Stock Market News

‘Makes a Lot of Scents’: Raymond James Starts Bath & Body Works at Strong Buy

2022.07.13 17:36

'Makes a Lot of Scents': Raymond James Starts Bath & Body Works at Strong Buy
‘Makes a Lot of Scents’: Raymond James Starts Bath & Body Works at Strong Buy, Sees Nearly 70% Upside

By Senad Karaahmetovic

Raymond James analyst Olivia Tong initiated the research coverage on Bath & Body Works (NYSE:BBWI) at Strong Buy with a $45 per share price target.

The analyst believes that the current BBWI stock price is “discounting significantly worse trends, suggesting almost a complete wind-down of the growth the company realized during the pandemic.”

Tong added that shares have been “overly punished” so far, even if the U.S. enters into a recession that proves to be worse than that of 2008/2009.

On the fundamentals, Tong is very positive as she sees a long runway of growth ahead for BBWI once comps normalize.

“Our positive view is supported by: 1) leading market shares in Personal Care & Home Fragrances; 2) a mostly domestic, vertically-integrated supply chain, allowing BBWI to navigate logistics challenges better than peers; 3) square footage growth and optimization, including white space opportunities in new categories and geographies; 4) a loyalty program fully rolling out this year, which should drive improved retention; 5) margins at the high end of peers; and 6) strong cash generation, resulting in share buybacks along with its dividend,” Tong told clients in a note.

BBWI shares are down over 60% YTD.

Source

Related Articles

Leave a Reply

Back to top button
bitcoin
Bitcoin (BTC) $ 82,083.99 2.42%
ethereum
Ethereum (ETH) $ 1,903.82 1.63%
tether
Tether (USDT) $ 0.99999 0.02%
xrp
XRP (XRP) $ 2.26 4.09%
bnb
BNB (BNB) $ 629.83 0.49%
solana
Solana (SOL) $ 123.78 4.36%
usd-coin
USDC (USDC) $ 1.00 0.00%
cardano
Cardano (ADA) $ 0.693737 4.05%
dogecoin
Dogecoin (DOGE) $ 0.165933 5.04%
tron
TRON (TRX) $ 0.231685 5.45%
staked-ether
Lido Staked Ether (STETH) $ 1,901.67 1.78%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 81,994.97 2.53%
leo-token
LEO Token (LEO) $ 9.73 0.48%
the-open-network
Toncoin (TON) $ 3.61 3.73%
chainlink
Chainlink (LINK) $ 13.65 3.76%
usds
USDS (USDS) $ 1.00 0.02%
stellar
Stellar (XLM) $ 0.268847 1.96%
wrapped-steth
Wrapped stETH (WSTETH) $ 2,279.59 1.71%
hedera-hashgraph
Hedera (HBAR) $ 0.185305 4.07%
pi-network
Pi Network (PI) $ 1.12 16.81%
avalanche-2
Avalanche (AVAX) $ 18.64 1.45%
shiba-inu
Shiba Inu (SHIB) $ 0.000012 5.05%
sui
Sui (SUI) $ 2.26 4.52%
mantra-dao
MANTRA (OM) $ 6.91 1.10%
litecoin
Litecoin (LTC) $ 88.21 5.36%
polkadot
Polkadot (DOT) $ 4.38 0.89%
bitcoin-cash
Bitcoin Cash (BCH) $ 333.18 1.69%
bitget-token
Bitget Token (BGB) $ 4.60 3.63%
ethena-usde
Ethena USDe (USDE) $ 0.999743 0.02%
weth
WETH (WETH) $ 1,904.64 1.59%
binance-bridged-usdt-bnb-smart-chain
Binance Bridged USDT (BNB Smart Chain) (BSC-USD) $ 0.999878 0.04%
hyperliquid
Hyperliquid (HYPE) $ 13.41 1.77%
whitebit
WhiteBIT Coin (WBT) $ 28.13 1.36%
wrapped-eeth
Wrapped eETH (WEETH) $ 2,022.37 1.64%
monero
Monero (XMR) $ 207.04 2.08%
uniswap
Uniswap (UNI) $ 6.27 1.12%
susds
sUSDS (SUSDS) $ 1.04 0.19%
dai
Dai (DAI) $ 0.99985 0.03%
aptos
Aptos (APT) $ 5.29 2.20%
okb
OKB (OKB) $ 50.78 0.97%
near
NEAR Protocol (NEAR) $ 2.53 5.34%
pepe
Pepe (PEPE) $ 0.000007 7.48%
internet-computer
Internet Computer (ICP) $ 5.71 5.84%
mantle
Mantle (MNT) $ 0.802865 2.15%
gatechain-token
Gate (GT) $ 21.74 1.14%
ethereum-classic
Ethereum Classic (ETC) $ 17.48 2.99%
tokenize-xchange
Tokenize Xchange (TKX) $ 32.89 2.27%
ondo-finance
Ondo (ONDO) $ 0.81784 6.55%
aave
Aave (AAVE) $ 169.40 3.92%
coinbase-wrapped-btc
Coinbase Wrapped BTC (CBBTC) $ 82,083.99 2.41%