SBH (Sally Beauty Holdings) ROCE %: 12.49% (As of Mar. 2026)


SBH Sally Beauty Holdings Inc SBH
75 GF Score
Price $14.46
GF Value $12.80
Valuation Modestly Overvalued
! 3 Warning Signs
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What is Sally Beauty Holdings ROCE %?

Sally Beauty Holdings SBH +2.26% 75 ROCE % is 12.49% as of Mar. 2026. GuruFocus rates SBH with a GF Score™ of 75/100 and a GF Value™ of $12.80 (Modestly Overvalued). The stock has 3 warning signs investors should review.

ROCE % measures how well a company generates profits from its capital. It is calculated as EBIT divided by Capital Employed, where Capital Employed is calculated as Total Assets minus Total Current Liabilities. Sally Beauty Holdings's annualized ROCE % for the quarter that ended in Mar. 2026 was 12.49%.

Sally Beauty Holdings  (NYSE:SBH) ROCE % Explanation

ROCE % can be especially useful when comparing the performance of capital-intensive companies. Unlike ROE %, which indicates the profitability of Shareholders Equity, ROCE % also considers long-term debt in Capital Employed. This can be helpful when analyzing companies with significant debt, as the result is neutralized by taking debt into consideration.

Generally speaking, a higher ROCE % indicates a stonger profitability for a company. Moreover, it is important to look at the ratio from a long term perspective. Investors tend to favor companies with stable and rising ROCE % trend over those with volatile ones.

Sally Beauty Holdings ROCE % Related Terms

Sally Beauty Holdings ROCE % Historical Data

* Premium members only.

The historical data trend for Sally Beauty Holdings's ROCE % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Sally Beauty Holdings ROCE % Chart

Sally Beauty Holdings Annual Data
Trend Sep16 Sep17 Sep18 Sep19 Sep20 Sep21 Sep22 Sep23 Sep24 Sep25
ROCE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 18.54 16.51 16.03 13.01 14.58

Sally Beauty Holdings Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
ROCE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.80 14.24 14.16 13.20 12.49
SBH
75GF Score
Sally Beauty Holdings Inc SBH
ROCE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Sally Beauty Holdings ROCE % Calculation

Sally Beauty Holdings's annualized ROCE % for the fiscal year that ended in Sep. 2025 is calculated as:

ROCE %=EBIT/( (Capital Employed+Capital Employed)/ count )
(A: Sep. 2025 )  (A: Sep. 2024 )(A: Sep. 2025 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(A: Sep. 2025 )  (A: Sep. 2024 )(A: Sep. 2025 )
=327.81/( ( (2792.899 - 592.669) + (2871.096 - 575.974) )/ 2 )
=327.81/( (2200.23+2295.122)/ 2 )
=327.81/2247.676
=14.58 %

Sally Beauty Holdings's ROCE % of for the quarter that ended in Mar. 2026 is calculated as:

ROCE %=EBIT (1)/( (Capital Employed+Capital Employed)/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=EBIT/( ( (Total Assets - Total Current Liabilities)+(Total Assets - Total Current Liabilities) )/ count )
(Q: Mar. 2026 )  (Q: Dec. 2025 )(Q: Mar. 2026 )
=287.724/( ( (2850.778 - 542.17) + (2853.29 - 553.485) )/ 2 )
=287.724/( ( 2308.608 + 2299.805 )/ 2 )
=287.724/2304.2065
=12.49 %

(1) Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about ROCE % →
What does a ROCE % of 12.49% mean?
Sally Beauty Holdings (SBH) has a ROCE % of 12.49% as of Mar. 2026.
Is Sally Beauty Holdings' ROCE % too high?
Sally Beauty Holdings' current ROCE % is 12.49%. The Retail - Cyclical industry median ROCE % is 7.58. Sally Beauty Holdings' value of 12.49% is 64.8% above this industry median. Overall, Sally Beauty Holdings has a GF Score™ of 75/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Sally Beauty Holdings' ROCE % compare to EYE and WINA?
Sally Beauty Holdings' ROCE % of 12.49% can be compared against companies in the Retail - Cyclical industry. The industry median ROCE % is 7.58. Sally Beauty Holdings' value of 12.49% is 64.8% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROCE % for a Retail - Cyclical company?
The median ROCE % among Retail - Cyclical companies is 7.58, based on 1,117 companies in the industry. Companies in the top quartile (top 25%) have a ROCE % significantly above this median, while those in the bottom quartile fall well below. However, ROCE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Sally Beauty Holdings's current ROCE % of 12.49% is 64.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROCE % mean?
A high ROCE % can signal that a stock is expensive relative to its fundamentals. For the Retail - Cyclical industry, the median ROCE % is 7.58 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Sally Beauty Holdings's current ROCE % is 12.49%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Sally Beauty Holdings stock overvalued right now?
Based on GuruFocus' analysis, Sally Beauty Holdings (SBH) is currently considered Modestly Overvalued. The stock's GF Value™ is $12.80, compared to a current price of $14.46 — trading 13% above its estimated fair value. The current ROCE % is 12.49% and 64.8% above the Retail - Cyclical industry median of 7.58. Sally Beauty Holdings' overall GF Score™ is 75/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROCE % calculated?
ROCE % is calculated from a company's financial statements. For Sally Beauty Holdings (SBH), the current ROCE % is 12.49% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Sally Beauty Holdings (SBH) Overvalued in 2026?

Based on GuruFocus' analysis, Sally Beauty Holdings stock appears to be overvalued. The current stock price of $14.46 is trading 13% above its estimated GF Value™ of $12.80. GuruFocus considers Sally Beauty Holdings to be Modestly Overvalued.

Key valuation signals for SBH:

  • ROCE %: 12.49%
  • GF Value™: $12.80 vs. price of $14.46 (13% above fair value)
  • GF Score™: 75/100 with 3 warning signs
  • Industry Position: 64.8% above the Retail - Cyclical median

No single metric tells the full story. See the SBH stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Sally Beauty Holdings Business Description

Other Exchanges S7V:Germany
Address 3001 Colorado Boulevard, Denton, TX, USA, 76210
Sally Beauty Holdings Inc is a professional beauty-products retailer based in the United States. The company operates throughout the United States, Puerto Rico, the United Kingdom, Belgium, Canada, Chile, Mexico, Peru, France, Ireland, Spain, Germany, Netherlands, and other geographical regions. The company operates through two business segments: Sally Beauty Supply and Beauty Systems Group. The products offered by the company include hair color and care, hair dryers and hair-styling appliances, nail care, skin care, and others.
75GF Score

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ROCE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$14.46
Price
$12.80
GF Value