Hsbc Holdings PLC Decreases Stake in Bath & Body Works, Inc. $BBWI

Key Points

• Hsbc Holdings PLC sharply reduced its BBWI position in the fourth quarter, cutting its stake by 57.7% and selling 426,002 shares. It ended the period with 312,258 shares worth about $6.33 million.
• Wall Street sentiment remains cautious on Bath & Body Works, with analysts averaging a “Hold” rating and a consensus price target of $22.00. Recent target changes were mixed, with some firms trimming estimates while others raised them.
• The company beat quarterly expectations, reporting EPS of $0.32 versus the $0.29 consensus and revenue of $1.38 billion versus $1.36 billion expected. Bath & Body Works also maintained a quarterly dividend of $0.20 per share, implying a 3.5% yield.

Hsbc Holdings PLC cut its stake in shares of Bath & Body Works, Inc. (NYSE:BBWI - Free Report) by 57.7% during the fourth quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The firm owned 312,258 shares of the company's stock after selling 426,002 shares during the quarter. Hsbc Holdings PLC owned about 0.15% of Bath & Body Works worth $6,333,000 at the end of the most recent quarter.

Other large investors have also made changes to their positions in the company. Geneos Wealth Management Inc. boosted its holdings in Bath & Body Works by 217.7% during the first quarter. Geneos Wealth Management Inc. now owns 1,169 shares of the company's stock worth $35,000 after buying an additional 801 shares in the last quarter. Danske Bank A S purchased a new position in Bath & Body Works in the third quarter valued at about $39,000. Global Retirement Partners LLC purchased a new position in Bath & Body Works in the fourth quarter valued at about $31,000. Activest Wealth Management acquired a new stake in shares of Bath & Body Works during the 4th quarter valued at approximately $32,000. Finally, Advisory Services Network LLC acquired a new stake in shares of Bath & Body Works during the 3rd quarter valued at approximately $48,000. Hedge funds and other institutional investors own 95.14% of the company's stock.

Wall Street Analyst Weigh In

A number of equities research analysts recently weighed in on the company. UBS Group lowered their price target on Bath & Body Works from $22.00 to $19.00 and set a "neutral" rating on the stock in a report on Wednesday, May 20th. Barclays reduced their price objective on Bath & Body Works from $25.00 to $23.00 and set an "equal weight" rating for the company in a report on Thursday, May 28th. Wells Fargo & Company upped their target price on Bath & Body Works from $25.00 to $26.00 and gave the company an "overweight" rating in a report on Tuesday. The Goldman Sachs Group dropped their price target on Bath & Body Works from $26.00 to $23.00 and set a "neutral" rating for the company in a research report on Thursday, May 28th. Finally, TD Cowen lifted their price target on Bath & Body Works from $20.00 to $25.00 and gave the stock a "buy" rating in a research note on Thursday, May 28th. Three equities research analysts have rated the stock with a Buy rating, fourteen have assigned a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat, the stock presently has an average rating of "Hold" and an average price target of $22.00.

Bath & Body Works Price Performance

Shares of Bath & Body Works stock opened at $22.93 on Friday. Bath & Body Works, Inc. has a 1 year low of $14.27 and a 1 year high of $33.96. The company has a market capitalization of $4.62 billion, a P/E ratio of 6.44, a P/E/G ratio of 2.16 and a beta of 1.42. The business has a 50 day moving average price of $19.14 and a 200 day moving average price of $20.28.

Bath & Body Works (NYSE:BBWI - Get Free Report) last posted its earnings results on Wednesday, May 27th. The company reported $0.32 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.29 by $0.03. The firm had revenue of $1.38 billion for the quarter, compared to analyst estimates of $1.36 billion. Bath & Body Works had a negative return on equity of 45.34% and a net margin of 10.03%.Bath & Body Works's revenue was down 3.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.49 EPS. Bath & Body Works has set its Q2 2026 guidance at 0.300-0.300 EPS and its FY 2026 guidance at 2.400-2.650 EPS. As a group, research analysts expect that Bath & Body Works, Inc. will post 2.62 EPS for the current fiscal year.

Bath & Body Works Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, June 19th. Stockholders of record on Friday, June 5th were given a $0.20 dividend. This represents a $0.80 annualized dividend and a dividend yield of 3.5%. The ex-dividend date was Friday, June 5th. Bath & Body Works's dividend payout ratio is currently 22.47%.

Bath & Body Works 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.

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