Bath & Body Works (NYSE:BBWI) Posts Earnings Results, Beats Expectations By $0.05 EPS

Bath & Body Works (NYSE:BBWI) released its quarterly earnings results on Thursday. The company reported $2.09 earnings per share for the quarter, topping analysts’ consensus estimates of $2.04 by $0.05, Zacks reports. Bath & Body Works had a net margin of 12.43% and a negative return on equity of 44.03%. The business had revenue of $2.79 billion during the quarter, compared to the consensus estimate of $2.78 billion. Bath & Body Works updated its Q1 2025 guidance to 0.360-0.430 EPS and its FY 2025 guidance to 3.250-3.600 EPS.

Bath & Body Works Stock Up 1.0 %

Shares of BBWI traded up $0.36 during trading hours on Friday, reaching $36.22. The company’s stock had a trading volume of 6,621,980 shares, compared to its average volume of 3,759,574. The firm has a market cap of $7.84 billion, a price-to-earnings ratio of 8.83, a P/E/G ratio of 0.92 and a beta of 1.83. Bath & Body Works has a 1-year low of $26.20 and a 1-year high of $52.99. The company has a 50 day moving average of $37.70 and a two-hundred day moving average of $34.12.

Bath & Body Works Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Friday, March 7th. Stockholders of record on Friday, February 21st will be issued a $0.20 dividend. The ex-dividend date is Friday, February 21st. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.21%. Bath & Body Works’s dividend payout ratio is 19.51%.

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

Wall Street Analysts Forecast Growth

Several brokerages recently issued reports on BBWI. Citigroup upgraded Bath & Body Works from a “neutral” rating to a “buy” rating and raised their price objective for the stock from $40.00 to $48.00 in a research note on Friday. Telsey Advisory Group restated an “outperform” rating and set a $43.00 price objective on shares of Bath & Body Works in a research note on Thursday. Deutsche Bank Aktiengesellschaft raised their price objective on Bath & Body Works from $51.00 to $52.00 and gave the stock a “buy” rating in a research note on Tuesday, November 26th. Raymond James reiterated an “outperform” rating and issued a $46.00 target price (up from $42.00) on shares of Bath & Body Works in a research note on Tuesday. Finally, JPMorgan Chase & Co. set a $47.00 target price on Bath & Body Works in a research note on Thursday. Five analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $45.38.

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.