Is Sally Beauty Holdings, Inc. (SBH) Halal?

NYSE Consumer Cyclical United States $1.3B
✗ NOT HALAL
Confidence: 90/100
Sally Beauty Holdings, Inc. (SBH) is Not Halal under AAOIFI Standard 21. The company's debt ratio of 107.5% exceeds the 30% threshold, indicating excessive interest-bearing debt relative to market capitalization. Sally Beauty Holdings, Inc. operates in the Consumer Cyclical sector.

Shariah Screening — 5 Standards

Based on financial data from September 2025

Standard Debt Ratio Cash Ratio Receivables Income Status
AAOIFI 107.5%
/ 30%
10.3%
/ 30%
8.0%
/ 30%
0.0%
/ 5%
✗ NOT HALAL
DJIM 107.5%
/ 33%
10.3%
/ 33%
8.0%
/ 33%
0.0%
/ 5%
✗ NOT HALAL
MSCI 54.4%
/ 33%
5.2%
/ 33%
4.1%
/ 33%
0.0%
/ 5%
✗ NOT HALAL
S&P 107.5%
/ 33%
10.3%
/ 33%
8.0%
/ 33%
0.0%
/ 5%
✗ NOT HALAL
FTSE 54.4%
/ 33%
5.2%
/ 33%
4.1%
/ 50%
0.0%
/ 5%
✗ NOT HALAL

Financial Highlights

P/E Ratio
7.6
Forward: 5.9
EPS
$1.76
P/B Ratio
1.6
EV/EBITDA
6.6
EV: $2.7B
Revenue
$3.7B
Growth: 0.6%
Beta
1.1
Average volatility
Current Ratio
2.4

Profitability

Gross Margin 51.7%
Operating Margin 8.1%
Net Margin 4.9%
Return on Equity (ROE) 24.4%
Return on Assets (ROA) 7.0%

Cash Flow & Balance Sheet

Operating Cash Flow$275M
Free Cash Flow$173M
Total Debt$1.6B
Debt-to-Equity187.1
Current Ratio2.4
Total Assets$2.9B

Price & Trading

Last Close$13.81
50-Day MA$15.31
200-Day MA$13.94
Avg Volume1.7M
Beta1.1
52-Week Range
$7.54
$17.92

About Sally Beauty Holdings, Inc. (SBH)

CEO
Ms. Denise A. Paulonis
Employees
11,000
Sector
Consumer Cyclical
Industry
Specialty Retail
Country
United States
Exchange
NYSE
Market Cap
$1.3B
Currency
USD

Sally Beauty Holdings, Inc. operates as a specialty retailer and distributor of professional beauty supplies. The company operates through two segments, Sally Beauty Supply and Beauty Systems Group. The Sally Beauty Supply segment offers beauty products, including hair color and care products, skin and nail care products, styling tools, and other beauty products for retail customers, salons, and salon professionals. This segment also provides products under Wella and L'Oreal brands, as well as Clairol, OPI, Wahl, and BaByliss Pro. The Beauty Systems Group segment offers professional beauty products, such as hair color and care products, skin and nail care products, styling tools, and other beauty items directly to salons, and licensed beauty professionals, and salon professionals through its professional-only stores, e-commerce platforms, and sales force, as well as through franchised stores under the Armstrong McCall store name. This segment also sells products under Paul Mitchell and Wella brands, including Matrix, Schwarzkopf, Kenra, Goldwell, Joico, Amika, and Moroccanoil. In addition, it operates company-operated stores, salon business consultants, digital platforms and franchised units in the United States, Puerto Rico, Canada, Mexico, Chile, the United Kingdom, Ireland, Belgium, France, the Netherlands, and Germany. Further, the company distributes its products through full-service/exclusive distributors and open-line distributors. Sally Beauty Holdings, Inc. was founded in 1964 and is headquartered in Denton, Texas.

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Frequently Asked Questions

Is Sally Beauty Holdings, Inc. (SBH) halal to invest in?

Based on our screening using AAOIFI Standard 21 (the strictest methodology), Sally Beauty Holdings, Inc. is Not Halal. The company fails one or more screening criteria. We screen against all 5 major standards: AAOIFI, DJIM, MSCI, S&P, and FTSE.

What is Sally Beauty Holdings, Inc.'s debt ratio?

Sally Beauty Holdings, Inc.'s debt ratio is 107.5% under the AAOIFI standard (which uses market capitalization as the denominator). The AAOIFI threshold is 30%. Under MSCI and FTSE (which use total assets as the denominator), the debt ratio is 54.4%.

What are Sally Beauty Holdings, Inc.'s key financial metrics?

Sally Beauty Holdings, Inc. has a market capitalization of $1.3B, trailing P/E ratio of 7.6, and revenue of $3.7B. The company maintains a gross margin of 51.7% and a net margin of 4.9%. Return on equity stands at 24.4%.

How often is the screening data updated?

Our screening data is updated regularly using the latest available financial statements and market data. Stock prices and market caps are refreshed frequently, while financial statements are updated quarterly when companies report earnings.

Disclaimer: HalalStockGuide.com provides Shariah compliance screening for educational and informational purposes only. This is not a fatwa, financial advice, or a recommendation to buy or sell any security. Screening results are based on publicly available financial data and established methodologies. Always consult a qualified Islamic scholar and a licensed financial advisor before making investment decisions.