We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Sally Beauty Relaunches Brand, Focuses on Transformation
Read MoreHide Full Article
Sally Beauty Holdings (SBH - Free Report) is gaining from its Transformation plan, which is aimed to improve customer experience, strengthen e-commerce capacities, curtail costs and enhance retail fundamentals. Moreover, the company is undertaking prudent acquisitions and partnerships to strengthen brand portfolio. On the back of these upsides, this Zacks Rank #2 (Buy) stock has increased 43.8% in the past six months against the industry’s decline of 9.8%.
Transformation Plans On-Track
Sally Beauty is on track with initiatives to improve its business. Recently, the company relaunched its brand with a bold new identity and multimedia campaign. Moreover, management highlighted that customers will be able to enjoy a new store experience that features AI technology and updated point-of-sale (POS) systems along with refreshed brand messaging, improved wayfinding and better trained associates in select stores. Also, Sally Beauty launched its mobile app that supports features from the company’s mobile-first website and its loyalty program coupled with exclusive in-app offers.
Moreover, Sally Beauty’s commitment toward its transformation endeavors is well reflected in its innovation and product expansion efforts. To this end, the company has launched brands — My Black Is Beautiful, All About Curls, the exclusive lines of Mo Knows Hair and Vernon Francois as well as Kuul color line — in the past.
Other Growth Initiatives
Sally Beauty has announced modernization plans across its supply chain to optimize inventory levels, minimize costs as well as bring latest replenishment and fulfilment centers. Also, the company expects to initiate cross-banner store replacements and e-commerce fulfilment operations.
Further, the company will upgrade its e-commerce capabilities at the distribution facility in Columbus, OH. Management also announced the lease for a 500,000-square-foot location in Texas for building the latest automated and concentrated distribution facility. The unit is anticipated to start operations by second-quarter fiscal 2020. The center is expected to serve Sally Beauty Supply stores and drive e-commerce sales. The company’s efforts to modernize supply chain along with ramping up the rollout of its Oracle-based POS systems and revitalizing Beauty Systems Group segment’s e-commerce site bode well.
Moreover, the company is undertaking prudent acquisitions and partnerships to strengthen brands. In this context, it acquired certain assets of H. Chalut Ltée to expand its business in Quebec province, giving BSG a footprint in Canada.
We believe that the aforementioned upsides are likely to help Sally Beauty maintain its solid position in investors’ good books in the future.
DICK'S Sporting Goods, Inc (DKS - Free Report) , with long-term earnings per share (EPS) growth rate of 6.5%, also flaunts a Zacks Rank #1.
Boot Barn Holdings, Inc (BOOT - Free Report) has long-term EPS growth rate of 17% and has a Zacks Rank #2 (Buy).
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
Image: Bigstock
Sally Beauty Relaunches Brand, Focuses on Transformation
Sally Beauty Holdings (SBH - Free Report) is gaining from its Transformation plan, which is aimed to improve customer experience, strengthen e-commerce capacities, curtail costs and enhance retail fundamentals. Moreover, the company is undertaking prudent acquisitions and partnerships to strengthen brand portfolio. On the back of these upsides, this Zacks Rank #2 (Buy) stock has increased 43.8% in the past six months against the industry’s decline of 9.8%.
Transformation Plans On-Track
Sally Beauty is on track with initiatives to improve its business. Recently, the company relaunched its brand with a bold new identity and multimedia campaign. Moreover, management highlighted that customers will be able to enjoy a new store experience that features AI technology and updated point-of-sale (POS) systems along with refreshed brand messaging, improved wayfinding and better trained associates in select stores. Also, Sally Beauty launched its mobile app that supports features from the company’s mobile-first website and its loyalty program coupled with exclusive in-app offers.
Moreover, Sally Beauty’s commitment toward its transformation endeavors is well reflected in its innovation and product expansion efforts. To this end, the company has launched brands — My Black Is Beautiful, All About Curls, the exclusive lines of Mo Knows Hair and Vernon Francois as well as Kuul color line — in the past.
Other Growth Initiatives
Sally Beauty has announced modernization plans across its supply chain to optimize inventory levels, minimize costs as well as bring latest replenishment and fulfilment centers. Also, the company expects to initiate cross-banner store replacements and e-commerce fulfilment operations.
Further, the company will upgrade its e-commerce capabilities at the distribution facility in Columbus, OH. Management also announced the lease for a 500,000-square-foot location in Texas for building the latest automated and concentrated distribution facility. The unit is anticipated to start operations by second-quarter fiscal 2020. The center is expected to serve Sally Beauty Supply stores and drive e-commerce sales. The company’s efforts to modernize supply chain along with ramping up the rollout of its Oracle-based POS systems and revitalizing Beauty Systems Group segment’s e-commerce site bode well.
Moreover, the company is undertaking prudent acquisitions and partnerships to strengthen brands. In this context, it acquired certain assets of H. Chalut Ltée to expand its business in Quebec province, giving BSG a footprint in Canada.
We believe that the aforementioned upsides are likely to help Sally Beauty maintain its solid position in investors’ good books in the future.
Looking For Retail Stocks? Check these
Chuy's Holdings, Inc (CHUY - Free Report) , sporting a Zacks Rank #1(Strong Buy), has a long-term earnings per share (EPS) growth rate of 17.5%. You can see the complete list of today’s Zacks #1 Rank stocks here.
DICK'S Sporting Goods, Inc (DKS - Free Report) , with long-term earnings per share (EPS) growth rate of 6.5%, also flaunts a Zacks Rank #1.
Boot Barn Holdings, Inc (BOOT - Free Report) has long-term EPS growth rate of 17% and has a Zacks Rank #2 (Buy).
The Hottest Tech Mega-Trend of All
Last year, it generated $24 billion in global revenues. By 2020, it's predicted to blast through the roof to $77.6 billion. Famed investor Mark Cuban says it will produce "the world's first trillionaires," but that should still leave plenty of money for regular investors who make the right trades early.
See Zacks' 3 Best Stocks to Play This Trend >>