BATH & BODY WORKS INC (BBWI) Stock Fundamental Analysis
USA - NYSE:BBWI - US0708301041 - Common Stock
25.635 USD
-0.16 (-0.64%)
Overall BBWI gets a fundamental rating of 6 out of 10. We evaluated BBWI against 120 industry peers in the Specialty Retail industry. BBWI scores excellent on profitability, but there are some minor concerns on its financial health. BBWI scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
BBWI had positive earnings in the past year.
In the past year BBWI had a positive cash flow from operations.
In the past 5 years BBWI has always been profitable.
In the past 5 years BBWI always reported a positive cash flow from operatings.
1.2 Ratios
BBWI's Return On Assets of 15.12% is amongst the best of the industry. BBWI outperforms 90.83% of its industry peers.
BBWI has a better Return On Invested Capital (29.41%) than 95.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for BBWI is significantly above the industry average of 12.17%.
The 3 year average ROIC (27.00%) for BBWI is below the current ROIC(29.41%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.12% | ||
| ROE | N/A | ||
| ROIC | 29.41% |
ROA(3y)15.67%
ROA(5y)15.29%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)27%
ROIC(5y)26.2%
1.3 Margins
Looking at the Profit Margin, with a value of 9.88%, BBWI belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
In the last couple of years the Profit Margin of BBWI has declined.
With an excellent Operating Margin value of 17.12%, BBWI belongs to the best of the industry, outperforming 94.17% of the companies in the same industry.
BBWI's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 44.60%, BBWI is in the better half of the industry, outperforming 69.17% of the companies in the same industry.
In the last couple of years the Gross Margin of BBWI has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.12% | ||
| PM (TTM) | 9.88% | ||
| GM | 44.6% |
OM growth 3Y-12.07%
OM growth 5Y-2.08%
PM growth 3Y-13.56%
PM growth 5YN/A
GM growth 3Y-3.28%
GM growth 5Y0.04%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so BBWI is creating value.
The number of shares outstanding for BBWI has been reduced compared to 1 year ago.
The number of shares outstanding for BBWI has been reduced compared to 5 years ago.
The debt/assets ratio for BBWI has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of BBWI is 4.97, which is a neutral value as it means it would take BBWI, 4.97 years of fcf income to pay off all of its debts.
BBWI has a better Debt to FCF ratio (4.97) than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.97 | ||
| Altman-Z | N/A |
ROIC/WACC3.02
WACC9.74%
2.3 Liquidity
BBWI has a Current Ratio of 1.31. This is a normal value and indicates that BBWI is financially healthy and should not expect problems in meeting its short term obligations.
BBWI's Current ratio of 1.31 is in line compared to the rest of the industry. BBWI outperforms 50.83% of its industry peers.
BBWI has a Quick Ratio of 1.31. This is a bad value and indicates that BBWI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.56, BBWI perfoms like the industry average, outperforming 55.83% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.56 |
3. Growth
3.1 Past
BBWI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 4.56%.
BBWI shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 7.87% yearly.
The Revenue has decreased by -0.19% in the past year.
The Revenue has been growing slightly by 6.22% on average over the past years.
EPS 1Y (TTM)4.56%
EPS 3Y-16.93%
EPS 5Y7.87%
EPS Q2Q%0%
Revenue 1Y (TTM)-0.19%
Revenue growth 3Y-2.49%
Revenue growth 5Y6.22%
Sales Q2Q%1.51%
3.2 Future
The Earnings Per Share is expected to grow by 9.63% on average over the next years. This is quite good.
Based on estimates for the next years, BBWI will show a small growth in Revenue. The Revenue will grow by 3.09% on average per year.
EPS Next Y6.86%
EPS Next 2Y7.91%
EPS Next 3Y8.92%
EPS Next 5Y9.63%
Revenue Next Year2.31%
Revenue Next 2Y2.65%
Revenue Next 3Y2.78%
Revenue Next 5Y3.09%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 7.45, the valuation of BBWI can be described as very cheap.
94.17% of the companies in the same industry are more expensive than BBWI, based on the Price/Earnings ratio.
BBWI's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.53.
BBWI is valuated cheaply with a Price/Forward Earnings ratio of 6.61.
Based on the Price/Forward Earnings ratio, BBWI is valued cheaply inside the industry as 95.83% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.04, BBWI is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.45 | ||
| Fwd PE | 6.61 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of BBWI indicates a rather cheap valuation: BBWI is cheaper than 81.67% of the companies listed in the same industry.
94.17% of the companies in the same industry are more expensive than BBWI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.75 | ||
| EV/EBITDA | 5.78 |
4.3 Compensation for Growth
BBWI's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
BBWI has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)1.09
PEG (5Y)0.95
EPS Next 2Y7.91%
EPS Next 3Y8.92%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.11%, BBWI has a reasonable but not impressive dividend return.
BBWI's Dividend Yield is rather good when compared to the industry average which is at 5.63. BBWI pays more dividend than 87.50% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, BBWI pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.11% |
5.2 History
The dividend of BBWI decreases each year by -7.77%.
BBWI has been paying a dividend for at least 10 years, so it has a reliable track record.
BBWI has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-7.77%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
23.63% of the earnings are spent on dividend by BBWI. This is a low number and sustainable payout ratio.
DP23.63%
EPS Next 2Y7.91%
EPS Next 3Y8.92%
NYSE:BBWI (10/16/2025, 1:52:03 PM)
25.635
-0.16 (-0.64%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustrySpecialty Retail
Earnings (Last)
Earnings (Next)
Inst Owners101.96%
Inst Owner Change0.13%
Ins Owners0.31%
Ins Owner Change6.61%
Market Cap5.29B
Analysts80.95
Price Target40.03 (56.15%)
Short Float %10.05%
Short Ratio3.37
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.11% |
Yearly Dividend0.8
Dividend Growth(5Y)-7.77%
DP23.63%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.76%
Min EPS beat(2)-3.37%
Max EPS beat(2)1.86%
EPS beat(4)3
Avg EPS beat(4)0.3%
Min EPS beat(4)-3.37%
Max EPS beat(4)2.51%
EPS beat(8)7
Avg EPS beat(8)7%
EPS beat(12)11
Avg EPS beat(12)17.56%
EPS beat(16)14
Avg EPS beat(16)18.31%
Revenue beat(2)0
Avg Revenue beat(2)-2.07%
Min Revenue beat(2)-2.21%
Max Revenue beat(2)-1.93%
Revenue beat(4)0
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-2.21%
Max Revenue beat(4)0%
Revenue beat(8)1
Avg Revenue beat(8)-1.29%
Revenue beat(12)3
Avg Revenue beat(12)-1.05%
Revenue beat(16)4
Avg Revenue beat(16)-0.82%
PT rev (1m)2.61%
PT rev (3m)-4.54%
EPS NQ rev (1m)-3.53%
EPS NQ rev (3m)-14.53%
EPS NY rev (1m)0.89%
EPS NY rev (3m)0.42%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)0.18%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.45 | ||
| Fwd PE | 6.61 | ||
| P/S | 0.72 | ||
| P/FCF | 6.75 | ||
| P/OCF | 5.28 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 5.78 |
EPS(TTM)3.44
EY13.42%
EPS(NY)3.88
Fwd EY15.13%
FCF(TTM)3.8
FCFY14.81%
OCF(TTM)4.85
OCFY18.94%
SpS35.74
BVpS-7.5
TBVpS-11.35
PEG (NY)1.09
PEG (5Y)0.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 15.12% | ||
| ROE | N/A | ||
| ROCE | 35.94% | ||
| ROIC | 29.41% | ||
| ROICexc | 32.81% | ||
| ROICexgc | 43.86% | ||
| OM | 17.12% | ||
| PM (TTM) | 9.88% | ||
| GM | 44.6% | ||
| FCFM | 10.62% |
ROA(3y)15.67%
ROA(5y)15.29%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)27%
ROIC(5y)26.2%
ROICexc(3y)35.99%
ROICexc(5y)39.04%
ROICexgc(3y)49.09%
ROICexgc(5y)53.22%
ROCE(3y)33%
ROCE(5y)32.02%
ROICexcg growth 3Y-17.12%
ROICexcg growth 5Y23.9%
ROICexc growth 3Y-16.34%
ROICexc growth 5Y20.74%
OM growth 3Y-12.07%
OM growth 5Y-2.08%
PM growth 3Y-13.56%
PM growth 5YN/A
GM growth 3Y-3.28%
GM growth 5Y0.04%
F-Score7
Asset Turnover1.53
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 4.97 | ||
| Debt/EBITDA | 2.54 | ||
| Cap/Depr | 81.34% | ||
| Cap/Sales | 2.96% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 65.42% | ||
| Profit Quality | 107.56% | ||
| Current Ratio | 1.31 | ||
| Quick Ratio | 0.56 | ||
| Altman-Z | N/A |
F-Score7
WACC9.74%
ROIC/WACC3.02
Cap/Depr(3y)113.11%
Cap/Depr(5y)91.5%
Cap/Sales(3y)3.81%
Cap/Sales(5y)3.68%
Profit Quality(3y)86.47%
Profit Quality(5y)113.13%
High Growth Momentum
Growth
EPS 1Y (TTM)4.56%
EPS 3Y-16.93%
EPS 5Y7.87%
EPS Q2Q%0%
EPS Next Y6.86%
EPS Next 2Y7.91%
EPS Next 3Y8.92%
EPS Next 5Y9.63%
Revenue 1Y (TTM)-0.19%
Revenue growth 3Y-2.49%
Revenue growth 5Y6.22%
Sales Q2Q%1.51%
Revenue Next Year2.31%
Revenue Next 2Y2.65%
Revenue Next 3Y2.78%
Revenue Next 5Y3.09%
EBIT growth 1Y-1.94%
EBIT growth 3Y-14.27%
EBIT growth 5Y4.01%
EBIT Next Year17.21%
EBIT Next 3Y8.48%
EBIT Next 5Y7.01%
FCF growth 1Y-1.51%
FCF growth 3Y-18.56%
FCF growth 5Y-3.24%
OCF growth 1Y-12.19%
OCF growth 3Y-15.95%
OCF growth 5Y-6.44%