Bath & Body Works (NYSE:BBWI) Releases FY 2025 Earnings Guidance

Bath & Body Works (NYSE:BBWI) issued an update on its FY 2025 earnings guidance on Monday morning. The company provided EPS guidance of 3.250-3.600 for the period, compared to the consensus EPS estimate of 3.520. The company issued revenue guidance of $7.4 billion-$7.5 billion, compared to the consensus revenue estimate of $7.5 billion. Bath & Body Works also updated its Q1 2025 guidance to 0.490-0.490 EPS.

Bath & Body Works Stock Down 0.6%

NYSE BBWI opened at $33.56 on Tuesday. The company has a market cap of $7.15 billion, a price-to-earnings ratio of 8.19, a price-to-earnings-growth ratio of 0.92 and a beta of 1.87. Bath & Body Works has a twelve month low of $24.96 and a twelve month high of $52.99. The business’s fifty day moving average is $30.05 and its 200 day moving average is $34.03.

Bath & Body Works (NYSE:BBWI) last issued its earnings results on Thursday, February 27th. The company reported $2.09 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.04 by $0.05. Bath & Body Works had a negative return on equity of 44.03% and a net margin of 12.43%. The business had revenue of $2.79 billion during the quarter, compared to analysts’ expectations of $2.78 billion. On average, research analysts anticipate that Bath & Body Works will post 3.3 earnings per share for the current fiscal year.

Bath & Body Works Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, June 20th. Stockholders of record on Friday, June 6th will be paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 2.38%. The ex-dividend date of this dividend is Friday, June 6th. Bath & Body Works’s payout ratio is currently 21.98%.

Bath & Body Works declared that its board has initiated a stock buyback plan on Thursday, February 27th that allows the company to buyback $500.00 million in shares. This buyback authorization allows the company to reacquire up to 6.4% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s board believes its shares are undervalued.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on BBWI. Cowen reaffirmed a “buy” rating on shares of Bath & Body Works in a research note on Thursday, February 27th. Citigroup cut their price target on shares of Bath & Body Works from $48.00 to $36.00 and set a “buy” rating on the stock in a research report on Monday, April 7th. Telsey Advisory Group reiterated an “outperform” rating and set a $43.00 price target on shares of Bath & Body Works in a report on Thursday, February 27th. Barclays decreased their price target on Bath & Body Works from $38.00 to $31.00 and set an “equal weight” rating for the company in a report on Monday, May 12th. Finally, JPMorgan Chase & Co. boosted their price target on Bath & Body Works from $41.00 to $43.00 and gave the company an “overweight” rating in a research note on Monday. Four research analysts have rated the stock with a hold rating and fourteen have given a buy rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus target price of $42.06.

Institutional Trading of Bath & Body Works

Several institutional investors and hedge funds have recently made changes to their positions in BBWI. Royal Bank of Canada grew its stake in Bath & Body Works by 92.8% in the 1st quarter. Royal Bank of Canada now owns 59,877 shares of the company’s stock valued at $1,815,000 after purchasing an additional 28,815 shares during the period. Goldman Sachs Group Inc. increased its holdings in Bath & Body Works by 15.7% during the first quarter. Goldman Sachs Group Inc. now owns 645,970 shares of the company’s stock worth $19,586,000 after buying an additional 87,529 shares during the last quarter. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in Bath & Body Works by 7.0% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 562,757 shares of the company’s stock worth $17,063,000 after buying an additional 36,684 shares during the last quarter. Hedge funds and other institutional investors own 95.14% of the company’s stock.

Bath & Body Works Company Profile

Bath & Body Works, Inc is a specialty retailers and home to America’s Favorite Fragrances, offering a breadth of exclusive fragrances for the body and home, including the selling collections for fine fragrance mist, body lotion and body cream, 3-wick candles, home fragrance diffusers and liquid hand soap.