Bath & Body Works (NYSE:BBWI) Shares Down 5.5% – Should You Sell?

Bath & Body Works, Inc. (NYSE:BBWI)’s stock price traded down 5.5% during mid-day trading on Friday . The stock traded as low as $26.16 and last traded at $26.09. 764,789 shares changed hands during trading, a decline of 83% from the average session volume of 4,633,526 shares. The stock had previously closed at $27.62.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on BBWI. Argus reissued a “hold” rating on shares of Bath & Body Works in a research report on Friday, January 10th. Cowen reiterated a “buy” rating on shares of Bath & Body Works in a report on Thursday, February 27th. JPMorgan Chase & Co. set a $47.00 price target on shares of Bath & Body Works in a report on Thursday, February 27th. Citigroup decreased their price objective on shares of Bath & Body Works from $48.00 to $36.00 and set a “buy” rating for the company in a research note on Monday. Finally, Robert W. Baird boosted their target price on Bath & Body Works from $45.00 to $47.00 and gave the stock an “outperform” rating in a research note on Friday, February 28th. Four investment analysts have rated the stock with a hold rating and fourteen have issued a buy rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $44.06.

Bath & Body Works Trading Down 4.4 %

The firm has a fifty day moving average of $33.24 and a two-hundred day moving average of $34.01. The company has a market cap of $5.65 billion, a PE ratio of 6.39, a price-to-earnings-growth ratio of 0.92 and a beta of 1.69.

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

Bath & Body Works Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, March 7th. Shareholders of record on Friday, February 21st were given a dividend of $0.20 per share. The ex-dividend date of this dividend was Friday, February 21st. This represents a $0.80 annualized dividend and a dividend yield of 3.03%. Bath & Body Works’s dividend payout ratio is currently 21.98%.

Bath & Body Works declared that its Board of Directors has authorized a stock buyback plan on Thursday, February 27th that authorizes the company to repurchase $500.00 million in shares. This repurchase authorization authorizes the company to repurchase up to 6.4% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s board believes its shares are undervalued.

Institutional Trading of Bath & Body Works

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. SRS Capital Advisors Inc. boosted its stake in Bath & Body Works by 99.7% in the 4th quarter. SRS Capital Advisors Inc. now owns 659 shares of the company’s stock worth $26,000 after purchasing an additional 329 shares during the period. Golden State Wealth Management LLC purchased a new stake in shares of Bath & Body Works in the fourth quarter worth about $26,000. UMB Bank n.a. boosted its position in shares of Bath & Body Works by 58.8% in the fourth quarter. UMB Bank n.a. now owns 905 shares of the company’s stock valued at $35,000 after acquiring an additional 335 shares during the period. Lindbrook Capital LLC grew its stake in Bath & Body Works by 81.9% during the fourth quarter. Lindbrook Capital LLC now owns 957 shares of the company’s stock valued at $37,000 after acquiring an additional 431 shares in the last quarter. Finally, Smartleaf Asset Management LLC increased its holdings in Bath & Body Works by 135.0% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,013 shares of the company’s stock worth $39,000 after acquiring an additional 582 shares during the period. 95.14% of the stock is currently owned by institutional investors.

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.