Sally Beauty Holdings, Inc. (SBH): From Top to Bottom

Sally Beauty Holdings, Inc. (SBH) is an interesting player in the Services space, with a focus on Specialty Retail, Other. The stock has been active on the tape, currently trading at $20.01, down from yesterday’s close by -1.28%. Given the stock’s recent action, it seemed like a good time to take a closer look at the company’s recent data.

Fundamental Analysis

Does this stock stack up well when compared to its peers in the industry space? Let’s take a look. Sally Beauty Holdings, Inc. (SBH) currently trades with a market capitalization of $2.87 Billion. That value represents a market adjusting for revenues that have been growing by 0.16 % on a quarterly year/year basis as of the company’s last quarterly report.

The balance sheet health of any company plays a key role in its ability to meet its obligations and maintain the faith of its investment base. For SBH, the company currently has $94.41 Million of cash on the books, which is offset by $678,000 current liabilities. You can get a sense of how sustainable that is by a levered free cash flow of $234.22 Million over the past twelve months. Generally speaking, earnings are expected to grow in coming quarters. Analysts are forecasting earnings of $0.42 on a per share basis this quarter. Perhaps, that suggests something about why 1.17% of the outstanding share supply is held by institutional investors.

Technical Analysis

As most professionals know, technical analysis can offer critical insights into what smart money and insiders think about a stock’s prospects going forward. Looking at the stock’s movement on the chart, Sally Beauty Holdings, Inc. recorded a 52-week high of $32.93. It is now trading 12.92% off that level. The stock is trading $22.58 its 50-day moving average by 2.57%. The stock carved out a 52-week low down at $19.86.

In recent action, Sally Beauty Holdings, Inc. (SBH) has made a move of -10.87% over the past month, which has come on Strong relative transaction volume. Over the trailing year, the stock is underperforming the S&P 500 by 51.41, and it’s gotten there by action that has been less volatile on a day-to-day basis than most other stocks on the exchange. In terms of the mechanics underlying that movement, traders will want to note that the stock is trading on a float of 11.89% with $141.92 Million sitting short, betting on future declines. That suggests something of the likelihood of a short squeeze in shares of SBH.

Previous articleHow Does Universal Health Services, Inc. (UHS) Stack Up Right Now?
Next articleBuy or Sell? What Analysts Recommends: Kennametal Inc. (KMT), Popular, Inc. (BPOP)