AlphaMadera's AlphaVal page computes Bath & Body Works, Inc.'s fair value using a multi-method blend (DCF, comparable-multiples, and Graham-style intrinsic value), then compares it to the current market price to flag BBWI as undervalued, fairly valued, or overvalued.

What is Bath & Body Works, Inc.'s fair value?

Fair value for BBWI is a model output combining discounted cash flow projections, peer-group multiples, and a Graham number floor. The live AlphaVal page shows the blended fair value alongside each method's individual estimate.

How does AlphaMadera value BBWI?

AlphaVal uses three primary techniques: a five-year discounted-cash-flow projection with terminal multiple, peer-group multiple analysis (P/E, EV/EBITDA, P/S), and Graham's defensive-investor intrinsic-value formula. Inputs come from BBWI's most recent reported fundamentals.

BBWI - Bath & Body Works, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS | PRICE TARGET: $22.25 DETAILS

AlphaVal

Deterministic, archetype-aware fair value

Stable Earnings Power 80% confidence

Primary model: P/Adj-EPS × Normalized Multiple

Valuation Signal Undervalued Strong

Trading 49.4% below fair value

Current Price $21.82

Bear Case $37.73 72.9% upside ($37.73 - $21.82) / $21.82 = 72.9% $3.13 × 14x P/E

Fair Value $43.12 97.6% upside ($43.12 - $21.82) / $21.82 = 97.6% $3.13 × 16x P/E

Bull Case $48.51 122.3% upside ($48.51 - $21.82) / $21.82 = 122.3% $3.13 × 18x P/E

Adjust Assumptions

P/E Multiple

16.0x

Adjusted EPS

3.13$

Key Value Driver

Normalized P/E multiple (16x base case)

Implied Market Multiple 7.0x

Plain-Language Summary

Our base-case estimate uses a valuation based on adjusted earnings per share and a normalized price-to-earnings multiple. We then blend that result with the average analyst price target of $22.25 from 22 analysts, using a 25% weight on analyst consensus. That produces an estimated intrinsic value of $43.12 per share.

Warnings

ℹ Dividend-based valuation: $15.52 (below our primary estimate by 69%). Large gaps may signal the dividend doesn't reflect full earning power.

ℹ Wall Street's average price target is $22.25 (from 22 analysts). Our estimate is 125% above the consensus -- consider that gap carefully.

Key Risks

Growth DCF inappropriate — terminal value assumptions dominate
EV/EBITDA misleading for regulated businesses where capex is mandated
Regulatory risk is a fat tail not visible in normal multiples