Wells Fargo & Company Issues Pessimistic Forecast for Bath & Body Works (NYSE:BBWI) Stock Price

Bath & Body Works (NYSE:BBWI) had its price objective lowered by investment analysts at Wells Fargo & Company from $29.00 to $25.00 in a research note issued to investors on Thursday,Benzinga reports. The brokerage currently has an “overweight” rating on the stock. Wells Fargo & Company‘s target price indicates a potential upside of 23.10% from the company’s previous close.

Several other research analysts also recently commented on the company. Piper Sandler initiated coverage on Bath & Body Works in a research note on Friday, May 15th. They issued a “neutral” rating and a $20.00 target price for the company. Barclays set a $23.00 price target on Bath & Body Works in a research report on Thursday. Raymond James Financial restated a “market perform” rating on shares of Bath & Body Works in a research report on Wednesday. Citigroup cut shares of Bath & Body Works from a “buy” rating to a “neutral” rating and boosted their price objective for the company from $21.00 to $25.00 in a research note on Tuesday, February 17th. Finally, UBS Group decreased their target price on shares of Bath & Body Works from $22.00 to $19.00 and set a “neutral” rating on the stock in a report on Wednesday, May 20th. Three investment analysts have rated the stock with a Buy rating and fifteen have issued a Hold rating to the company. Based on data from MarketBeat.com, Bath & Body Works currently has a consensus rating of “Hold” and a consensus price target of $21.57.

Bath & Body Works Trading Up 4.4%

Shares of BBWI stock traded up $0.86 during trading on Thursday, reaching $20.31. 1,053,190 shares of the company’s stock traded hands, compared to its average volume of 5,718,384. The firm’s 50-day moving average is $18.65 and its 200 day moving average is $20.24. The company has a market capitalization of $4.09 billion, a P/E ratio of 6.42, a PEG ratio of 1.76 and a beta of 1.43. Bath & Body Works has a 1 year low of $14.27 and a 1 year high of $33.96.

Bath & Body Works (NYSE:BBWI) last posted its quarterly earnings results on Wednesday, May 27th. The company reported $0.32 EPS for the quarter, topping analysts’ consensus estimates of $0.29 by $0.03. The firm had revenue of $1.38 billion during the quarter, compared to analyst estimates of $1.36 billion. Bath & Body Works had a negative return on equity of 45.60% and a net margin of 8.90%.The business’s revenue for the quarter was down 3.2% on a year-over-year basis. During the same period last year, the company earned $0.49 earnings per share. Bath & Body Works has set its Q2 2026 guidance at 0.300-0.300 EPS and its FY 2026 guidance at 2.400-2.650 EPS. As a group, sell-side analysts predict that Bath & Body Works will post 2.61 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Gabelli Funds LLC raised its stake in shares of Bath & Body Works by 1.2% during the third quarter. Gabelli Funds LLC now owns 47,536 shares of the company’s stock worth $1,225,000 after acquiring an additional 542 shares in the last quarter. Parallel Advisors LLC boosted its stake in shares of Bath & Body Works by 42.6% in the 4th quarter. Parallel Advisors LLC now owns 1,897 shares of the company’s stock valued at $38,000 after purchasing an additional 567 shares in the last quarter. State of Michigan Retirement System grew its holdings in shares of Bath & Body Works by 1.2% during the 1st quarter. State of Michigan Retirement System now owns 49,300 shares of the company’s stock valued at $920,000 after purchasing an additional 600 shares during the last quarter. Meeder Asset Management Inc. grew its holdings in shares of Bath & Body Works by 28.5% during the 4th quarter. Meeder Asset Management Inc. now owns 2,874 shares of the company’s stock valued at $58,000 after purchasing an additional 637 shares during the last quarter. Finally, State of Wyoming raised its position in Bath & Body Works by 6.2% in the 2nd quarter. State of Wyoming now owns 11,294 shares of the company’s stock worth $338,000 after purchasing an additional 661 shares during the period. 95.14% of the stock is currently owned by hedge funds and other institutional investors.

Key Bath & Body Works News

Here are the key news stories impacting Bath & Body Works this week:

• Positive Sentiment: Bath & Body Works beat Q1 earnings and sales expectations, with results coming in above guidance and helping drive renewed investor confidence.
• Positive Sentiment: The company reaffirmed its full-year outlook, easing fears that the business was deteriorating faster than expected.
• Positive Sentiment: Analyst and market commentary highlighted valuation support and possible growth catalysts, including expansion opportunities and dividend appeal.
• Neutral Sentiment: Brokerages remain cautious overall, with consensus still centered around a “Hold” rating after recent updates.
• Negative Sentiment: Revenue remains under pressure, with Q1 sales down year over year as Bath & Body Works continues its turnaround effort.
• Negative Sentiment: Price target cuts from Goldman Sachs and Telsey Advisory Group suggest analysts are still tempering expectations for near-term upside.

About Bath & Body Works

Bath & Body Works, Inc is a leading specialty retailer focused on personal care, home fragrance and complementary products. Through its flagship Bath & Body Works brand, the company offers a diverse assortment of shower gels, lotions, fragrance mists, candles and home fragrance items. Its product portfolio also includes the White Barn Candle Co range of premium scented candles and diffusers. Bath & Body Works serves consumers through a combination of brick-and-mortar stores and e-commerce platforms, delivering seasonal collections, limited-edition releases and signature scent lines.

Founded in 1990 as part of Limited Brands (now L Brands), Bath & Body Works opened its first store in New Albany, Ohio, and quickly expanded across the United States.