An entry written while the outcome is still unknown. It will be scored by what the market does next, and it will never be edited to look cleverer than it was.
In plain words · Bath & Body Works, Inc.
VERDICT
The label
Markup
read at $20.87
Bath & Body Works, Inc. holds its Markup at $20.87.
PHPhase · the trend structure carries the Markup label
INInsiders · no filings inside 60 days, left as found
POPositioning · no disclosures inside 60 days, left as found
OPOptions · no verdict drawn today, left as found
SCScreen · does not pass the values gate
edge confirmed
edge broken
edge forming
Each arm is one independent read. Conviction is not a single call, it is how many edges converge.
INVESTOR
The investor read · the season, not the day
As held on the ledger · 2026-07-19
Phase
Markup
Quantitative state
The statistical read favours the sellers, held for 106 days
Price
$20.87
Valuation
5.93 trailing · 7.29 forward price to earnings
Values screen
FAIL· score 10.0
Beta
1.35
OPPORTUNITY
The opportunity · what the numbers say it is worth
Our framework reads AVOID — it trades at roughly a 17% discount to our $24.38 fair value, weak competitive moat.
Read at
$20.87
5.93 P/E · 7.29 fwd
Our fair value
$24.38
17% discount
Analyst target (avg)
$23.00
+10% to current
Target low $19.00Analyst target rangeTarget high $54.00
▲ current $20.87 · | average target
Price history & projections · where it has been, where the models see it going
The valuation journey · where the price sits against fair value and the Street
Current
$20.87
you are here
Conservative
$22.90
+10%
Analyst avg
$23.00
+10%
Our fair value
$24.38
+17%
Analyst high
$54.00
+159%
Green marks levels above today's price, red below; the shaded band is the gap between the price and our fair value.
Reading the gap · Both our model and the analysts see meaningful upside from here.
Revenue growth
-3.20%
Profit margin
10.04%
Analyst consensus
Hold · 15 covering
Fair value and rating are our own model estimates; target range reflects third-party analyst estimates. Analysis, not advice.
SCREEN
The values screen, explained · five checks, plain English
This company is excluded by both standards. There are two widely recognised ways to check whether a company is suitable for a Muslim investor. It fails on both:
The common standard· AAOIFI Used by most halal investing apps✗ DOES NOT PASS
Our stricter standard· asset-based The one Titan applies✗ DOES NOT PASS
Why it fails. The problem is its debt ratio. Because both standards agree on this, it is a clear exclusion, not a borderline case.
Business activityIts core business isn't built on prohibited lines — no gambling, alcohol, tobacco, weapons, or interest-based lending.Pass
Debt loadInterest-bearing debt is 135.1% of its assets, above the one-third ceiling the screen allows.Fail
Interest-bearing cashCash held in interest-bearing accounts and securities is 26.0% of assets, under the one-third limit.Pass
ReceivablesMoney owed to the company is 0.0% of assets, under the 49% limit.Pass
Revenue purityOnly 0.0% of revenue comes from non-compliant sources — under the 5% line.Pass
Every security is read against two recognised standards: our stricter asset-based screen (ratios measured against total assets) and the more widely used market-value standard (measured against market capitalisation). Where they agree we say so plainly; where they part ways — almost always on the debt check — we show both readings and mark it, because that disagreement is the finding, not a fault. We report the score; you and your scholar make the call.
PLAIN
The business, in plain words · what the numbers mean
Debt burden outweighs any bargain in bath products
Every time someone reaches for a three wick candle or a bottle of lotion the retailer behind it is already carrying more debt than its balance sheet can comfortably support. We pass because the company fails the ethical screen on that leverage, leaving no margin for the kind of shocks that hit specialty retail hard.
Revenue is shrinking three percent while the forward multiple sits at seven times earnings. That looks cheap until you remember this is a cyclical business with a weak moat and margins that can compress quickly when spending slows. The fifteen analysts see it as a hold with targets barely above the current price, which tells you the market is not pricing in much recovery.
High debt plus negative growth creates exactly the sort of value trap that appears attractive on paper but rarely rewards patience. Analysis, not advice.
Screened names in the same industry · explore each on its own page.
TRADE
Where & how to trade · wherever in the world you are
BBWI trades on the NYSE. As a US-listed security it is accessible through almost any international broker offering US markets. New to this, or investing from outside the US? Our guide to accessing global markets covers brokers, currencies and the practical steps.
TRADER
The trader read · the latest dated commentary
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved up 19.7% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are down 29%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (14 analysts) rates it hold, with a mean price target of $26. Entered 2026-07-22 · Distribution
JOURNAL
The dated journal · newest first, never edited
2026-07-22Distribution$20.87+19.7%Entry 4
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved up 19.7% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are down 29%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (14 analysts) rates it hold, with a mean price target of $26.
2026-07-18Distribution$17.43+0.0%Entry 3
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns. Our composite framework grades it D. Technically it is sitting below its long-term trend line with momentum reading neutral. Over the past year the shares are down 29%. Our forward projection puts the odds of a 10% gain over the next month near 19%. The street (14 analysts) rates it hold, with a mean price target of $26.
2026-07-03Distribution$17.43+0.0%Entry 2
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Price has moved down 0.0% since our last review. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns.
2026-07-02Distribution$17.43Entry 1
The framework reads distribution. Smart money appears to be selling into strength. Institutional holders may be rotating out. Ethical screening: FAIL. This security does not pass our values-based screening criteria. The risk-adjusted return profile shows negative risk-adjusted returns.
Each entry above was written on its date, before the outcome. A journal you can prune is not a journal.
