Bath & Body Works (NYSE:BBWI) Posts Quarterly Earnings Results, Meets Estimates

Key Points

• Bath & Body Works reported $0.37 earnings per share for the quarter, exceeding analysts' expectations of $0.36.
• The company updated its Q3 2025 EPS guidance range to $0.370-0.45 and its FY 2025 guidance to $3.350-3.600.
• A dividend of $0.20 per share will be paid on September 5th, representing a 2.5% yield with a payout ratio of 21.33%.

Bath & Body Works (NYSE:BBWI - Get Free Report) announced its quarterly earnings results on Thursday. The company reported $0.37 EPS for the quarter, meeting the consensus estimate of $0.37, Zacks reports. The firm had revenue of $1.55 billion for the quarter, compared to analyst estimates of $1.55 billion. Bath & Body Works had a negative return on equity of 47.44% and a net margin of 11.10%.The business's revenue for the quarter was down .8% on a year-over-year basis. During the same quarter last year, the firm posted $0.37 earnings per share. Bath & Body Works updated its Q3 2025 guidance to 0.370-0.45 EPS and its FY 2025 guidance to 3.350-3.600 EPS.

Bath & Body Works Stock Down 6.6%

Shares of Bath & Body Works stock traded down $2.08 on Thursday, reaching $29.47. 15,336,246 shares of the stock were exchanged, compared to its average volume of 5,175,170. Bath & Body Works has a twelve month low of $24.94 and a twelve month high of $41.87. The firm has a market capitalization of $6.24 billion, a price-to-earnings ratio of 7.86, a PEG ratio of 1.05 and a beta of 1.54. The business has a 50 day moving average price of $30.58 and a two-hundred day moving average price of $30.90.

Bath & Body Works Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Friday, September 5th. Investors of record on Friday, August 22nd will be issued a dividend of $0.20 per share. The ex-dividend date of this dividend is Friday, August 22nd. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.7%. Bath & Body Works's payout ratio is 21.33%.

Institutional Investors Weigh In On Bath & Body Works

Institutional investors and hedge funds have recently modified their holdings of the company. Balyasny Asset Management L.P. raised its position in Bath & Body Works by 63.0% during the second quarter. Balyasny Asset Management L.P. now owns 1,120,926 shares of the company's stock valued at $33,583,000 after acquiring an additional 433,309 shares in the last quarter. Alliancebernstein L.P. raised its position in Bath & Body Works by 5.8% during the second quarter. Alliancebernstein L.P. now owns 5,737,796 shares of the company's stock valued at $171,904,000 after acquiring an additional 315,738 shares in the last quarter. Amundi raised its position in Bath & Body Works by 134.1% during the second quarter. Amundi now owns 409,496 shares of the company's stock valued at $13,423,000 after acquiring an additional 234,545 shares in the last quarter. AQR Capital Management LLC raised its position in Bath & Body Works by 5.3% during the second quarter. AQR Capital Management LLC now owns 4,203,326 shares of the company's stock valued at $125,322,000 after acquiring an additional 210,153 shares in the last quarter. Finally, Makaira Partners LLC raised its position in Bath & Body Works by 12.2% during the second quarter. Makaira Partners LLC now owns 1,839,039 shares of the company's stock valued at $55,098,000 after acquiring an additional 200,000 shares in the last quarter. Institutional investors and hedge funds own 95.14% of the company's stock.

Analysts Set New Price Targets

BBWI has been the topic of several research reports. Barclays cut their price target on Bath & Body Works from $35.00 to $30.00 and set an "equal weight" rating on the stock in a research note on Friday, May 30th. Wells Fargo & Company raised their price target on Bath & Body Works from $40.00 to $44.00 and gave the company an "overweight" rating in a research note on Wednesday, May 14th. Piper Sandler set a $39.00 price target on Bath & Body Works and gave the company an "overweight" rating in a research note on Thursday, May 15th. JPMorgan Chase & Co. raised their price target on Bath & Body Works from $40.00 to $46.00 and gave the company an "overweight" rating in a research note on Monday, July 28th. Finally, UBS Group raised their price objective on Bath & Body Works from $32.00 to $36.00 and gave the company a "neutral" rating in a research report on Tuesday, May 20th. Fourteen equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $42.53.

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.