Bath & Body Works (NYSE:BBWI) Issues Q1 Earnings Guidance

Bath & Body Works (NYSE:BBWI) issued an update on its first quarter earnings guidance on Tuesday morning. The company provided EPS guidance of $0.36-0.43 for the period, compared to the consensus EPS estimate of $0.42. Bath & Body Works also updated its FY26 guidance to $3.25-360 EPS.

Bath & Body Works Price Performance

BBWI stock opened at $29.75 on Wednesday. Bath & Body Works has a 1 year low of $26.20 and a 1 year high of $52.99. The company has a market cap of $6.44 billion, a P/E ratio of 7.26, a price-to-earnings-growth ratio of 0.92 and a beta of 1.89. The stock’s fifty day moving average price is $36.91 and its 200-day moving average price is $34.10.

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

Bath & Body Works Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, March 7th. Investors of record on Friday, February 21st were given a dividend of $0.20 per share. The ex-dividend date was Friday, February 21st. This represents a $0.80 annualized dividend and a yield of 2.69%. Bath & Body Works’s dividend payout ratio (DPR) is 21.98%.

Bath & Body Works announced that its Board of Directors has approved a share buyback plan on Thursday, February 27th that allows the company to buyback $500.00 million in shares. This buyback authorization allows the company to purchase up to 6.4% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s management believes its shares are undervalued.

Wall Street Analyst Weigh In

A number of equities research analysts have recently issued reports on BBWI shares. Telsey Advisory Group reissued an “outperform” rating and set a $43.00 price objective on shares of Bath & Body Works in a research report on Thursday, February 27th. Cowen reiterated a “buy” rating on shares of Bath & Body Works in a research report on Thursday, February 27th. Barclays reduced their price target on Bath & Body Works from $43.00 to $38.00 and set an “equal weight” rating for the company in a research report on Monday, March 3rd. TD Cowen lifted their price objective on Bath & Body Works from $42.00 to $48.00 and gave the company a “buy” rating in a research report on Thursday, December 12th. Finally, Citigroup raised shares of Bath & Body Works from a “neutral” rating to a “buy” rating and increased their target price for the stock from $40.00 to $48.00 in a report on Friday, February 28th. Five research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $45.06.

About Bath & Body Works

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.