Bath & Body Works (NYSE:BBWI) Stock Price Up 4.2% – Still a Buy?

Bath & Body Works, Inc. (NYSE:BBWI) traded up 4.2% on Friday . The company traded as high as $21.71 and last traded at $21.5950. 795,930 shares were traded during trading, a decline of 83% from the average session volume of 4,755,788 shares. The stock had previously closed at $20.73.

Key Stories Impacting Bath & Body Works

Here are the key news stories impacting Bath & Body Works this week:

• Neutral Sentiment: Context on recent operating results and analyst commentary — a recent industry roundup revisits Bath & Body Works’ Q3 earnings and may inform investor views on fundamentals rather than litigation. Reflecting on beauty and cosmetics retailer stocks’ Q3 earnings: Bath and Body Works (NYSE:BBWI)
• Negative Sentiment: Multiple securities class actions filed / law firms soliciting plaintiffs — firms (e.g., Gainey McKenna & Egleston, Kessler Topaz, Glancy Prongay Wolke & Rotter and others) say suits were filed on behalf of investors who bought BBWI between June 4, 2024 and Nov 19, 2025, alleging material misstatements/omissions tied to a sharp Nov. 19 share drop. These notices increase litigation risk and could lead to settlements, higher legal costs, management distraction and investor uncertainty. Gainey McKenna & Egleston Announces A Class Action Lawsuit Has Been Filed Against Bath & Body Works, Inc. (BBWI) Kessler Topaz Meltzer & Check, LLP Encourages Bath & Body Works, Inc. Investors with Losses to Contact the Firm Deadline Alert: Glancy Prongay Wolke & Rotter LLP
• Negative Sentiment: Deadlines and scale — several firms cite lead‑plaintiff filing deadlines in mid‑March (March 13–16, 2026). The breadth of solicitations (many firms contacting investors) suggests sustained media/legal attention, which can prolong volatility and keep a risk premium on the shares until claims are resolved or dismissed. Faruqi & Faruqi, LLP Investigates Claims

Analyst Upgrades and Downgrades

Several research analysts have recently commented on the company. New Street Research set a $26.00 price target on Bath & Body Works in a report on Monday, November 24th. Weiss Ratings reaffirmed a “hold (c-)” rating on shares of Bath & Body Works in a research note on Wednesday, January 21st. UBS Group boosted their target price on shares of Bath & Body Works from $17.00 to $21.00 and gave the company a “neutral” rating in a report on Thursday, January 8th. Raymond James Financial reissued a “market perform” rating on shares of Bath & Body Works in a research note on Wednesday, November 12th. Finally, Zacks Research raised shares of Bath & Body Works from a “strong sell” rating to a “hold” rating in a research report on Tuesday, January 20th. Five equities research analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Bath & Body Works presently has an average rating of “Hold” and an average target price of $23.53.

Bath & Body Works Stock Up 5.1%

The company has a market cap of $4.46 billion, a PE ratio of 6.70, a price-to-earnings-growth ratio of 0.75 and a beta of 1.51. The business has a 50-day simple moving average of $20.39 and a 200-day simple moving average of $24.72.

Bath & Body Works (NYSE:BBWI) last released its quarterly earnings results 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 analysts’ expectations of $1.64 billion. Bath & Body Works had a negative return on equity of 47.35% and a net margin of 9.50%.The company’s quarterly revenue was down 1.0% on a year-over-year basis. During the same quarter in the prior 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. As a group, equities research analysts predict that Bath & Body Works, Inc. will post 3.3 EPS for the current fiscal year.

Bath & Body Works Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Friday, December 5th. Stockholders of record on Friday, November 21st were given a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 3.7%. The ex-dividend date of this dividend was Friday, November 21st. Bath & Body Works’s dividend payout ratio is currently 24.62%.

Insider Buying and Selling at Bath & Body Works

In other Bath & Body Works news, Director Stephen D. Steinour purchased 6,700 shares of the firm’s stock in a transaction on Friday, November 21st. The stock was bought at an average price of $14.86 per share, with a total value of $99,562.00. Following the transaction, the director directly owned 48,175 shares of the company’s stock, valued at approximately $715,880.50. This represents a 16.15% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Lucy Brady purchased 3,470 shares of the company’s stock in a transaction on Friday, November 21st. The stock was acquired at an average price of $14.40 per share, with a total value of $49,968.00. Following the purchase, the director owned 17,482 shares of the company’s stock, valued at approximately $251,740.80. This represents a 24.76% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. In the last three months, insiders acquired 33,513 shares of company stock worth $500,442. 0.26% of the stock is owned by company insiders.

Institutional Trading of Bath & Body Works

Several hedge funds have recently modified their holdings of BBWI. Royal Bank of Canada increased its holdings in Bath & Body Works by 92.8% during the 1st quarter. Royal Bank of Canada now owns 59,877 shares of the company’s stock worth $1,815,000 after purchasing an additional 28,815 shares during the period. Goldman Sachs Group Inc. increased its stake in shares of 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 period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in Bath & Body Works by 7.0% in 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 valued at $17,063,000 after acquiring an additional 36,684 shares in the last quarter. Intech Investment Management LLC purchased a new position in Bath & Body Works in the first quarter worth approximately $1,155,000. Finally, Geneos Wealth Management Inc. grew its holdings in Bath & Body Works by 217.7% during the 1st quarter. Geneos Wealth Management Inc. now owns 1,169 shares of the company’s stock worth $35,000 after acquiring an additional 801 shares in the last quarter. 95.14% of the stock is currently owned by institutional investors and hedge funds.

Bath & Body Works Company Profile

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.