Key Takeaways:
- BBWI shares surged 9.7% to $19.45 after Q1 results topped estimates
- The specialty retailer's sales and earnings beat consensus for the quarter
- The stock has gained 15.2% over the past week
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Bath & Body Works jumps 9.7% after Q1 earnings beat estimates
Bath & Body Works Inc reported Q1 CY2026 sales that beat analyst estimates, sending shares up 9.7% to $19.45 on May 27.
The results exceeded consensus expectations on both revenue and earnings per share, according to the company's earnings release. The specialty retailer did not immediately disclose specific quarterly figures in the preliminary announcement.
The stock's 9.7% gain on Wednesday extended a strong run, bringing its weekly advance to 15.2%. The rally pushed BBWI's market value higher as investors responded to the earnings beat. Shares of the Columbus, Ohio-based retailer, which operates more than 1,800 stores across North America, had declined about 12% year-to-date before this week's rebound.
The Q1 performance marks a turnaround for Bath & Body Works after a period of sales weakness. The company's GF Score of 64 out of 100, calculated by GuruFocus, suggests the stock remains undervalued relative to its fundamentals. The proprietary scoring model evaluates the company across profitability, growth, financial strength, and valuation metrics.
The earnings beat comes as the broader US retail sector navigates an uneven demand environment. Specialty retailers have reported mixed results this earnings season, with some benefiting from new product cycles while others face margin pressure from elevated promotions. Competitors including Victoria's Secret & Co and Ulta Beauty have also reported varied results, highlighting the fragmented consumer spending landscape.
Bath & Body Works has focused on product innovation and marketing campaigns to drive traffic amid softer discretionary spending. The company's spring collection launches and loyalty program enhancements appear to have resonated with customers during the quarter.
For holders, the Q1 beat provides a positive signal after a difficult start to the year. Investors will watch for the company's Q2 CY2026 earnings report for updated guidance on margins, same-store sales trends, and any changes to the full-year outlook.
This article is for informational purposes only and does not constitute investment advice.
[1] Bath & Body Works Inc (BBWI) Stock Up 9.7% and Still Undervalued -- GF Score: 64/100[2] Bath and Body Works’s (NYSE:BBWI) Q1 CY2026 sales beat estimates, stock jumps 17.2%[3] Bath & Body Works (BBWI) surpasses Q1 earnings and revenue estimates[4] Bath & Body Works jumps after earnings beat despite ongoing sales weakness (BBWI)[5] Bath & Body Works (BBWI) Q1 earnings: Taking a look at key metrics versus estimates
