Bath & Body Works (NYSE:BBWI) Stock Price Up 8.1% – Still a Buy?

Shares of Bath & Body Works, Inc. (NYSE:BBWI) were up 8.1% during mid-day trading on Tuesday . The company traded as high as $21.83 and last traded at $21.8650. Approximately 3,274,881 shares changed hands during mid-day trading, a decline of 41% from the average daily volume of 5,577,063 shares. The stock had previously closed at $20.23.

Wall Street Analysts Forecast Growth

BBWI has been the topic of a number of research analyst reports. Guggenheim began coverage on Bath & Body Works in a report on Tuesday, December 9th. They set a “neutral” rating on the stock. Wells Fargo & Company dropped their target price on shares of Bath & Body Works from $33.00 to $25.00 and set an “overweight” rating on the stock in a research note on Friday, November 21st. Robert W. Baird set a $20.00 price objective on Bath & Body Works in a research report on Wednesday, December 17th. Bank of America reduced their price objective on Bath & Body Works from $40.00 to $32.00 and set a “buy” rating for the company in a report on Thursday, November 20th. Finally, Morgan Stanley restated an “equal weight” rating and set a $18.00 target price (down previously from $43.00) on shares of Bath & Body Works in a research note on Friday, November 21st. Five analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $23.75.

Bath & Body Works Stock Up 8.6%

The stock has a market cap of $4.50 billion, a P/E ratio of 6.76, a P/E/G ratio of 0.77 and a beta of 1.51. The firm has a 50 day moving average price of $20.33 and a 200 day moving average price of $25.88.

Bath & Body Works (NYSE:BBWI) last announced its quarterly earnings data on Thursday, November 20th. The company reported $0.35 EPS for the quarter, missing the consensus estimate of $0.40 by ($0.05). The firm had revenue of $1.59 billion for the quarter, compared to the consensus estimate of $1.64 billion. Bath & Body Works had a net margin of 9.50% and a negative return on equity of 47.35%. The firm’s revenue for the quarter was down 1.0% on a year-over-year basis. During the same quarter in the previous year, the business earned $0.49 earnings per share. Bath & Body Works has set its FY 2025 guidance at 2.870- EPS and its Q4 2025 guidance at 1.700- EPS. Equities analysts predict that Bath & Body Works, Inc. will post 3.3 earnings per share for the current fiscal year.

Bath & Body Works Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, December 5th. Investors of record on Friday, November 21st were given a dividend of $0.20 per share. The ex-dividend date was Friday, November 21st. This represents a $0.80 annualized dividend and a dividend yield of 3.6%. Bath & Body Works’s dividend payout ratio (DPR) is currently 24.62%.

Insiders Place Their Bets

In other Bath & Body Works news, Director Lucy Brady purchased 3,470 shares of the stock in a transaction that occurred on Friday, November 21st. The shares were bought at an average cost of $14.40 per share, with a total value of $49,968.00. Following the acquisition, the director owned 17,482 shares in the company, valued at approximately $251,740.80. This trade represents a 24.76% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Stephen D. Steinour acquired 6,700 shares of the business’s stock in a transaction on Friday, November 21st. The shares were bought at an average cost of $14.86 per share, with a total value of $99,562.00. Following the completion of the acquisition, the director owned 48,175 shares in the company, valued at approximately $715,880.50. This represents a 16.15% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders purchased a total of 33,513 shares of company stock valued at $500,442 in the last 90 days. 0.26% of the stock is currently owned by company insiders.

Institutional Trading of Bath & Body Works

Institutional investors and hedge funds have recently bought and sold shares of the stock. Summit Investment Advisors Inc. bought a new stake in Bath & Body Works in the 1st quarter worth approximately $1,292,000. Intech Investment Management LLC grew its holdings in shares of Bath & Body Works by 53.5% in the second quarter. Intech Investment Management LLC now owns 58,460 shares of the company’s stock valued at $1,751,000 after purchasing an additional 20,381 shares in the last quarter. JPMorgan Chase & Co. grew its holdings in shares of Bath & Body Works by 11.5% in the second quarter. JPMorgan Chase & Co. now owns 7,080,106 shares of the company’s stock valued at $212,120,000 after purchasing an additional 733,000 shares in the last quarter. Mitsubishi UFJ Trust & Banking Corp increased its position in Bath & Body Works by 126.3% in the second quarter. Mitsubishi UFJ Trust & Banking Corp now owns 271,727 shares of the company’s stock worth $8,141,000 after purchasing an additional 151,668 shares during the last quarter. Finally, GMT Capital Corp raised its stake in Bath & Body Works by 8.8% during the second quarter. GMT Capital Corp now owns 4,067,000 shares of the company’s stock valued at $121,847,000 after purchasing an additional 329,300 shares in the last quarter. 95.14% of the stock is currently owned by institutional investors.

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.