Why Did Oppenheimer Downgrade Sally Beauty’s Stock?

Sally Beauty (SBH) received a Hold rating from Oppenheimer analyst Rupesh Parikh today. The company’s shares closed last Wednesday at $20.90, close to its 52-week high of $21.70.

According to TipRanks.com, Parikh is a 5-star analyst with an average return of 13.9% and a 63.2% success rate. Parikh covers the Consumer Goods sector, focusing on stocks such as Bj’s Wholesale Club Holdings, The Estée Lauder Companies, and Albertsons Companies.

Currently, the analyst consensus on Sally Beauty is a Moderate Sell with an average price target of $15.25, implying a -24.7% downside from current levels. In a report issued on February 28, Robert W. Baird also maintained a Hold rating on the stock with a $18.00 price target.

See today’s analyst top recommended stocks >>

Based on Sally Beauty’s latest earnings release for the quarter ending December 31, the company reported a quarterly revenue of $936 million and net profit of $57.19 million. In comparison, last year the company earned revenue of $980 million and had a net profit of $53.22 million.

Based on the recent corporate insider activity of 35 insiders, corporate insider sentiment is positive on the stock. This means that over the past quarter there has been an increase of insiders buying their shares of SBH in relation to earlier this year.

TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.

Sally Beauty Holdings, Inc. is an international retailer and distributor of professional beauty supplies. It operates through the following segments: Sally Beauty Supply and Beauty Systems Group. The Sally Beauty Supply segment is an open-line and exclusive-label distributor of professional beauty supplies to both retail consumers and salon professionals primarily in North America, South America, and Europe. The Beauty Systems Group segment is a full-service beauty supply distributor offering professional brands directly to salons and salon professionals primarily in North America. The company was founded in 1964 and is headquartered in Denton, TX.

Stay Ahead of Everyone Else

Get The Latest Stock News Alerts