Bath & Body Works (NYSE:BBWI) Sets New 52-Week Low - Should You Sell?

Key Points

• Bath & Body Works stock reached a new 52-week low of $24.86 during trading, reflecting a decline of 2.9% and raising concerns among investors about its future performance.
• Despite the recent drop, analysts maintain a generally positive outlook, with an average rating of "Moderate Buy" and a price target of $38.15 from various brokerages.
• The company reported steady earnings with $0.37 EPS for the quarter, matching analysts' expectations, while also announcing a quarterly dividend of $0.20 per share, indicating a 3.2% dividend yield.

Bath & Body Works, Inc. (NYSE:BBWI - Get Free Report) hit a new 52-week low during mid-day trading on Friday . The company traded as low as $24.86 and last traded at $24.98, with a volume of 4664033 shares traded. The stock had previously closed at $25.76.

Wall Street Analysts Forecast Growth

A number of brokerages have recently issued reports on BBWI. Barclays increased their price objective on shares of Bath & Body Works from $30.00 to $32.00 and gave the stock an "equal weight" rating in a research note on Friday, August 29th. JPMorgan Chase & Co. reaffirmed a "neutral" rating and set a $26.00 target price on shares of Bath & Body Works in a research note on Monday. Morgan Stanley cut their target price on shares of Bath & Body Works from $19.00 to $18.00 and set an "overweight" rating for the company in a research note on Friday, September 12th. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of Bath & Body Works in a research note on Wednesday. Finally, Wall Street Zen cut shares of Bath & Body Works from a "buy" rating to a "hold" rating in a research note on Saturday, August 9th. Eleven investment analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $38.15.

Bath & Body Works Trading Down 2.9%

The firm has a market capitalization of $5.16 billion, a PE ratio of 7.42, a PEG ratio of 0.90 and a beta of 1.52. The business's 50 day simple moving average is $28.08 and its 200 day simple moving average is $29.34.

Bath & Body Works (NYSE:BBWI - Get Free Report) last issued its quarterly earnings data on Thursday, August 28th. The company reported $0.37 EPS for the quarter, hitting analysts' consensus estimates of $0.37. Bath & Body Works had a net margin of 9.88% and a negative return on equity of 48.43%. The business had revenue of $1.55 billion during the quarter, compared to analysts' expectations of $1.55 billion. During the same period last year, the company posted $0.37 EPS. The business's revenue was down .8% on a year-over-year basis. Bath & Body Works has set its Q3 2025 guidance at 0.370-0.45 EPS. FY 2025 guidance at 3.350-3.600 EPS. Analysts forecast that Bath & Body Works, Inc. will post 3.3 earnings per share for the current year.

Bath & Body Works Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, September 5th. Stockholders of record on Friday, August 22nd were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 3.2%. The ex-dividend date was Friday, August 22nd. Bath & Body Works's dividend payout ratio (DPR) is 23.74%.

Institutional Investors Weigh In On Bath & Body Works

Institutional investors have recently made changes to their positions in the company. Stonehage Fleming Financial Services Holdings Ltd bought a new stake in shares of Bath & Body Works in the 2nd quarter worth about $33,000. SVB Wealth LLC bought a new stake in shares of Bath & Body Works in the 1st quarter worth about $35,000. Geneos Wealth Management Inc. lifted its holdings in shares of Bath & Body Works by 217.7% in 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 during the last quarter. Parallel Advisors LLC lifted its holdings in shares of Bath & Body Works by 63.3% in the 2nd quarter. Parallel Advisors LLC now owns 1,241 shares of the company's stock worth $37,000 after acquiring an additional 481 shares during the last quarter. Finally, Golden State Wealth Management LLC lifted its holdings in shares of Bath & Body Works by 94.7% in the 1st quarter. Golden State Wealth Management LLC now owns 1,320 shares of the company's stock worth $40,000 after acquiring an additional 642 shares during the last quarter. Institutional investors own 95.14% of the company's stock.

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.

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