Bath & Body Works Sees Unusually Large Options Volume (NYSE:BBWI)

Bath & Body Works, Inc. (NYSE:BBWI) was the target of some unusual options trading on Tuesday. Stock investors bought 23,399 put options on the company. This represents an increase of 550% compared to the typical volume of 3,601 put options.

Analyst Upgrades and Downgrades

A number of equities research analysts have weighed in on the stock. Raymond James Financial reiterated a “market perform” rating on shares of Bath & Body Works in a research note on Wednesday, May 27th. Morgan Stanley reaffirmed an “equal weight” rating and set a $22.00 price objective on shares of Bath & Body Works in a report on Monday, July 6th. Piper Sandler began coverage on shares of Bath & Body Works in a research report on Friday, May 15th. They set a “neutral” rating and a $20.00 target price on the stock. JPMorgan Chase & Co. increased their price target on shares of Bath & Body Works from $22.00 to $24.00 and gave the stock a “neutral” rating in a research report on Tuesday, August 18th. Finally, UBS Group restated a “neutral” rating on shares of Bath & Body Works in a research note on Wednesday, August 19th. Four analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Bath & Body Works presently has an average rating of “Hold” and a consensus price target of $22.57.

Bath & Body Works Stock Down 3.9%

Bath & Body Works stock traded down $0.76 during mid-day trading on Tuesday, hitting $18.41. 2,887,380 shares of the company were exchanged, compared to its average volume of 5,652,234. The business has a fifty day moving average of $20.46 and a 200 day moving average of $20.06. Bath & Body Works has a 1-year low of $14.27 and a 1-year high of $32.32. The company has a market capitalization of $3.71 billion, a PE ratio of 5.18, a price-to-earnings-growth ratio of 1.92 and a beta of 1.38.

Bath & Body Works (NYSE:BBWI) last issued its earnings results on Wednesday, May 27th. The company reported $0.32 EPS for the quarter, beating the consensus estimate of $0.29 by $0.03. Bath & Body Works had a net margin of 10.03% and a negative return on equity of 45.34%. The company had revenue of $1.38 billion for the quarter, compared to the consensus estimate of $1.36 billion. During the same quarter in the previous year, the company earned $0.49 EPS. The firm’s revenue for the quarter was down 3.2% compared to the same quarter last year. 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. Research analysts expect that Bath & Body Works will post 2.63 earnings per share for the current year.

Bath & Body Works Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 4th. Shareholders of record on Friday, August 21st will be paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 4.3%. The ex-dividend date of this dividend is Friday, August 21st. Bath & Body Works’s dividend payout ratio is currently 22.47%.

Institutional Investors Weigh In On Bath & Body Works

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Chase Investment Counsel Corp bought a new stake in shares of Bath & Body Works during the 4th quarter worth about $1,606,000. Bank of America Corp DE raised its holdings in Bath & Body Works by 26.2% in the 1st quarter. Bank of America Corp DE now owns 2,050,414 shares of the company’s stock valued at $38,281,000 after acquiring an additional 425,248 shares during the period. Intech Investment Management LLC lifted its position in Bath & Body Works by 462.6% during the fourth quarter. Intech Investment Management LLC now owns 108,766 shares of the company’s stock worth $2,184,000 after acquiring an additional 89,432 shares during the last quarter. Cibc World Market Inc. bought a new stake in shares of Bath & Body Works during the fourth quarter worth approximately $2,053,000. Finally, WINTON GROUP Ltd bought a new stake in shares of Bath & Body Works during the fourth quarter worth approximately $3,175,000. Institutional investors own 95.14% of the company’s stock.

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.