Bath & Body Works, Inc.
- Open
- 20.18
- Day high
- 20.31
- Day low
- 19.71
- Prev close
- 20.51
- Volume
- 622K
- Mkt cap
- $4.1B
- P/E (TTM)
- 5.8
- EPS (TTM)
- $3.47
- P/B
- -3.6
- P/S
- 0.6
- Yield
- 3.96%
- Per share
- $0.80
Bath & Body Works, Inc. (BBWI) is a Consumer Cyclical company listed on NYSE. The stock is down 35% over the past year.
Bath & Body Works, Inc. (BBWI) financials & analyst ratings
Fundamentals (TTM)
Analyst consensus · 8 analysts
Source: exchange market data + company filings. Figures are trailing-twelve-month or as most recently reported. For informational purposes only — not investment advice.
BBWI earnings date, history & EPS estimates
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| May 27, 2026 | $0.29 | $0.32 | +10.3% | $1.4B | +1.2% |
| Mar 4, 2026 | $1.77 | $2.05 | +15.8% | $2.7B | +101.0% |
| Nov 20, 2025 | $0.38 | $0.35 | -8.4% | $1.6B | -1.9% |
| Aug 28, 2025 | $0.37 | $0.37 | +0.0% | $1.5B | -5.6% |
| May 29, 2025 | $0.42 | $0.49 | +17.3% | $1.4B | +0.1% |
| Feb 27, 2025 | $2.04 | $2.09 | +2.5% | $2.8B | +96.0% |
| Nov 25, 2024 | $0.47 | $0.49 | +4.3% | $1.6B | +1.9% |
| Aug 28, 2024 | $0.36 | $0.37 | +3.9% | $1.5B | -1.0% |
| Jun 4, 2024 | $0.33 | $0.38 | +15.2% | $1.4B | +1.2% |
| Feb 29, 2024 | $1.87 | $2.06 | +10.2% | $2.9B | +2.5% |
| Nov 16, 2023 | $0.35 | $0.48 | +37.1% | $1.6B | +0.2% |
| Aug 23, 2023 | $0.33 | $0.40 | +21.2% | $1.6B | -0.5% |
BBWI insider trading activity (SEC Form 4)
| Date | Insider | Type | Shares | Price |
|---|---|---|---|---|
| Jun 15, 2026 | Lee Danielle M.director | Grant | 7,970 | — |
| Jun 15, 2026 | Hondal Francisdirector | Grant | 7,970 | — |
| Jun 15, 2026 | Brady Lucydirector | Grant | 7,970 | — |
| Jun 15, 2026 | Nash Sarah Edirector | Grant | 13,284 | — |
| Jun 15, 2026 | Voskuil Steven Edirector | Grant | 7,970 | — |
| Jun 15, 2026 | Bogliolo Alessandrodirector | Grant | 7,970 | — |
| Jun 15, 2026 | STEINOUR STEPHEN Ddirector | Grant | 7,970 | — |
| Jun 15, 2026 | Symancyk James Kevindirector | Grant | 7,970 | — |
| Jun 15, 2026 | Javitch Tomofficer: Interim CFO | Grant | 10,309 | — |
| Jun 15, 2026 | Rajlin Juandirector | Grant | 7,970 | — |
| May 20, 2026 | Mazurek Thomas E.officer: Chief Supply Chain Officer | Tax | 4,127 | $16.11 |
| May 20, 2026 | Mazurek Thomas E.officer: Chief Supply Chain Officer | Grant | 6,616 | — |
| May 19, 2026 | Heaf Danieldirector, officer: CEO | Tax | 7,334 | $17.09 |
| Mar 16, 2026 | Mazurek Thomas E.officer: Chief Supply Chain Officer | Grant | 40,921 | — |
| Mar 16, 2026 | Boratto Eva Cofficer: Chief Financial Officer | Tax | 10,782 | $19.50 |
Source: BBWI SEC Form 4 filings, latest Jun 15, 2026. For informational purposes only — not investment advice.
See the full BBWI insider & 13F page →Bath & Body Works, Inc. company profile
Overview
Bath & Body Works, Inc. (NYSE:BBWI) is a leading American specialty retailer of personal care and home fragrance products. Founded in 1990 as a subsidiary of The Limited, the company became part of L Brands in 1997 and operated as a division alongside Victoria's Secret until August 2021, when it spun off as an independent public company following L Brands' strategic restructuring. Headquartered in Columbus, Ohio, Bath & Body Works has grown from a small bath products retailer into North America's largest specialty retailer of personal care and home fragrance products, operating over 1,750 company-owned stores across the United States and Canada, plus hundreds of international partner-operated locations worldwide.
Business
Bath & Body Works operates in the specialty retail sector, specifically focusing on personal care and home fragrance products. The company's business revolves around three core product categories that represent the foundation of the personal care and home ambiance market. Body Care products form the largest segment of the business, encompassing body lotions, body creams, fragrance mists, shower gels, and body scrubs. These products are designed to provide customers with signature scents and skincare benefits, with popular fragrances like Japanese Cherry Blossom, Warm Vanilla Sugar, and A Thousand Wishes becoming household names. The body care category has shown consistent low single-digit growth and represents the company's heritage business. Home Fragrance products constitute the second major category, primarily featuring three-wick candles, wallflowers (plug-in air fresheners), and room sprays. The home fragrance market has experienced significant growth over the past decade as consumers increasingly focus on creating pleasant living environments. Bath & Body Works has established itself as a market leader in this space, with candles being particularly popular during seasonal periods and gift-giving occasions. Soaps and Sanitizers represent the third core category, which gained particular prominence during the COVID-19 pandemic. This segment includes antibacterial hand soaps, hand sanitizers, and foaming hand soaps, often featuring the same signature fragrances as the body care line to create a cohesive brand experience. Additionally, the company has been expanding into adjacent categories that now represent approximately 10% of total business, including men's grooming products, hair care, lip care, and laundry products. These newer categories are designed to attract different customer demographics and increase basket size per transaction. The company operates through multiple channels: specialty retail stores (representing about 75% of revenue), direct-to-consumer online sales (approximately 20% of revenue), and international partnerships (roughly 5% of revenue). Bath & Body Works also operates under the White Barn brand name for certain home fragrance products and has been expanding its presence through strategic collaborations with popular entertainment properties like Disney, Netflix, and various television shows.
Revenue model
Bath & Body Works generates revenue primarily through direct product sales to consumers across multiple channels. The company operates on a traditional retail model where it purchases products from manufacturers (with 85% of products manufactured in North America) and sells them at marked-up prices through its various distribution channels. The company's revenue streams break down into several key areas: company-operated retail stores in the US and Canada generate approximately $2.1 billion annually, representing the largest portion of total revenue. Direct-to-consumer online sales contribute around $595 million annually, while international sales through franchise, licensing, and wholesale arrangements with partners add approximately $84 million. The company also generates revenue through its loyalty program, which drives higher customer lifetime value and repeat purchases. Bath & Body Works' business model benefits from several margin-enhancing factors. The company has built strong brand recognition and customer loyalty, allowing it to command premium pricing compared to generic personal care products. Its vertically integrated supply chain with 85% North American manufacturing provides better cost control and quality assurance. The seasonal nature of many products creates urgency and allows for premium pricing during peak periods like holidays. Additionally, the company's loyal customer base of 39 million active members provides predictable revenue streams and higher margins through reduced marketing costs. However, several factors can pressure margins. Commodity price fluctuations in raw materials like oils, waxes, and packaging materials directly impact cost of goods sold. Tariff policies, particularly on Chinese imports, can increase input costs. Competitive pressure from both traditional retailers and emerging direct-to-consumer brands may force promotional pricing. Economic downturns typically lead customers to seek more value-oriented options, pressuring the company's premium positioning. Real estate costs for prime mall and off-mall locations continue to rise, while labor shortages and wage inflation increase operational expenses. The company also faces seasonality challenges, with stronger performance in Q4 due to holiday shopping but weaker performance in Q1 and Q2, creating working capital and inventory management challenges.
Competitive moat
Bath & Body Works possesses a moderate but defensible competitive moat built primarily around brand recognition, customer loyalty, and operational scale, though this moat faces increasing pressure from evolving retail dynamics and new competition. The company's strongest moat component is its brand equity and customer loyalty. With 39 million active loyalty program members and nearly 80% of US revenue flowing through the loyalty program, Bath & Body Works has created strong switching costs and emotional connections with customers. The brand has achieved iconic status in personal care, with signature fragrances becoming cultural touchstones that customers associate with specific memories and experiences. This emotional connection is difficult for competitors to replicate quickly. Scale advantages provide another layer of protection. As North America's largest specialty retailer in personal care and home fragrance, the company enjoys significant purchasing power with suppliers, operational efficiencies in distribution, and the ability to invest heavily in marketing and product development. The company's extensive retail footprint of over 1,750 stores creates convenience and accessibility that pure-play online competitors cannot match. The company has also built operational expertise in fragrance development, seasonal merchandising, and inventory management that takes years to develop. Its ability to predict and capitalize on fragrance trends, manage complex seasonal inventory cycles, and execute successful product launches represents accumulated institutional knowledge. However, the moat faces significant challenges. Digital disruption allows new direct-to-consumer brands to reach customers without expensive retail real estate, potentially offering similar products at lower prices. Private label competition from major retailers like Target and Walmart continues to improve in quality while maintaining significant price advantages. Changing consumer preferences toward cleaner, more natural products and sustainable packaging create opportunities for nimble competitors to capture market share. Additionally, the commoditization of fragrance manufacturing means that product differentiation based purely on scent profiles is becoming more difficult to maintain. The company's moat is further weakened by its dependence on physical retail in an increasingly digital world, though management has been actively addressing this through omnichannel investments and off-mall store expansion. Overall, while Bath & Body Works maintains competitive advantages, the moat is under pressure and requires continuous investment and adaptation to remain effective.
Risks & safety
Bath & Body Works presents a moderate margin of safety with strong cash generation capabilities but elevated debt levels that create some financial risk. **Cash Flow and Liquidity:** - Strong free cash flow generation of $660 million in FY 2024 - Current ratio of 1.48, indicating adequate short-term liquidity - Cash and short-term investments of $674 million provide reasonable cushion - Operating cash flow of $886 million demonstrates healthy cash conversion **Debt and Solvency Concerns:** - Negative shareholders' equity of -$1.4 billion due to high debt levels - Debt-to-equity ratio of -3.58 indicates significant leverage - Total liabilities of $6.3 billion exceed total assets of $4.9 billion - This capital structure reflects the company's spin-off history and aggressive capital allocation **Valuation Metrics:** - P/E ratio of 10.4 appears reasonable for current earnings - EV/EBITDA of 7.7 suggests moderate valuation - Price-to-book ratio is negative due to negative equity - Graham net-net working capital is negative, indicating asset-light business model **Other Considerations:** - Consistent profitability with $798 million net income in FY 2024 - Strong market position provides revenue stability - Seasonal business model creates working capital fluctuations - Exposure to consumer discretionary spending creates cyclical risk
Recent development
Over the past several years, Bath & Body Works has undergone significant strategic transformation following its spin-off from L Brands in August 2021. The company has focused on what management calls the "Five Es" strategic framework: Elevating brand and core products, Extending reach, Engaging customers, Enabling omnichannel experiences, and Enhancing operational excellence. A major strategic pivot has been the aggressive expansion into adjacent product categories, which now represent approximately 10% of total business. The company has successfully launched men's grooming products, hair care, lip care, and laundry products, with these categories consistently outperforming the core business and attracting new customer demographics. The men's category has been particularly successful, targeting a $12 billion addressable market. Brand collaborations and partnerships have become a cornerstone of the company's customer acquisition strategy. Recent high-profile collaborations include Disney Princess collections, Netflix's "Bridgerton" and "Emily in Paris" series, and "Stranger Things" themed products. These partnerships have proven effective in driving traffic, enhancing brand relevance, and attracting younger customers to the brand. The company has also prioritized digital transformation and omnichannel capabilities. Buy-online-pickup-in-store (BOPIS) services have grown 40% and now represent 25% of digital demand. The loyalty program has expanded to 39 million active members, with the company investing in personalized marketing, generative AI tools for fragrance recommendations, and enhanced mobile experiences. International expansion has accelerated, with the company now operating nearly 500 international stores through franchise and licensing partnerships. Despite temporary setbacks in Middle East markets due to regional conflicts, the company has achieved double-digit growth in non-affected international regions and opened flagship locations in key markets like London and South Korea. Operationally, the company has implemented its "Fuel for Growth" cost optimization program, delivering $155 million in annual savings while simultaneously investing in technology, marketing, and product development. The company has also shifted its real estate strategy, with 57% of North American stores now located in off-mall locations to capture changing shopping patterns and reduce occupancy costs.
BBWI company profile · for informational purposes only — not investment advice.
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