior year, the company posted $0.42 earnings per share. The company’s quarterly revenue was up 1.5% on a year-over-year basis. As a group, research analysts expect that Sally Beauty will post 1.84 EPS for the current fiscal year.

Insider Activity

In related news, CAO Kim Mcintosh sold 4,300 shares of the business’s stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $14.53, for a total transaction of $62,479.00. Following the completion of the transaction, the chief accounting officer now directly owns 16,685 shares in the company, valued at approximately $242,433.05. The trade was a 20.49 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Scott C. Sherman sold 13,500 shares of the firm’s stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $14.49, for a total transaction of $195,615.00. Following the sale, the insider now owns 42,431 shares in the company, valued at approximately $614,825.19. The trade was a 24.14 % decrease in their position. The disclosure for this sale can be found here. Insiders own 1.36% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Franklin Resources Inc. raised its holdings in Sally Beauty by 5.4% during the third quarter. Franklin Resources Inc. now owns 103,619 shares of the specialty retailer’s stock valued at $1,299,000 after acquiring an additional 5,296 shares during the period. Geode Capital Management LLC raised its stake in Sally Beauty by 1.8% during the 3rd quarter. Geode Capital Management LLC now owns 2,415,875 shares of the specialty retailer’s stock valued at $32,790,000 after purchasing an additional 43,016 shares during the period. Barclays PLC lifted its holdings in Sally Beauty by 36.6% in the 3rd quarter. Barclays PLC now owns 212,159 shares of the specialty retailer’s stock worth $2,878,000 after purchasing an additional 56,879 shares in the last quarter. Quarry LP boosted its stake in Sally Beauty by 369.3% in the 3rd quarter. Quarry LP now owns 2,980 shares of the specialty retailer’s stock worth $40,000 after purchasing an additional 2,345 shares during the period. Finally, Point72 DIFC Ltd purchased a new stake in Sally Beauty during the 3rd quarter valued at approximately $64,000.

About Sally Beauty

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.