BBWI Stock Analysis: Bath & Body Works | NYSE
Specialty Retail | NYSE, USA | Market Cap: 4.224m USD | 12M Return: -0.7% | US0708301041 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 131M
EPS Trend: 16.8%
Qual. Beats: 1
Rev. Trend: -86.4%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Bath & Body Works, Inc. (BBWI) is a U.S.-based specialty retailer focused on personal care and home fragrance products. Its merchandise spans 3-wick candles, home fragrance diffusers, fine fragrance mists, eau de parfum, body wash, hand soaps, body lotions and creams, and sanitizers, sold primarily under the Bath & Body Works brand through a combination of company-operated retail stores, e-commerce sites in the U.S. and Canada, and international partner-operated stores via franchise, license, and wholesale arrangements. The company was originally founded in 1963 and is headquartered in Columbus, Ohio, having previously operated as L Brands, Inc. before rebranding in August 2021.
BBWI is classified in the Consumer Discretionary sector within the Other Specialty Retail sub-industry, reflecting its position as a non-grocery, brand-driven retailer rather than a mass-market general merchandiser. The companys business model combines a vertically integrated direct-to-consumer retail footprint-which gives it control over pricing, merchandising, and customer data-with a capital-light international expansion strategy that relies on third-party operators to extend brand reach into markets where it does not own stores.
- Candle and home fragrance category anchors comparable sales growth
- Input cost inflation and tariffs pressure gross margins
- International franchise expansion diversifies revenue mix
| Net Income: 781.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.20 > 0.02 and ΔFCF/TA 3.73 > 1.0 |
| NWC/Revenue: 4.76% < 20% (prev 5.47%; Δ -0.71% < -1%) |
| CFO/TA 0.25 > 3% & CFO 1.27b > Net Income 781.0m |
| Net Debt (5.08b) to EBITDA (1.47b): 3.45 < 3 |
| Current Ratio: 1.20 > 1.5 & < 3 |
| Outstanding Shares: last quarter (202.0m) vs 12m ago -4.54% < -2% |
| Gross Margin: 44.12% > 18% (prev 44.60%; Δ -0.48% > 0.5%) |
| Asset Turnover: 144.6% > 50% (prev 153.1%; Δ -8.46% > 0%) |
| Interest Coverage Ratio: 4.57 > 6 (EBIT TTM 1.23b / Interest Expense TTM 269.0m) |
| A: 0.07 (Total Current Assets 2.05b - Total Current Liabilities 1.71b) / Total Assets 5.16b |
| B: -0.24 (Retained Earnings -1.21b / Total Assets 5.16b) |
| C: 0.25 (EBIT TTM 1.23b / Avg Total Assets 4.99b) |
| D: -0.17 (Book Value of Equity -1.05b / Total Liabilities 6.21b) |
| Altman-Z'' = 1.15 = BB |
| DSRI: 1.20 (Receivables 154.0m/131.0m, Revenue 7.21b/7.37b) |
| GMI: 1.01 (GM 44.60% / 44.12%) |
| AQI: 0.92 (AQ_t 0.19 / AQ_t-1 0.21) |
| SGI: 0.98 (Revenue 7.21b / 7.37b) |
| TATA: -0.10 (NI 781.0m - CFO 1.27b) / TA 5.16b) |
| Beneish M = -2.92 (Cap -4..+1) = A |
As of October 31, 2026, the stock is trading at USD 22.77 with a total of 6,572,732 shares traded. Over the past week, the price has changed by +8.69%, over one month by +42.40%, over three months by +15.31% and over the past year by -0.72%.
Current recommended Stop Loss: 20.50 (which is 10% or 2.6 ATR below the current price).
Bath & Body Works has received a consensus analysts rating of 3.33. Therefore, it is recommended to hold BBWI.
- StrongBuy: 4
- Buy: 0
- Hold: 13
- Sell: 0
- StrongSell: 1
| Analysts Target Price | 24 | 5.4% |
P/E Trailing = 5.5132
P/E Forward = 6.2696
P/S = 0.586
P/B = 1403.3759
P/EG = 0.6982
Revenue TTM = 7.21b USD
EBIT TTM = 1.23b USD
EBITDA TTM = 1.47b USD
Long Term Debt = 3.37b USD (from longTermDebt, last quarter)
Short Term Debt = 447.0m USD (from shortTermDebt, last quarter)
Debt = 5.87b USD (from shortLongTermDebtTotal, last quarter) + Leases 1.13b
Net Debt = 5.08b USD (calculated: Debt 5.87b - CCE 794.0m)
Enterprise Value = 9.30b USD (4.22b + Debt 5.87b - CCE 794.0m)
Interest Coverage Ratio = 4.57 (Ebit TTM 1.23b / Interest Expense TTM 269.0m)
EV/FCF = 9.02x (Enterprise Value 9.30b / FCF TTM 1.03b)
FCF Yield = 11.08% (FCF TTM 1.03b / Enterprise Value 9.30b)
FCF Margin = 14.30% (FCF TTM 1.03b / Revenue TTM 7.21b)
Net Margin = 10.83% (Net Income TTM 781.0m / Revenue TTM 7.21b)
Gross Margin = 44.12% ((Revenue TTM 7.21b - Cost of Revenue TTM 4.03b) / Revenue TTM)
Gross Margin QoQ = 45.71% (prev 42.60%)
Tobins Q-Ratio = 1.80 (Enterprise Value 9.30b / Total Assets 5.16b)
Interest Expense / Debt = 4.58% (Interest Expense 269.0m / Debt 5.87b)
Taxrate = 19.57% (190.0m / 971.0m)
NOPAT = 987.7m (EBIT 1.23b * (1 - 19.57%))
Current Ratio = 1.20 (Total Current Assets 2.05b / Total Current Liabilities 1.71b)
Debt / Equity = -5.57 (negative equity) (Debt 5.87b / totalStockholderEquity, last quarter -1.05b)
Debt / EBITDA = 3.45 (Net Debt 5.08b / EBITDA 1.47b)
Debt / FCF = 4.93 (Net Debt 5.08b / FCF TTM 1.03b)
Total Stockholder Equity = -1.26b (last 4 quarters mean from totalStockholderEquity)
RoA = 15.67% (Net Income 781.0m / Total Assets 5.16b)
RoE = -61.76% (negative equity) (Net Income TTM 781.0m / Total Stockholder Equity -1.26b)
RoCE = 58.43% (EBIT 1.23b / Capital Employed (Equity -1.26b + L.T.Debt 3.37b))
RoIC = 27.94% (NOPAT 987.7m / Invested Capital 3.54b)
WACC = 6.22% (E(4.22b)/V(10.1b) * Re(9.75%) + D(5.87b)/V(10.1b) * Rd(4.58%) * (1-Tc(0.20)))
Discount Rate = 9.75% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -97.15 | Cagr: -4.87%
[DCF] Terminal Value 77.97% ; FCFF base≈931.8m ; Y1≈1.07b ; Y5≈1.57b
[DCF] Fair Price = 92.13 (EV 23.7b - Net Debt 5.08b = Equity 18.6b / Shares 201.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 16.78 | EPS CAGR: 0.65% | SUE: 3.67 | # QB: 1
Revenue Correlation: -86.40 | Revenue CAGR: -0.95% | SUE: 0.39 | # QB: 0
EPS current Quarter (2026-10-31): EPS=0.11 | Chg30d=-2.62% | Revisions=-85% | Analysts=17
EPS current Year (2027-01-31): EPS=2.70 | Chg30d=-0.63% | Revisions=+42% | GrowthEPS=-16.0% | GrowthRev=-2.6%
EPS next Year (2028-01-31): EPS=2.78 | Chg30d=-0.39% | Revisions=-32% | GrowthEPS=+3.0% | GrowthRev=+1.7%
[Analyst] Revisions Ratio: -29% (up=17, down=32)