Core Insights - Sally Beauty Holdings, Inc. is expected to report a decline in both revenue and earnings for the fourth quarter of fiscal 2025, with revenue estimated at $933 million, reflecting a decrease of 0.2% year-over-year [1] - The earnings consensus estimate remains stable at 49 cents per share, indicating a 2% decline compared to the same quarter last year [2] Economic Environment - The company is facing macroeconomic challenges that are impacting discretionary spending, particularly among value-conscious consumers who are becoming more selective in their purchasing behavior [3] - Cautious consumer behavior and uneven performance across categories are likely to constrain overall sales momentum in the fiscal fourth quarter [3] Profitability and Costs - Sally Beauty is experiencing profitability pressures due to planned cost increases, with management indicating a modest decline in adjusted operating margin for the fiscal fourth quarter [4] - Increased marketing investments to support the Sally brand refresh in Orlando are contributing to these pressures [4] Strategic Initiatives - The company is making progress with core strategic initiatives aimed at driving sustainable, long-term growth, including deepening customer connections and expanding high-margin owned brands [5] - Efforts to foster innovation and improve operational efficiency are designed to provide a cushion against current headwinds [5] Earnings Prediction - Current models do not predict an earnings beat for Sally Beauty, as it holds a Zacks Rank of 3 and an Earnings ESP of -1.03% [6]

Analysts on Wall Street project that Sally Beauty (SBH) will announce quarterly earnings of $0.49 per share in its forthcoming report, representing a decline of 2% year over year. Revenues are projected to reach $933 million, declining 0.2% from the same quarter last year.The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This represents how the covering analysts, as a whole, have reassessed their initial estimates during this timeframe.Prior to a company's earnings ann ...

Company Overview - Sally Beauty (SBH) is expected to report a year-over-year decline in earnings due to lower revenues for the quarter ended September 2025, with earnings projected at $0.49 per share, reflecting a -2% change, and revenues expected to be $933 million, down 0.2% from the previous year [1][3]. Earnings Expectations - The upcoming earnings report is scheduled for November 13, and the stock may experience upward movement if the reported numbers exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has remained unchanged over the last 30 days, indicating that analysts have not significantly altered their outlook for the company [4]. Earnings Surprise Prediction - The Most Accurate Estimate for Sally Beauty is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -1.03%, suggesting a bearish sentiment among analysts regarding the company's earnings prospects [11]. - Despite the negative Earnings ESP, the stock holds a Zacks Rank of 3, making it challenging to predict a definitive earnings beat [11]. Historical Performance - In the last reported quarter, Sally Beauty exceeded the expected earnings of $0.42 per share by delivering $0.51, resulting in a surprise of +21.43% [12]. - Over the past four quarters, the company has beaten consensus EPS estimates three times, indicating some level of reliability in surpassing expectations [13]. Market Context - The broader industry context includes MarineMax (HZO), which is expected to report a loss of $0.15 per share for the same quarter, reflecting a significant year-over-year decline of -162.5%, with revenues projected at $535.33 million, down 4.9% [17][18].

Core Insights - Sally Beauty is launching its "Holiday Beauty at Home" campaign to provide consumers with affordable beauty solutions for hairstyles and nails at home, emphasizing expert advice and deals throughout the holiday season [1][4][5] Campaign Details - The campaign features a comprehensive shopping guide with expert tips and influencer recommendations, including tutorials on styling natural hair and creating trendy nail looks [3][5] - Early Black Friday deals began in November, allowing consumers to save on popular beauty products leading up to and through December [4] Influencer and Trend Engagement - Sally Beauty collaborates with top influencers to provide exclusive product recommendations and styling tips, tapping into popular trends such as Coffee Aesthetic and Dark Feminine Energy [5][6] - The retailer has created shoppable mood boards to help consumers achieve these trends at home [5] Partnership and Promotion - Sally Beauty is the official brand partner for Brandy & Monica's "The Boy is Mine" U.S. Tour, promoting holiday beauty inspiration through concert stops and digital campaigns [6] Product Expansion - The company is expanding its product offerings to include trending fragrance brands, launching online throughout November [9]

Accessibility StatementSkip Navigation The specialty beauty retailer appointed Creative Media Marketing (CMM PR) to lead its communication strategy and public relations efforts. DENTON, Texas, Nov. 3, 2025 /PRNewswire/ -- Sally Beauty, the consumer retail division of parent company Sally Beauty Holdings, Inc. (NYSE: SBH), is the industry-leading destination for professional-quality hair color, hair care, and nails. The retailer is gearing up for a transformative year ahead as it strengthens its customer foc ...

Core Points - Sally Beauty Holdings, Inc. will host a conference call and webcast on November 13, 2025, at 7:30 a.m. Central Time to discuss its fourth quarter and full year financial results [1] - A press release announcing the fourth quarter and full year financial results is expected to be available on November 13, 2025, before the U.S. financial markets open [1]

Core Insights - Global equity markets experienced broad positive returns in Q3 2025, driven by resilient corporate earnings, enthusiasm for AI, and the U.S. Federal Reserve's first interest rate cut of the year [3][21] - Emerging markets, particularly China, led the gains, supported by a U.S. trade truce and strength in the tech sector [3][4] - The Polaris Global Equity Composite gained 5.04% (net of fees) for the quarter, underperforming the MSCI World Index, which returned 7.36% [5][6] Market Performance - Developed markets saw weaker currencies benefiting export-oriented indices, with Japan's TOPIX Index up 11.0% and the U.K.'s FTSE All-Share Index up 6.9% [4] - The U.S. market, represented by the S&P 500 Index, gained over 8%, primarily due to tech and communication stocks [4] - France and Germany underperformed due to geopolitical and fiscal concerns, with tepid growth projections under new U.S. trade policy [4] Sector Analysis - The healthcare sector was the best performer, with notable gains from pharmaceutical stocks, while financials, consumer discretionary, and IT also contributed positively [5][6] - Health insurers faced challenges, with UnitedHealth Group and CVS Health posting over 10% returns, while Elevance Health's shares dropped sharply due to profit guidance cuts [7] - In IT, Samsung Electronics excelled with strong performance in HBM technology and a significant deal with Tesla for AI chip manufacturing [11] Company Highlights - United Therapeutics Corp. was a top contributor to portfolio performance, driven by positive clinical trial results for its drug Tyvaso, potentially adding $4-5 billion in peak sales [6] - AbbVie, Inc. expects high single-digit revenue growth through 2029, with flagship drugs projected to exceed $31 billion in sales by 2027 [6] - The Carlyle Group Inc. outperformed in the financial sector, up over 20% due to strong fee-based credit and secondaries business [8] Investment Strategy - The current economic environment is characterized by a "two-speed" economy, with a concentrated AI-driven boom amidst subdued growth in other sectors [21][22] - Financials are seen as attractive due to stable net interest margins and loan growth, while defensives like consumer staples and healthcare are expected to perform well [22] - Opportunities in economically-sensitive sectors are being explored, with a focus on industrials benefiting from AI integration and supply chain modernization [22][23]

Core Viewpoint - Sally Beauty (SBH) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive shift in earnings estimates which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with stock price movements, particularly due to institutional investors adjusting their valuations based on these estimates [3][5]. - An increase in earnings estimates typically leads to higher fair value for a stock, prompting institutional investors to buy or sell, thus affecting stock prices [3]. Business Outlook - The upgrade in ratings for Sally Beauty suggests an improvement in the company's underlying business, which should encourage investors to drive the stock price higher [4]. - Analysts have raised their earnings estimates for Sally Beauty, with the Zacks Consensus Estimate for the fiscal year ending September 2025 projected at $1.84 per share, showing a 5% increase over the past three months [7]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [6]. - Only the top 5% of Zacks-covered stocks receive a "Strong Buy" rating, indicating superior earnings estimate revisions, which positions Sally Beauty favorably for potential market-beating returns [8][9].

Core Insights - The Retail–Miscellaneous industry demonstrates resilience due to diversified product portfolios and adaptive business models, benefiting from value-driven and lifestyle-oriented demand [1][2] - Companies are focusing on enhancing omnichannel platforms, expanding private-label offerings, and improving digital engagement to meet consumer preferences for quality and convenience [1][2] - The industry is leveraging data analytics and loyalty programs to boost personalization and customer retention, with a positive outlook for retailers with balanced assortments and operational agility [2][4] Industry Overview - The Zacks Retail–Miscellaneous industry includes a variety of retailers, such as those in sporting goods, beauty products, and specialty items, with profitability reliant on balanced pricing strategies and efficient supply chain management [3] - The industry is currently ranked 29 in the Zacks Industry Rank, placing it in the top 12% of over 250 Zacks industries, indicating encouraging near-term prospects [8][9] Key Trends - U.S. retail sales increased by 0.6% in August, supported by recent Federal Reserve interest rate cuts, which have lowered borrowing costs and enhanced consumer spending flexibility [4] - Holiday retail sales are projected to rise between 2.9% and 3.4% during the November-to-January period, creating opportunities for stronger sales and revenue growth [4] - Companies are focusing on product diversification, digital engagement, and pricing efficiency to drive growth, with targeted marketing strategies enhancing brand visibility [5] Digital Transformation - Industry players are investing in digital platforms and optimizing supply chains to adapt to evolving consumer shopping patterns, enhancing convenience through expanded delivery options [6] - Retailers are modernizing store formats and checkout systems to maintain relevance in brick-and-mortar settings while deepening investments in technology for long-term growth [6] Margin Pressures - Competitive pressures related to pricing and product breadth are leading to elevated expenses, prompting companies to implement cost-mitigation strategies to protect profitability [7] - Retailers are streamlining operations and optimizing supply networks to address margin pressures stemming from higher labor and marketing costs [7] Stock Performance and Valuation - The Zacks Retail–Miscellaneous industry has underperformed the broader Retail–Wholesale sector and the S&P 500 over the past year, with a 6.7% increase compared to 18.3% for the S&P 500 [11] - The industry is currently trading at a forward 12-month price-to-earnings (P/E) ratio of 18.13X, lower than the S&P 500's 23.65X and the sector's 24.58X [14] Notable Companies - **Arhaus, Inc. (ARHS)**: Demonstrates brand strength and operational excellence, with a projected revenue growth of 6.9% for the current financial year [16][17] - **Petco Health and Wellness Company, Inc. (WOOF)**: Undergoing a transformation strategy with a projected EPS growth of 250% for the current financial year [20][21] - **Sally Beauty Holdings, Inc. (SBH)**: Gaining traction as a modern specialty beauty retailer, with an EPS growth estimate of 8.9% for the current financial year [24][25] - **Ulta Beauty, Inc. (ULTA)**: Reflects strong momentum with a projected revenue growth of 6.8% for the current financial year [28][29]

Group 1 - Sally Beauty Holdings, Inc. (NYSE:SBH) is recognized as one of the best cheap rising stocks to invest in currently, with Canaccord Genuity maintaining a Buy rating and increasing the price target from $15 to $19 [1] - Canaccord analysts noted that Sally Beauty has made progress in its three main goals: increasing client centricity, fostering innovation, and enhancing operational capabilities and efficiency [2] - The company has identified growth opportunities through new store formats like Happy Beauty Co., distribution opportunities to aestheticians, and expanding professional distribution [2] Group 2 - Sally Beauty operates as a global specialty retailer focusing on professional beauty products, divided into two segments: Beauty Systems Group (BSG) and Sally Beauty Supply [3]