Prestige Consumer Healthcare (PBH)
NYSEHealth CareMedical - PharmaceuticalsSnapshot 2026-09-09
$48.70-2.19%
Close 2026-09-09 · 1-day change
NYSEHealth CareMedical - PharmaceuticalsSnapshot 2026-09-09
Warn: Management is running behind on a stated commitment.
Prestige grows by buying brands like Breathe Right and LaCorium. Revenue is expected near $1.11 billion in fiscal 2027. Profit margins improve with EPS guidance of about $4.46 per share. The stock is cheap with a PE of 12, well below peers.
Revenue fell 5% last year and EPS missed estimates. The company cut guidance recently. Debt increased due to acquisitions. Profit margins are under pressure and management is volatile.
The price is about 35% below our fair value near $78. Analysts expect roughly 15% revenue growth. Our view aligns with this but we see risks in margin and execution.
Breaks if: revenue falls below $1.0 billion in FY27
Continue growth strategy by acquiring complementary brands such as Breathe Right and LaCorium to diversify portfolio and increase revenue base.
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a durable compounder with a focus on growth through acquisitions. The current thesis state is intact, supported by recent strong financial performance, although management execution has been volatile.
The market currently prices PBH as cheap compared to its peers, with a significant expectations gap. This suggests that investors are not fully accounting for the potential upside from recent acquisitions and the company's revenue outlook.
Fundamentals may improve as management continues to focus on profitability and capital allocation. However, there is a moderate risk of missing earnings expectations, which could impact sentiment given the company's history of misses.
The long-term thesis hinges on management's ability to execute on their priorities, particularly in expanding through acquisitions and improving profitability. Additionally, the performance of sector bellwethers and broader economic indicators like job reports will be crucial.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports a positive outlook. The company's strategy to expand through acquisitions enhances its market position. There are no new threats impacting the thesis.
as of 2026-09-09
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.
Stated as a priority in 3 quarters including 2026-Q1 and 2026-Q2 and a June 2026 announcement. The acquisitions of Breathe Right and LaCorium add nearly 20% to the revenue base, with Breathe Right acquired for $1.045 billion and LaCorium generating $40 million annually. Management raised fiscal 2027 revenue outlook accordingly. The trajectory is delivering with completed acquisitions and revenue contributions.
“Closed the Breathe Right and LaCorium acquisitions in June and July, respectively.”
“Announces agreement to acquire LaCorium Health, a leader in Australian therapeutic skin care.”
Breaks if: Debt or credit issues impair operations or capital costs rise sharply
Breaks if: free cash flow falls below $200 million in FY27
Breaks if: EPS falls below $4.2 in FY27
Over the next 1 to 3 years, PBH's performance will depend on management execution and sector trends. Not investment advice.