Bath & Body Works (NYSE:BBWI) Posts Quarterly Earnings Results, Beats Estimates By $0.38 EPS

Bath & Body Works (NYSE:BBWI) issued its earnings results on Wednesday. The company reported $0.62 earnings per share for the quarter, topping analysts’ consensus estimates of $0.24 by $0.38, FiscalAI reports. Bath & Body Works had a net margin of 10.03% and a negative return on equity of 45.34%. The business had revenue of $1.51 billion for the quarter, compared to the consensus estimate of $1.50 billion. Bath & Body Works updated its Q3 2026 guidance to 0.070-0.120 EPS and its FY 2026 guidance to 2.600-2.800 EPS.

Bath & Body Works Stock Performance

NYSE BBWI opened at $17.58 on Wednesday. The stock has a market cap of $3.54 billion, a PE ratio of 4.94, a P/E/G ratio of 1.89 and a beta of 1.38. The firm has a 50-day moving average of $20.39 and a 200-day moving average of $20.03. Bath & Body Works has a 52-week low of $14.27 and a 52-week high of $32.32.

Bath & Body Works Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Friday, September 4th. Stockholders of record on Friday, August 21st will be paid a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a dividend yield of 4.6%. The ex-dividend date is Friday, August 21st. Bath & Body Works’s dividend payout ratio (DPR) is currently 22.47%.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of BBWI. Sivia Capital Partners LLC bought a new stake in shares of Bath & Body Works during the second quarter worth approximately $306,000. Atlas Capital Advisors Inc. acquired a new position in shares of Bath & Body Works in the fourth quarter valued at approximately $156,000. Stifel Financial Corp bought a new position in shares of Bath & Body Works during the fourth quarter worth approximately $209,000. Quadrant Capital Group LLC lifted its holdings in Bath & Body Works by 179.5% during the 4th quarter. Quadrant Capital Group LLC now owns 3,633 shares of the company’s stock worth $73,000 after purchasing an additional 2,333 shares during the last quarter. Finally, Commonwealth Equity Services LLC acquired a new stake in Bath & Body Works during the 4th quarter worth approximately $211,000. 95.14% of the stock is owned by institutional investors.

More Bath & Body Works News

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

• Positive Sentiment: Second-quarter results exceeded expectations. Net sales were approximately $1.5 billion, while adjusted diluted EPS was $0.62, topping the $0.24 analyst consensus. The company said results exceeded its guidance, supported by demand for body-care products and home fragrances. Bath & Body Works Reports Second Quarter Results Exceeding Guidance
• Positive Sentiment: Full-year adjusted earnings guidance was raised. Bath & Body Works now expects adjusted EPS of $2.60 to $2.80, above the roughly $2.56 consensus estimate. Revenue guidance was set at $7.5 billion to $7.6 billion, also above the $7.0 billion consensus, while the company narrowed its expected annual sales decline to 2%–4%. Bath & Body Works lifts annual profit forecast
• Positive Sentiment: Digital and direct-channel demand is improving. Direct net sales grew as the company enhanced its digital shopping experience, helping offset weaker traffic in physical stores and supporting management’s transformation strategy.
• Neutral Sentiment: Analysts had revised expectations ahead of the report, and options markets indicated the potential for a sizable post-earnings move. This points to elevated volatility rather than a clear fundamental signal. Analysts revise forecasts ahead of earnings
• Negative Sentiment: Third-quarter guidance is well below consensus. The company forecast adjusted EPS of only $0.07 to $0.12 versus the $0.27 analyst estimate, although revenue guidance of $1.6 billion to $1.7 billion roughly matches expectations. The weak near-term profit outlook is likely the main reason investors are selling the stock.
• Negative Sentiment: Second-quarter sales fell 2.3%, and weak store traffic remains a concern. In addition, traders purchased 23,399 put options—about 550% above average daily volume—signaling increased bearish hedging or speculation ahead of the results.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on BBWI. JPMorgan Chase & Co. boosted their price objective on shares of Bath & Body Works from $22.00 to $24.00 and gave the stock a “neutral” rating in a research note on Tuesday, August 18th. Jefferies Financial Group raised their target price on shares of Bath & Body Works from $22.00 to $23.00 and gave the company a “hold” rating in a research note on Tuesday, July 28th. Weiss Ratings raised Bath & Body Works from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Thursday, July 9th. Citigroup upgraded Bath & Body Works from a “neutral” rating to a “buy” rating and set a $25.00 price objective on the stock in a research note on Tuesday, August 18th. Finally, Raymond James Financial reaffirmed a “market perform” rating on shares of Bath & Body Works in a research report on Wednesday, May 27th. Four analysts have rated the stock with a Buy rating, thirteen have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $22.57.

About Bath & Body Works

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.