Sally Beauty Holdings, Inc. cash flow to debt ratio of 17.58% indicates that the company cannot generate enough cash to cover its debt over time. This level indicates weak financial health.

Sally Beauty Holdings, Inc.'s free cash flow has increased 18.80% from $145.36M last year to $172.69M, signaling increasing performance

Sally Beauty Holdings, Inc.'s debt to equity ratio is 1.74, which means that the company's assets are unhealthy financed, signaling financial risk.

Sally Beauty Holdings, Inc.'s debt has decreased relative to shareholder equity from 2.54 last year to 1.74 today, signaling strengthened financials

Sally Beauty Holdings, Inc. has a net debt to EBITDA ratio of 3.31x, which exceeds the 3.00x threshold, indicating high leverage and potential financial risk

Sally Beauty Holdings, Inc.'s interest coverage ratio of 5.48 indicates that earnings with good margin can cover interest payments on company debt

Sally Beauty Holdings, Inc.'s profit margin has increased (24.92%) in the last year from 4.13% to 5.16%, signaling increasing performance

Sally Beauty Holdings, Inc.'s short-term assets of $1.30B exceed its short-term liabilities of $575.97M

Sally Beauty Holdings, Inc.'s return on assets of 6.67% is higher than the 5.00% threshold, indicating efficient asset utilization

Sally Beauty Holdings, Inc.'s return on equity of 23.11%, is higher than 15.00%, indicating good performance

Sally Beauty Holdings, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation

Sally Beauty Holdings, Inc. had positive net income in 5 out of 5 years, indicating stable and consistent earnings

Sally Beauty Holdings, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures

Sally Beauty Holdings, Inc. has a free cash flow yield of 10.81%, which is above the 2.00% threshold, indicating strong cash generation relative to market value

Sally Beauty Holdings, Inc.'s yearly earnings has increased 27.68% since last year from $153.41M to $195.88M, signaling increasing performance

Sally Beauty Holdings, Inc.'s yearly revenue has decreased 0.42% since last year from $3.72B to $3.70B, signaling decreasing performance

ROIC 9.45% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.

Sally Beauty Holdings, Inc.'s 3-year revenue CAGR of -1.01% is negative, indicating declining revenue over the past 3 years

Sally Beauty Holdings, Inc. had revenue growth in only 1 out of 5 years, indicating inconsistent revenue performance

Sally Beauty Holdings, Inc. had positive ROE in 5 out of 5 years, indicating consistent and reliable returns on equity

Sally Beauty Holdings, Inc. has insufficient data to evaluate this check.

Sally Beauty Holdings, Inc. has an earnings yield of 12.08%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings

Sally Beauty Holdings, Inc. is overvalued relative to its fair value price of 16.09 based on EBITDA multiple model

Sally Beauty Holdings, Inc. has an EV/EBITDA ratio of 7.04x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings

Sally Beauty Holdings, Inc. is undervalued relative to its fair value price of 26.61 based on Earnings Fair Value model

Sally Beauty Holdings, Inc. has a PEG-ratio under 1 which is considered undervalued

Sally Beauty Holdings, Inc. has a price-to-book ratio of 1.83x, which is below the 5.00x threshold, indicating reasonable valuation relative to its book value

Sally Beauty Holdings, Inc. has a price-to-sales ratio of 0.43x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue