- Bath & Body Works (NYSE: BBWI) stock surged 12.8% following better-than-expected first-quarter results.
- The company reported an earnings per share (EPS) of $0.32 and revenue of $1.38 billion, both surpassing analyst estimates.
- Despite a year-over-year decline in revenue and EPS, Bath & Body Works reaffirmed its full-year 2026 guidance, projecting net sales to be down between 2.5% and 4.5% and an adjusted EPS in the range of $2.40 to $2.65.
Shares of Bath & Body Works (NYSE: BBWI) jumped 12.8% on May 27, 2026. The company, a popular retailer of personal care and home fragrance products, saw its stock price increase after Bath & Body Works announced first-quarter results that surpassed Wall Street expectations, easing concerns about its business direction.
The company reported an earnings per share (EPS) of $0.32, which was higher than the analyst estimate of $0.29. EPS shows how much profit a company makes for each share of its stock. As highlighted by Zacks Investment Research, this result is a decrease from the $0.49 per share earned a year ago.
Bath & Body Works’ revenue for the quarter reached $1.38 billion, beating the consensus estimate of $1.36 billion. However, this figure represents a 3.2% decrease compared to the same period last year. The sales decline comes as the company overhauls its strategy to return to growth, as reported by the Wall Street Journal.
Beyond revenue, the company’s adjusted operating income was $151 million, topping the estimate of $141 million. Looking ahead, Bath & Body Works reaffirmed its full-year 2026 guidance. It projects net sales to be down between 2.5% and 4.5% and an adjusted EPS in the range of $2.40 to $2.65.
The company’s trailing Price-to-Earnings (P/E) ratio is 6.41, which compares its stock price to its earnings. Its current ratio stands at 1.38. This ratio measures a company’s ability to pay its short-term obligations, with a value over 1 generally indicating good short-term financial health.
