INVESTOR DEADLINE APPROACHING: Faruqi & Faruqi, LLP Investigates Claims on Behalf of Investors of Bath and Body Works
Bath & Body WorksBath & Body Works(US:BBWI) TMX Newsfile·2026-01-16 15:53

Core Viewpoint - Faruqi & Faruqi, LLP is investigating potential claims against Bath & Body Works, Inc. due to allegations of misleading statements and failure to disclose critical information regarding the company's financial performance and business strategy [2][5]. Financial Performance - Bath & Body Works reported a disappointing third quarter for 2025, with a 1% year-over-year decline in revenue, missing prior guidance of 1-3% growth, and a 26% drop in net income to $77 million [6]. - The company significantly reduced its full-year earnings per diluted share outlook from a range of $3.28 to $3.53 to "at least $2.83" [6]. Business Strategy - The complaint alleges that the company's strategy of pursuing "adjacencies, collaborations and promotions" failed to grow the customer base and did not deliver the expected growth in net sales [5]. - Bath & Body Works admitted that its previous focus on this strategy led to reduced investment in core categories and an overreliance on brand collaborations and promotions to mask weak financial results [6]. Stock Market Reaction - Following the announcement of disappointing financial results and the acknowledgment of strategic failures, Bath & Body Works' stock price fell by $5.22, or 24.8%, closing at $15.82 per share on November 20, 2025 [7].