Bath & Body Works (NYSE:BBWI) Sees Strong Trading Volume Following Strong Earnings

Bath & Body Works, Inc. (NYSE:BBWI) saw strong trading volume on Wednesday following a better than expected earnings announcement. 1,957,342 shares traded hands during trading, a decline of 36% from the previous session’s volume of 3,037,604 shares.The stock last traded at $33.07 and had previously closed at $34.72.

The company reported $0.38 earnings per share for the quarter, topping the consensus estimate of $0.33 by $0.05. Bath & Body Works had a net margin of 11.92% and a negative return on equity of 40.00%. The company had revenue of $1.38 billion for the quarter, compared to analysts’ expectations of $1.37 billion. During the same quarter in the previous year, the firm posted $0.33 earnings per share. Bath & Body Works’s revenue for the quarter was down .9% on a year-over-year basis.

Bath & Body Works Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, September 6th. Investors of record on Friday, August 23rd will be paid a $0.20 dividend. The ex-dividend date of this dividend is Friday, August 23rd. This represents a $0.80 annualized dividend and a dividend yield of 2.58%. Bath & Body Works’s dividend payout ratio is 20.62%.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. UBS Group cut their price target on shares of Bath & Body Works from $52.00 to $38.00 and set a “neutral” rating on the stock in a research report on Thursday. Barclays cut their price target on shares of Bath & Body Works from $32.00 to $31.00 and set an “equal weight” rating on the stock in a research report on Thursday. Citigroup dropped their price objective on shares of Bath & Body Works from $48.00 to $35.00 and set a “neutral” rating on the stock in a report on Tuesday, August 20th. Wells Fargo & Company dropped their price objective on shares of Bath & Body Works from $48.00 to $40.00 and set an “equal weight” rating on the stock in a report on Wednesday, July 24th. Finally, JPMorgan Chase & Co. dropped their price objective on shares of Bath & Body Works from $42.00 to $39.00 and set a “neutral” rating on the stock in a report on Thursday. Eight equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $42.50.

Institutional Investors Weigh In On Bath & Body Works

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. GAMMA Investing LLC purchased a new stake in Bath & Body Works in the 4th quarter valued at about $27,000. First Community Trust NA purchased a new stake in Bath & Body Works in the 2nd quarter valued at about $30,000. EverSource Wealth Advisors LLC increased its stake in Bath & Body Works by 72.0% in the 4th quarter. EverSource Wealth Advisors LLC now owns 805 shares of the company’s stock valued at $35,000 after buying an additional 337 shares during the last quarter. EntryPoint Capital LLC increased its stake in Bath & Body Works by 224.0% in the 1st quarter. EntryPoint Capital LLC now owns 1,471 shares of the company’s stock valued at $74,000 after buying an additional 1,017 shares during the last quarter. Finally, Federated Hermes Inc. grew its position in shares of Bath & Body Works by 17.1% during the 4th quarter. Federated Hermes Inc. now owns 1,612 shares of the company’s stock valued at $70,000 after acquiring an additional 235 shares during the period. Hedge funds and other institutional investors own 95.14% of the company’s stock.

Bath & Body Works Trading Down 4.0 %

The stock’s 50-day moving average price is $35.68 and its two-hundred day moving average price is $42.68. The stock has a market capitalization of $6.92 billion, a P/E ratio of 7.99, a P/E/G ratio of 1.16 and a beta of 1.85.

About Bath & Body Works

Bath & Body Works, Inc operates a specialty retailer of home fragrance, body care, and soaps and sanitizer products. It sells its products under the Bath & Body Works, White Barn, and other brand names through retail stores and e-commerce sites located in the United States and Canada, as well as through international stores operated by partners under franchise, license, and wholesale arrangements.