Bath & Body Works (NYSE:BBWI) Shares Up 4% - Here's Why

Bath & Body Works, Inc. (NYSE:BBWI - Get Free Report) shares were up 4% on Monday . The company traded as high as $31.04 and last traded at $30.75. Approximately 1,289,280 shares changed hands during mid-day trading, a decline of 75% from the average daily volume of 5,155,768 shares. The stock had previously closed at $29.58.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on BBWI shares. Argus reissued a "hold" rating on shares of Bath & Body Works in a research report on Friday, January 10th. Wells Fargo & Company upgraded Bath & Body Works from an "equal weight" rating to an "overweight" rating and raised their price target for the company from $42.00 to $48.00 in a report on Friday, January 10th. Telsey Advisory Group reissued an "outperform" rating and set a $43.00 price objective on shares of Bath & Body Works in a research report on Thursday, February 27th. JPMorgan Chase & Co. decreased their target price on shares of Bath & Body Works from $47.00 to $41.00 and set an "overweight" rating for the company in a report on Monday, April 14th. Finally, Raymond James reduced their price target on shares of Bath & Body Works from $46.00 to $37.00 and set an "outperform" rating for the company in a research report on Thursday, April 17th. Four analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $42.69.

Bath & Body Works Price Performance

The stock has a market cap of $6.69 billion, a P/E ratio of 7.62, a price-to-earnings-growth ratio of 0.92 and a beta of 1.69. The stock's 50-day moving average is $31.33 and its two-hundred day moving average is $33.86.

Bath & Body Works (NYSE:BBWI - Get Free Report) last posted its earnings results on Thursday, February 27th. The company reported $2.09 EPS for the quarter, topping analysts' consensus estimates of $2.04 by $0.05. Bath & Body Works had a negative return on equity of 44.03% and a net margin of 12.43%. The company had revenue of $2.79 billion for the quarter, compared to the consensus estimate of $2.78 billion. On average, analysts anticipate that Bath & Body Works, Inc. will post 3.3 EPS for the current fiscal year.

Bath & Body Works Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, March 7th. Stockholders of record on Friday, February 21st were given a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a dividend yield of 2.56%. The ex-dividend date of this dividend was Friday, February 21st. Bath & Body Works's dividend payout ratio is 21.98%.

Bath & Body Works announced that its Board of Directors has authorized a stock buyback program on Thursday, February 27th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to purchase up to 6.4% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

Hedge Funds Weigh In On Bath & Body Works

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Vanguard Group Inc. raised its stake in shares of Bath & Body Works by 0.7% in the fourth quarter. Vanguard Group Inc. now owns 28,199,787 shares of the company's stock valued at $1,093,306,000 after acquiring an additional 208,036 shares during the period. T. Rowe Price Investment Management Inc. grew its stake in shares of Bath & Body Works by 4.3% during the fourth quarter. T. Rowe Price Investment Management Inc. now owns 10,235,086 shares of the company's stock valued at $396,815,000 after buying an additional 422,973 shares during the last quarter. Price T Rowe Associates Inc. MD raised its holdings in shares of Bath & Body Works by 5.5% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 8,494,089 shares of the company's stock worth $329,317,000 after buying an additional 445,887 shares during the period. Alliancebernstein L.P. boosted its holdings in Bath & Body Works by 35.6% during the 4th quarter. Alliancebernstein L.P. now owns 5,178,447 shares of the company's stock valued at $200,768,000 after acquiring an additional 1,360,264 shares during the period. Finally, Anomaly Capital Management LP grew its position in Bath & Body Works by 38.3% in the 4th quarter. Anomaly Capital Management LP now owns 4,860,876 shares of the company's stock valued at $188,456,000 after acquiring an additional 1,346,752 shares during the last quarter. Hedge funds and other institutional investors own 95.14% of the company's stock.

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.

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