Bath & Body Works (NYSE:BBWI) Approves Share Buyback Program

Bath & Body Works (NYSE:BBWI) declared that its board has authorized a stock buyback program on Thursday, February 27th, RTT News reports. The company plans to buyback $500.00 million in outstanding shares. This buyback authorization allows the company to purchase up to 6.4% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s management believes its stock is undervalued.

Bath & Body Works Price Performance

Shares of BBWI opened at $36.22 on Friday. The stock has a 50-day moving average of $37.70 and a 200-day moving average of $34.13. The company has a market cap of $7.84 billion, a PE ratio of 8.83, a P/E/G ratio of 0.92 and a beta of 1.83. Bath & Body Works has a one year low of $26.20 and a one year high of $52.99.

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

Bath & Body Works Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Friday, March 7th. Investors of record on Friday, February 21st will be issued a $0.20 dividend. The ex-dividend date is Friday, February 21st. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.21%. Bath & Body Works’s dividend payout ratio (DPR) is presently 19.51%.

Wall Street Analysts Forecast Growth

Several research firms have weighed in on BBWI. Deutsche Bank Aktiengesellschaft lifted their target price on Bath & Body Works from $51.00 to $52.00 and gave the stock a “buy” rating in a report on Tuesday, November 26th. Raymond James reiterated an “outperform” rating and set a $46.00 price target (up previously from $42.00) on shares of Bath & Body Works in a report on Tuesday, February 25th. Piper Sandler boosted their price objective on Bath & Body Works from $36.00 to $39.00 and gave the stock a “neutral” rating in a report on Monday, January 6th. JPMorgan Chase & Co. set a $47.00 price target on Bath & Body Works in a research note on Thursday. Finally, Cowen reiterated a “buy” rating on shares of Bath & Body Works in a research note on Thursday. Five analysts have rated the stock with a hold rating and thirteen have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $45.38.

About Bath & Body Works

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.