Bath & Body Works (NYSE:BBWI) Upgraded at Zacks Research

Zacks Research upgraded shares of Bath & Body Works (NYSE:BBWI) from a strong sell rating to a hold rating in a research note issued to investors on Tuesday morning,Zacks.com reports.

Several other equities analysts also recently issued reports on BBWI. Guggenheim started coverage on Bath & Body Works in a research report on Tuesday, December 9th. They issued a “neutral” rating for the company. Barclays lifted their price target on Bath & Body Works from $18.00 to $20.00 and gave the company an “equal weight” rating in a report on Tuesday, January 6th. Citigroup decreased their price objective on shares of Bath & Body Works from $35.00 to $21.00 and set a “buy” rating on the stock in a report on Friday, November 21st. New Street Research set a $26.00 price objective on shares of Bath & Body Works in a research report on Monday, November 24th. Finally, JPMorgan Chase & Co. reduced their target price on shares of Bath & Body Works from $26.00 to $15.00 and set a “neutral” rating on the stock in a research report on Thursday, November 20th. Five analysts have rated the stock with a Buy rating and thirteen have assigned a Hold rating to the stock. Based on data from MarketBeat, the company presently has an average rating of “Hold” and an average target price of $23.53.

Bath & Body Works Stock Up 1.4%

Shares of Bath & Body Works stock opened at $22.57 on Tuesday. Bath & Body Works has a 12-month low of $14.27 and a 12-month high of $41.87. The stock has a 50 day moving average price of $20.13 and a two-hundred day moving average price of $25.24. The stock has a market capitalization of $4.62 billion, a P/E ratio of 6.94, a PEG ratio of 0.81 and a beta of 1.51.

Bath & Body Works (NYSE:BBWI) last issued its quarterly earnings results on Thursday, November 20th. The company reported $0.35 earnings per share for the quarter, missing analysts’ consensus estimates of $0.40 by ($0.05). The company had revenue of $1.59 billion during the quarter, compared to the consensus estimate of $1.64 billion. Bath & Body Works had a net margin of 9.50% and a negative return on equity of 47.35%. Bath & Body Works’s revenue for the quarter was down 1.0% on a year-over-year basis. During the same period last year, the company 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. Sell-side analysts anticipate that Bath & Body Works will post 3.3 earnings per share for the current year.

Bath & Body Works Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, December 5th. Stockholders of record on Friday, November 21st were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 3.5%. The ex-dividend date of this dividend was Friday, November 21st. Bath & Body Works’s dividend payout ratio is presently 24.62%.

Insider Activity at Bath & Body Works

In related news, Director Francis Hondal purchased 3,343 shares of the company’s stock in a transaction that occurred on Friday, November 21st. The stock was acquired at an average price of $14.99 per share, with a total value of $50,111.57. Following the completion of the purchase, the director directly owned 21,554 shares in the company, valued at $323,094.46. This trade represents a 18.36% increase in their ownership of the stock. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Stephen D. Steinour purchased 6,700 shares of the business’s stock in a transaction dated Friday, November 21st. The shares were purchased at an average cost of $14.86 per share, with a total value of $99,562.00. Following the acquisition, the director owned 48,175 shares in the company, valued at $715,880.50. This trade represents a 16.15% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last three months, insiders have bought 33,513 shares of company stock valued at $500,442. 0.26% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Bath & Body Works

Hedge funds and other institutional investors have recently made changes to their positions in the stock. JPMorgan Chase & Co. increased its holdings in shares of Bath & Body Works by 11.5% during the second quarter. JPMorgan Chase & Co. now owns 7,080,106 shares of the company’s stock worth $212,120,000 after buying an additional 733,000 shares in the last quarter. Alliancebernstein L.P. grew its position in Bath & Body Works by 2.2% during the 3rd quarter. Alliancebernstein L.P. now owns 5,861,444 shares of the company’s stock worth $150,991,000 after acquiring an additional 123,648 shares during the last quarter. Cooper Creek Partners Management LLC increased its holdings in Bath & Body Works by 42.7% in the 2nd quarter. Cooper Creek Partners Management LLC now owns 5,409,919 shares of the company’s stock worth $162,081,000 after purchasing an additional 1,619,276 shares in the last quarter. American Century Companies Inc. raised its position in Bath & Body Works by 2,204.1% in the third quarter. American Century Companies Inc. now owns 5,174,370 shares of the company’s stock valued at $133,292,000 after purchasing an additional 4,949,796 shares during the last quarter. Finally, AQR Capital Management LLC raised its position in Bath & Body Works by 17.1% in the third quarter. AQR Capital Management LLC now owns 4,921,968 shares of the company’s stock valued at $126,790,000 after purchasing an additional 718,642 shares during the last quarter. 95.14% of the stock is owned by institutional investors.

Key Bath & Body Works News

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

• Positive Sentiment: Zacks Research upgraded BBWI from “strong sell” to “hold,” a change that can attract buyers given the stock’s low valuation metrics and recent decline. Zacks Research Upgrade
• Negative Sentiment: Levi & Korsinsky announced the filing of a securities class action on behalf of BBWI shareholders, signaling formal litigation alleging investor harm tied to disclosures across the class period. Deadlines for seeking lead plaintiff roles are being set. Levi & Korsinsky Filing
• Negative Sentiment: Rosen Law Firm and multiple national plaintiffs’ firms (Bragar Eagel & Squire, Pomerantz, Faruqi & Faruqi, Bernstein Liebhard, etc.) have issued notices encouraging investors to contact them and to file for lead‑plaintiff roles by March deadlines — a coordinated wave that increases the likelihood of consolidated litigation and legal costs. Rosen Law Firm Notice
• Negative Sentiment: Bleichmar Fonti & Auld and other firms highlight that the suits follow a sharp multi‑day stock drop (reported as ~24% in some notices), asserting potential securities‑law violations by the company and certain executives — these claims, if consolidated, could prolong uncertainty. BFA Law Notice
• Negative Sentiment: Several smaller notices (Gross Law Firm, DJS Law Group, Schall, Bronstein Gewirtz & Grossman, Kessler Topaz, etc.) repeat similar claims and deadlines — the volume of notices increases headline risk and could pressure the stock if investors fear regulatory or settlement exposure. Representative PR Notice

About Bath & Body Works

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.