Insider Selling: Scott Sherman Unloads $244K Of Sally Beauty Holdings Stock

Scott Sherman, SVP at Sally Beauty Holdings (NYSE:SBH), disclosed an insider sell on December 3, according to a recent SEC filing.

What Happened: Sherman's recent Form 4 filing with the U.S. Securities and Exchange Commission on Wednesday unveiled the sale of 15,000 shares of Sally Beauty Holdings. The total transaction value is $244,086.

Tracking the Wednesday's morning session, Sally Beauty Holdings shares are trading at $15.88, showing a up of 0.37%.

All You Need to Know About Sally Beauty Holdings

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.

Sally Beauty Holdings: Delving into Financials

Revenue Growth: Sally Beauty Holdings displayed positive results in 3 months. As of 30 September, 2025, the company achieved a solid revenue growth rate of approximately 1.29%. This indicates a notable increase in the company's top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Profitability Metrics:

• Gross Margin: The company maintains a high gross margin of 52.17%, indicating strong cost management and profitability compared to its peers.

• Earnings per Share (EPS): With an EPS below industry norms, Sally Beauty Holdings exhibits below-average bottom-line performance with a current EPS of 0.51.

Debt Management: Sally Beauty Holdings's debt-to-equity ratio stands notably higher than the industry average, reaching 1.97. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.

Valuation Metrics:

• Price to Earnings (P/E) Ratio: The Price to Earnings ratio of 8.37 is lower than the industry average, indicating potential undervaluation for the stock.

• Price to Sales (P/S) Ratio: With a P/S ratio of 0.44 below industry standards, the stock shows potential undervaluation, making it an appealing investment option for those focusing on sales performance.

• EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation & Amortization): The company's EV/EBITDA ratio of 6.91 trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.

Why Insider Activity Matters in Finance

In the complex landscape of investment decisions, investors should approach insider transactions as part of a comprehensive analysis, considering various elements.

In legal terms, an "insider" refers to any officer, director, or beneficial owner of more than ten percent of a company's equity securities registered under Section 12 of the Securities Exchange Act of 1934. This can include executives in the c-suite and large hedge funds. These insiders are required to let the public know of their transactions via a Form 4 filing, which must be filed within two business days of the transaction.

When a company insider makes a new purchase, that is an indication that they expect the stock to rise.

Insider sells, on the other hand, can be made for a variety of reasons, and may not necessarily mean that the seller thinks the stock will go down.

Transaction Codes Worth Your Attention

For investors, a primary focus lies on transactions occurring in the open market, as indicated in Table I of the Form 4 filing. A P in Box 3 denotes a purchase, while S signifies a sale. Transaction code C signals the conversion of an option, and transaction code A denotes a grant, award, or other acquisition of securities from the company.

Check Out The Full List Of Sally Beauty Holdings's Insider Trades.

Insider Buying Alert: Profit from C-Suite Moves

Benzinga Edge reveals every insider trade in real-time. Don't miss the next big stock move driven by insider confidence. Unlock this ultimate sentiment indicator now. Click here for access.

This article was generated by Benzinga's automated content engine and reviewed by an editor.