WallStSmart

Sally Beauty Holdings Inc (SBH)vsWilliams-Sonoma Inc (WSM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Williams-Sonoma Inc generates 111% more annual revenue ($7.88B vs $3.73B). WSM leads profitability with a 13.8% profit margin vs 4.9%. SBH appears more attractively valued with a PEG of 0.66. SBH earns a higher WallStSmart Score of 65/100 (C+).

SBH

Buy

65

out of 100

Grade: C+

Growth: 4.0Profit: 6.0Value: 7.3Quality: 7.0
Piotroski: 6/9Altman Z: 2.64

WSM

Buy

52

out of 100

Grade: C-

Growth: 3.3Profit: 8.5Value: 4.3Quality: 6.0
Piotroski: 2/9Altman Z: 3.26
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SBHFair Value (-1.4%)

Margin of Safety

-1.4%

Fair Value

$15.01

Current Price

$15.40

$0.39 premium

UndervaluedFair: $15.01Overvalued

Intrinsic value data unavailable for WSM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SBH4 strengths · Avg: 8.8/10
P/E RatioValuation
8.2x10/10

Attractively priced relative to earnings

Return on EquityProfitability
21.9%9/10

Every $100 of equity generates 22 in profit

PEG RatioValuation
0.668/10

Growing faster than its price suggests

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

WSM2 strengths · Avg: 10.0/10
Return on EquityProfitability
58.2%10/10

Every $100 of equity generates 58 in profit

Altman Z-ScoreHealth
3.2610/10

Safe zone — low bankruptcy risk

Areas to Watch

SBH4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.3%4/10

2.3% revenue growth

Market CapQuality
$1.42B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.9%3/10

4.9% margin — thin

Debt/EquityHealth
1.813/10

Elevated debt levels

WSM4 concerns · Avg: 4.0/10
P/E RatioValuation
25.6x4/10

Moderate valuation

Price/BookValuation
14.7x4/10

Trading at 14.7x book value

Revenue GrowthGrowth
4.4%4/10

4.4% revenue growth

EPS GrowthGrowth
4.3%4/10

4.3% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : SBH

The strongest argument for SBH centers on P/E Ratio, Return on Equity, PEG Ratio. PEG of 0.66 suggests the stock is reasonably priced for its growth.

Bull Case : WSM

The strongest argument for WSM centers on Return on Equity, Altman Z-Score.

Bear Case : SBH

The primary concerns for SBH are Revenue Growth, Market Cap, Profit Margin. Debt-to-equity of 1.81 is elevated, increasing financial risk. Thin 4.9% margins leave little buffer for downturns.

Bear Case : WSM

The primary concerns for WSM are P/E Ratio, Price/Book, Revenue Growth.

Key Dynamics to Monitor

WSM carries more volatility with a beta of 1.49 — expect wider price swings.

WSM is growing revenue faster at 4.4% — sustainability is the question.

WSM generates stronger free cash flow (99M), providing more financial flexibility.

Monitor SPECIALTY RETAIL industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SBH scores higher overall (65/100 vs 52/100). Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Sally Beauty Holdings Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Sally Beauty Holdings, Inc. is a specialty retailer and distributor of professional beauty products. The company is headquartered in Denton, Texas.

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Williams-Sonoma Inc

CONSUMER CYCLICAL · SPECIALTY RETAIL · USA

Williams-Sonoma, Inc. is an omnichannel specialty retailer of various home products. The company is headquartered in San Francisco, California.

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