Bath & Body Works (NYSE:BBWI) Releases Q1 2026 Earnings Guidance

Bath & Body Works (NYSE:BBWI) issued an update on its first quarter 2026 earnings guidance on Wednesday morning. The company provided EPS guidance of 0.240-0.300 for the period, compared to the consensus EPS estimate of 1.170. The company issued revenue guidance of -. Bath & Body Works also updated its FY 2026 guidance to 2.400-2.650 EPS.

Bath & Body Works Trading Up 1.8%

Shares of NYSE:BBWI opened at $22.43 on Wednesday. The firm has a market capitalization of $4.59 billion, a PE ratio of 6.90, a PEG ratio of 0.97 and a beta of 1.48. Bath & Body Works has a 1-year low of $14.27 and a 1-year high of $35.21. The business’s 50 day moving average is $22.25 and its 200-day moving average is $23.59.

Bath & Body Works (NYSE:BBWI) last posted its earnings results on Wednesday, March 4th. The company reported $2.05 EPS for the quarter, topping the consensus estimate of $1.76 by $0.29. The business had revenue of $2.72 billion during the quarter, compared to the consensus estimate of $2.59 billion. Bath & Body Works had a negative return on equity of 47.35% and a net margin of 9.50%.Bath & Body Works has set its Q1 2026 guidance at 0.240-0.300 EPS and its FY 2026 guidance at 2.400-2.650 EPS. On average, sell-side analysts predict that Bath & Body Works will post 3.3 EPS for the current year.

Bath & Body Works Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 6th. Investors of record on Friday, February 20th will be given a $0.20 dividend. This represents a $0.80 dividend on an annualized basis and a yield of 3.6%. The ex-dividend date is Friday, February 20th. Bath & Body Works’s dividend payout ratio (DPR) is presently 24.62%.

Analyst Ratings Changes

A number of brokerages have issued reports on BBWI. Bank of America set a $26.00 target price on Bath & Body Works in a report on Monday, November 24th. Jefferies Financial Group initiated coverage on shares of Bath & Body Works in a report on Wednesday, January 14th. They set a “hold” rating and a $24.00 price objective for the company. Deutsche Bank Aktiengesellschaft increased their target price on shares of Bath & Body Works from $21.00 to $22.00 and gave the stock a “hold” rating in a report on Tuesday. Guggenheim initiated coverage on shares of Bath & Body Works in a report on Tuesday, December 9th. They issued a “neutral” rating for the company. Finally, Raymond James Financial restated a “market perform” rating on shares of Bath & Body Works in a research report on Wednesday, November 12th. Three analysts have rated the stock with a Buy rating and fourteen have issued a Hold rating to the company. According to data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $23.86.

Key Headlines Impacting Bath & Body Works

Here are the key news stories impacting Bath & Body Works this week:

• Positive Sentiment: PEEPS collaboration and spring merchandising interest could help drive seasonal traffic and basket uplift, a potential short‑term retail tailwind. BBWI Valuation / PEEPS collaboration
• Neutral Sentiment: Deutsche Bank raised its price target from $21 to $22 but kept a “hold” rating (small change). Deutsche Bank adjusts PT
• Neutral Sentiment: Barclays lifted its target from $20 to $21 and kept an “equal weight” rating — another modest analyst tweak rather than an upgrade. Barclays raises PT
• Neutral Sentiment: Bath & Body Works released fourth‑quarter and full‑year 2025 results and issued the 2026 guidance package; details are in the company press release. Q4 and FY2025 results & 2026 guidance
• Negative Sentiment: FY‑2026 EPS guidance came in at $2.40–$2.65 versus consensus ~$2.74 — a modest miss that signals more constrained full‑year profit expectations.
• Negative Sentiment: Q1‑2026 EPS guidance was cut sharply to $0.24–$0.30 versus consensus ~$1.17, flagging an earnings shortfall early in the year and driving the immediate negative reaction.
• Negative Sentiment: Numerous law firms announced or promoted class‑action filings and lead‑plaintiff deadlines related to the company (multiple notices/deadlines through March 13–16), increasing legal overhang and headline risk. Pomerantz investor alert
• Negative Sentiment: Cooper Creek liquidated ~5.0M shares in Q4 (≈$129M stake decline), a significant institutional sale that can pressure the stock and signal reduced conviction from a prior holder. Cooper Creek liquidation

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. AQR Capital Management LLC lifted its stake in shares of Bath & Body Works by 132.5% in the 4th quarter. AQR Capital Management LLC now owns 11,445,928 shares of the company’s stock valued at $229,834,000 after acquiring an additional 6,523,960 shares during the last quarter. Balyasny Asset Management L.P. bought a new position in Bath & Body Works in the fourth quarter valued at about $54,785,000. Bank of America Corp DE boosted its stake in shares of Bath & Body Works by 86.9% during the third quarter. Bank of America Corp DE now owns 3,399,390 shares of the company’s stock valued at $87,568,000 after purchasing an additional 1,580,176 shares in the last quarter. Two Sigma Investments LP grew its holdings in shares of Bath & Body Works by 1,004.1% during the third quarter. Two Sigma Investments LP now owns 1,443,312 shares of the company’s stock worth $37,180,000 after purchasing an additional 1,312,586 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership acquired a new position in shares of Bath & Body Works in the third quarter valued at approximately $31,942,000. Institutional investors own 95.14% of the company’s stock.

Bath & Body Works Company 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.