Bath & Body Works (NYSE:BBWI) Stock Jumps 7.9% – Still a Buy?

Bath & Body Works, Inc. (NYSE:BBWI) shares rose 7.9% on Monday. The stock traded as high as $17.14 and last traded at $17.3260. Approximately 1,104,591 shares were traded during mid-day trading, a decline of 81% from the average daily volume of 5,838,151 shares. The stock had previously closed at $16.06.

Wall Street Analyst Weigh In

Several research firms have issued reports on BBWI. Barclays cut their price target on shares of Bath & Body Works from $23.00 to $22.00 and set an “equal weight” rating on the stock in a report on Thursday, August 27th. Weiss Ratings raised Bath & Body Works from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday, July 9th. Deutsche Bank Aktiengesellschaft set a $22.00 price objective on Bath & Body Works in a research report on Thursday, August 27th. Argus restated a “hold” rating on shares of Bath & Body Works in a research note on Wednesday, September 16th. Finally, The Goldman Sachs Group lowered Bath & Body Works from a “neutral” rating to a “sell” rating and reduced their target price for the company from $23.00 to $19.00 in a research report on Wednesday, July 8th. Four equities research analysts have rated the stock with a Buy rating, fifteen have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus price target of $22.13.

Bath & Body Works Trading Up 3.0%

The company has a market cap of $3.63 billion, a PE ratio of 4.68, a P/E/G ratio of 0.88 and a beta of 1.40. The firm’s 50-day simple moving average is $18.44 and its two-hundred day simple moving average is $19.06.

Bath & Body Works (NYSE:BBWI) last posted its quarterly earnings results on Wednesday, August 26th. The company reported $0.62 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.24 by $0.38. Bath & Body Works had a net margin of 10.83% and a negative return on equity of 53.48%. The business had revenue of $1.51 billion during the quarter, compared to analysts’ expectations of $1.50 billion. During the same quarter last year, the company posted $0.30 earnings per share. The business’s quarterly revenue was down 2.3% on a year-over-year basis. Bath & Body Works has set its Q3 2026 guidance at 0.070-0.120 EPS and its FY 2026 guidance at 2.600-2.800 EPS. As a group, analysts predict that Bath & Body Works, Inc. will post 2.73 EPS for the current year.

Bath & Body Works Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, September 4th. Investors of record on Friday, August 21st were paid a $0.20 dividend. The ex-dividend date was Friday, August 21st. This represents a $0.80 dividend on an annualized basis and a yield of 4.5%. Bath & Body Works’s dividend payout ratio (DPR) is 20.83%.

Institutional Trading of Bath & Body Works

Several large investors have recently added to or reduced their stakes in the company. Bank of America Corp DE acquired a new stake in Bath & Body Works during the 2nd quarter worth about $62,249,000. Hsbc Holdings PLC raised its stake in shares of Bath & Body Works by 98.0% during the 2nd quarter. Hsbc Holdings PLC now owns 588,941 shares of the company’s stock valued at $13,651,000 after buying an additional 291,470 shares during the last quarter. BlackRock Inc. acquired a new position in shares of Bath & Body Works in the 2nd quarter valued at about $449,065,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in shares of Bath & Body Works in the 2nd quarter valued at about $2,691,000. Finally, Deutsche Bank AG purchased a new stake in shares of Bath & Body Works in the second quarter worth about $3,892,000. Hedge funds and other institutional investors own 95.14% of the company’s stock.

About Bath & Body Works

Bath & Body Works, Inc is a specialty retailer focused on personal care and home fragrance products. Its portfolio includes body lotions and creams, shower products, fragrances, hand soaps and sanitizers, three-wick candles, wall-plug air fresheners, and other home-fragrance items. The company markets products under the Bath & Body Works brand and regularly introduces seasonal and limited-edition collections.

The company sells its products through a network of company-operated stores, its e-commerce website, and other direct channels.