Citigroup Has Lowered Expectations for Bath & Body Works (NYSE:BBWI) Stock Price

Bath & Body Works (NYSE:BBWI) had its price target decreased by Citigroup from $48.00 to $36.00 in a research note published on Monday morning,Benzinga reports. Citigroup currently has a buy rating on the stock.

Several other research analysts also recently issued reports on the stock. Wells Fargo & Company raised shares of Bath & Body Works from an “equal weight” rating to an “overweight” rating and raised their price objective for the stock from $42.00 to $48.00 in a research report on Friday, January 10th. Cowen reissued a “buy” rating on shares of Bath & Body Works in a report on Thursday, February 27th. Argus reaffirmed a “hold” rating on shares of Bath & Body Works in a research note on Friday, January 10th. Telsey Advisory Group reiterated an “outperform” rating and issued a $43.00 target price on shares of Bath & Body Works in a research note on Thursday, February 27th. Finally, JPMorgan Chase & Co. set a $47.00 target price on Bath & Body Works in a report on Thursday, February 27th. Five research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average price target of $44.31.

Bath & Body Works Stock Performance

Bath & Body Works stock opened at $27.15 on Monday. The company has a market capitalization of $5.82 billion, a P/E ratio of 6.62, a PEG ratio of 0.92 and a beta of 1.69. Bath & Body Works has a fifty-two week low of $25.32 and a fifty-two week high of $52.99. The stock has a 50-day simple moving average of $34.26 and a 200-day simple moving average of $34.15.

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

Bath & Body Works declared that its Board of Directors has authorized a stock repurchase program on Thursday, February 27th that authorizes the company to buyback $500.00 million in outstanding shares. This buyback authorization authorizes the company to repurchase up to 6.4% of its stock through open market purchases. Stock buyback programs are usually a sign that the company’s management believes its stock is undervalued.

Bath & Body Works Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Friday, March 7th. Stockholders of record on Friday, February 21st were issued a $0.20 dividend. The ex-dividend date of this dividend was Friday, February 21st. This represents a $0.80 dividend on an annualized basis and a dividend yield of 2.95%. Bath & Body Works’s dividend payout ratio is presently 21.98%.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Zurcher Kantonalbank Zurich Cantonalbank grew its holdings in shares of Bath & Body Works by 32.6% in the 4th quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 52,784 shares of the company’s stock worth $2,046,000 after acquiring an additional 12,964 shares during the period. Wellington Management Group LLP acquired a new stake in Bath & Body Works in the third quarter valued at $8,129,000. Charles Schwab Investment Management Inc. grew its holdings in Bath & Body Works by 13.0% in the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,704,625 shares of the company’s stock valued at $66,088,000 after purchasing an additional 195,813 shares during the last quarter. iA Global Asset Management Inc. raised its stake in shares of Bath & Body Works by 1,078.2% during the 3rd quarter. iA Global Asset Management Inc. now owns 49,331 shares of the company’s stock worth $1,575,000 after buying an additional 45,144 shares during the last quarter. Finally, New Age Alpha Advisors LLC purchased a new stake in shares of Bath & Body Works in the 4th quarter worth about $1,350,000. 95.14% of the stock is owned by hedge funds and other institutional investors.

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.