Bath & Body Works (NYSE:BBWI) Updates FY26 Earnings Guidance

Bath & Body Works (NYSE:BBWI) issued an update on its FY26 earnings guidance on Tuesday morning. The company provided EPS guidance of $3.25-360 for the period, compared to the consensus EPS estimate of $3.61. Bath & Body Works also updated its Q1 guidance to $0.36-0.43 EPS.

Bath & Body Works Price Performance

BBWI opened at $30.45 on Tuesday. The firm has a 50 day simple moving average of $37.09 and a 200 day simple moving average of $34.14. Bath & Body Works has a fifty-two week low of $26.20 and a fifty-two week high of $52.99. The company has a market cap of $6.60 billion, a price-to-earnings ratio of 7.43, a price-to-earnings-growth ratio of 0.92 and a beta of 1.89.

Bath & Body Works (NYSE:BBWI) last issued its earnings results on Thursday, February 27th. The company reported $2.09 EPS for the quarter, beating the consensus estimate of $2.04 by $0.05. The company had revenue of $2.79 billion during the quarter, compared to analysts’ expectations of $2.78 billion. Bath & Body Works had a net margin of 12.43% and a negative return on equity of 44.03%. As a group, analysts expect that Bath & Body Works will post 3.3 EPS for the current year.

Bath & Body Works Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Friday, March 7th. Shareholders of record on Friday, February 21st were paid a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 2.63%. The ex-dividend date was Friday, February 21st. Bath & Body Works’s payout ratio is 21.98%.

Bath & Body Works declared that its board has initiated a stock buyback program on Thursday, February 27th that authorizes the company to buyback $500.00 million in shares. This buyback authorization authorizes the company to purchase up to 6.4% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

A number of analysts recently weighed in on BBWI shares. Argus reiterated a “hold” rating on shares of Bath & Body Works in a research report on Friday, January 10th. Wells Fargo & Company raised shares of Bath & Body Works from an “equal weight” rating to an “overweight” rating and lifted their price target for the stock from $42.00 to $48.00 in a research report on Friday, January 10th. Cowen reissued a “buy” rating on shares of Bath & Body Works in a report on Thursday, February 27th. Deutsche Bank Aktiengesellschaft raised their price objective on Bath & Body Works from $51.00 to $52.00 and gave the stock a “buy” rating in a research note on Tuesday, November 26th. Finally, Telsey Advisory Group reaffirmed an “outperform” rating and set a $43.00 price target on shares of Bath & Body Works in a research report on Thursday, February 27th. Five investment analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $45.06.

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.