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Sally Beauty Holdings, Inc. (SBH)

Retail-Retail Stores, NEC ยท Consumer Discretionary ยท $1.3B

undervalued
Intrinsic Value (Consensus)
$39.84
Current Price
$13.38
Margin of Safety
+197.8%
197.8% Below Intrinsic Value
Value: $40
Price: $13

Valuation Model Estimates

Current Price: $13.38
DCF (Discounted Cash Flow)
$84.44
Graham Number
$18.77
Earnings Power Value
$18.35
Relative Value (P/E)
$37.80
Dividend Discount Model
Not applicable
โ€”
Consensus Value
$39.84

Model Assumptions

Discount Rate
10.3%
Growth Rate
20.0%
Terminal Growth
2.5%
Risk-Free Rate
4.3%

Discount rate derived from CAPM (risk-free rate + beta ร— market risk premium). Growth rate based on trailing earnings growth, capped at 20%.

Health Score

B
69
Profitability
22/25
Strength
15/25
Valuation
22/25
Growth
10/25

Financial Health Signals

Elevated debt โ€” Debt/Equity ratio is 110%
Declining revenue โ€” top line is shrinking
Strong profitability โ€” ROE of 25% (above 20% is excellent)
Strong earnings growth (20% YoY)
High free cash flow yield (13.5%) โ€” generating lots of cash relative to price

Key Financials

EPS (TTM)
$1.89
EPS (Forward)
$2.27
Book Value
$8.28
P/E Ratio
20.0
Forward P/E
16.7
PEG Ratio
โ€”
ROE
24.7%
Debt/Equity
110%
Revenue Growth
-0.4%
Earnings Growth
20.0%
Dividend Yield
N/A
Beta
1.00

Data last updated: 2026-06-16

Source: Yahoo Finance