Primecap Management Co. CA Makes New $7.11 Million Investment in Bath & Body Works, Inc. $BBWI

Primecap Management Co. CA acquired a new position in shares of Bath & Body Works, Inc. (NYSE:BBWI) in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm acquired 307,380 shares of the company’s stock, valued at approximately $7,110,000.

Several other hedge funds also recently modified their holdings of BBWI. Global Retirement Partners LLC acquired a new position in shares of Bath & Body Works during the 4th quarter valued at $31,000. Activest Wealth Management bought a new position in Bath & Body Works during the fourth quarter worth $32,000. Geneos Wealth Management Inc. increased its stake in Bath & Body Works by 217.7% in the first quarter. Geneos Wealth Management Inc. now owns 1,169 shares of the company’s stock valued at $35,000 after purchasing an additional 801 shares in the last quarter. Parallel Advisors LLC raised its holdings in shares of Bath & Body Works by 42.6% during the fourth quarter. Parallel Advisors LLC now owns 1,897 shares of the company’s stock valued at $38,000 after purchasing an additional 567 shares during the period. Finally, Danske Bank A S acquired a new position in shares of Bath & Body Works during the third quarter valued at about $39,000. Institutional investors own 95.14% of the company’s stock.

Bath & Body Works Trading Up 7.6%

Bath & Body Works stock opened at $18.92 on Thursday. The firm has a market capitalization of $3.81 billion, a price-to-earnings ratio of 5.31, a price-to-earnings-growth ratio of 1.73 and a beta of 1.38. The firm’s fifty day moving average price is $20.36 and its two-hundred day moving average price is $20.01. Bath & Body Works, Inc. has a 1-year low of $14.27 and a 1-year high of $32.32.

Bath & Body Works (NYSE:BBWI) last posted its earnings results on Wednesday, August 26th. The company reported $0.62 EPS for the quarter, topping the consensus estimate of $0.24 by $0.38. Bath & Body Works had a net margin of 10.03% and a negative return on equity of 45.34%. The company had revenue of $1.51 billion during the quarter, compared to the consensus estimate of $1.50 billion. During the same period in the previous year, the firm posted $0.30 earnings per share. The firm’s revenue for the quarter was down 2.3% on a year-over-year basis. Bath & Body Works has set its Q3 2026 guidance at 0.070-0.120 EPS and its FY 2026 guidance at 2.600-2.800 EPS. On average, research analysts forecast that Bath & Body Works, Inc. will post 2.63 EPS for the current year.

Bath & Body Works Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Friday, September 4th. Shareholders of record on Friday, August 21st will be issued a dividend of $0.20 per share. This represents a $0.80 dividend on an annualized basis and a yield of 4.2%. The ex-dividend date of this dividend is Friday, August 21st. Bath & Body Works’s payout ratio is currently 22.47%.

More Bath & Body Works News

Here are the key news stories impacting Bath & Body Works this week:

• Positive Sentiment: Bath & Body Works reported second-quarter adjusted EPS of $0.62, well above the $0.24 analyst consensus, while revenue of $1.51 billion slightly exceeded expectations. Bath & Body Works Q2 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management raised fiscal 2026 adjusted EPS guidance to $2.60-$2.80, above its previous range of $2.40-$2.65 and ahead of the roughly $2.56 consensus. The company also reiterated revenue expectations of approximately $7.5-$7.6 billion. Bath & Body Works Raises Earnings Outlook on Higher Profit
• Positive Sentiment: Digital demand and direct-channel sales growth are offsetting weaker physical-store traffic. Management also highlighted ongoing transformation initiatives, including planned cost savings, stronger cash flow and potential balance-sheet improvement that could support future shareholder returns. Bath & Body Works lifts annual profit forecast
• Neutral Sentiment: The earnings call and bullish commentary frame BBWI as a discounted turnaround opportunity, but investors will likely require sustained sales growth and execution before assigning a higher valuation.
• Negative Sentiment: Second-quarter net sales declined 2.3% year over year, and third-quarter adjusted EPS guidance of only $0.07-$0.12 is substantially below the approximately $0.27 consensus. The outlook reflects continued near-term pressure from store traffic and seasonality. Bath & Body Works falls despite earnings beat
• Negative Sentiment: Heavy put-option activity ahead of the report signaled elevated bearish hedging and helps explain the stock’s volatility despite the earnings beat.

Analysts Set New Price Targets

Several analysts have recently commented on the company. Telsey Advisory Group reduced their target price on Bath & Body Works from $25.00 to $22.00 and set a “market perform” rating for the company in a research note on Thursday, May 28th. Piper Sandler assumed coverage on Bath & Body Works in a research note on Friday, May 15th. They set a “neutral” rating and a $20.00 price target on the stock. Citigroup upgraded Bath & Body Works from a “neutral” rating to a “buy” rating and set a $25.00 price target on the stock in a report on Tuesday, August 18th. Raymond James Financial reissued a “market perform” rating on shares of Bath & Body Works in a research note on Wednesday, May 27th. Finally, TD Cowen boosted their price objective on Bath & Body Works from $20.00 to $25.00 and gave the company a “buy” rating in a report on Thursday, May 28th. Four equities research analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $22.57.

Bath & Body Works Company Profile

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.