Sally Beauty Holdings (SBH) — a conservative idea for the coming year — has come a long way back from its pandemic shock, explains Hilary Kramer, editor of Value Authority.

However, there's still plenty of value to capture as the beauty products market looks toward a post-lockdown world and new brands rise to fill the gap faltering competitors like Coty (COTY) and Revlon (REV) leave in their wake.

Management spent the year fortifying the balance sheet. Now it's time to dazzle the world. Revenue has stabilized thanks to what amounts to curbside pickup programs that ultimately build momentum for true direct-to-consumer online sales.

While it might take another year to get all the numbers back on trend, I'm heartened by the way my earnings models for 2021 have started calling out for revision to the upside.

There's huge value here at barely 10X last year's depressed EPS. And if you shunned the stock while growth decelerated, how do you feel now that it's looking at 50% re-expansion in the coming year? There's no intrinsic reason this isn't already an $18 stock.

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Hilary Kramer: MoneyShow's Top Stock Picker from 2020

Congratulations to Hilary Kramer, whose Top Stock pick from 2020 rose 209%, making it the best performing stock in last year's report. Here, the growth stock expert offers an update on Chewy (CHWY), her favorite investment idea from last year.

Ironically enough, I loved Chewy before the pandemic was even a rumor and now that it's been characterized as a "COVID stock" I love it even more.

People were already buying pet food online and having it shipped to their doors because these bags and cans get heavy and nobody wants to run out. And unlike Amazon (AMZN), which has been dithering for years about getting serious about pet products, there's huge word of mouth here.

The lockdowns only accelerated the growth curve by a few months, nudging the company closer to ultimate sustainable profitability. People burned by the dot-com frenzy laughed at this company. They're not laughing now. My subscribers were here under $30. They're cheering.